I very much have the interest to be a professional crypto trader at some point in my life, but it should be after I have understood it the way I want. Am well aware of the emotions which hunt gamblers, because I had tried it a few times. Same emotions also hunt traders and it is in the form of Fear, greed, hope, regret.
Although I beg to differ, I have learnt how it is in trying to be wary of such emotions that we become victims of such emotions in critical times.
It helps to give a constant reminder to oneself on how to control such emotions when money/crypto is involved because a loss could be a recurring outcome and not being able to manage ones emotional state could be very detrimental.
I agree. Our emotions are also a key player in trading. It is easy to get swept up in the excitement of a bull market or the fear of a bear market due to the volatility of values in crypto. Still, it's important to maintain a level head. Keeping your composure and focusing on the long-term potential of your investments can help you ride out any short-term losses. It's also important to stay informed about the market to make rational decisions based on facts, not emotions. By managing your emotions and staying disciplined, you can have higher chances of success in crypto trading.
To be honest managing emotions in trading is difficult, especially our mindset when we enter the world of trading because we hope that the results of profits can bring us wealth. Controlling emotions when trading will actually make us psychologically disturbed where in the initial entry we benefit from trading and will try to enter a second entry, the problem is that it lies in the second entry if we experience a loss and this is where our psychology is disturbed. We may often hear about swing trading and leverage in trading, but if we don't try to learn to hold positions and depend entirely on leverage, sometimes the risks will be much greater.
The points you quoted might help traders understand the psychology of trading, but the panic will occur beyond expectations when you are preoccupied with doing it. Emotional control, being calm and not greedy is enough to stop panicking when someone experiences a loss in trading, the difference is that those who are experienced know what to do when they encounter a position like this in trading. Beginners may not necessarily be able to control their emotions when faced with such conditions and it is experience that will bring them to be calm in such conditions.
When panic sets in, it can be overwhelming and hard to control. This is normal, and it happens when we are afraid of losses. While the loss may be a challenge, it can also be an influential teacher if we listen and learn from it. It's important to remember that these experiences can also be valuable learning opportunities. Through trading losses, we can learn about our resilience, patience, ability to evaluate such difficult situations, what happens, why they turned that way, and lastly, learn not to make the same mistake in future encounters.
We are just that human beings which is really that susceptible with those impulsive emotional approach on things specially when dealing up with money which we are really that prone into that sudden change of
mood or emotion on which it would really be that normal that we would really be altering our earlier decisions just because you had able to experience up something that you havent experienced before.
Even if we do say that you did come into a point that you are fully aware of the situation but still your mind and body would be able to feel up that kind of emotion on which it is really hard to resist sometimes on
not to make yourself that get affected. This is why self control and discipline what matter the most on here specially on dealing with trading which is something that deals up with something unpredictable
and totally random.
Experience and real engagement would make you that tougher as you do go forward and since you've been in countless engagement and facing up these conditions then
you would definitely be fully aware on what are the things that should really be done on the time that you would be able to face it up. It wont really be that
hard but not something impossible though.
