Topic: 5 Big mistakes for a beginner in cryptocurrencies ✌ - page 7. (Read 2510 times)
I think it is biggest blunder of any one who invest in any thing by taking loan or borrowing money from others. It is a crime with your own self so please eliminate this approach specially in crypto world which is more volatile then other investment opportunities.
thanks for the article by OP. it reminded me of the mistakes i had some years ago when i was just a newbie in crypto world - i had almost all the listed mistakes, 4/5 actually - wrong investment strategy, improper knowledge and lack of research, day trading on fuds. and also, i tend to forget where i invested my coins in - not listing or recording the sites and not following up. and sometimes i forgot my passwords that i didn't list on my notepad.
aaaaaaand probably the #1 mistake of most people in the cryptocurrency space:
Expecting that investing in bitcoin/cryptocurrencies is their key to riches/out of poverty. If anything, this is probably the worst mistake people make. I mean, of course I'm not against investing in bitcoin/crypto, but going all in on crypto expecting for guaranteed profit? That's something else. I know a few people who went big money(probably 90%) on XRP somewhere near it's peak price. Saying that they're screwed is a huge understatement.
It is also important not to make mistakes by trusting others with your funds; which defeats all cryptocurrency goals, which were created to empower everyone with the ownership of their real money without trusting third parties like banks. Expecting that investing in bitcoin/cryptocurrencies is their key to riches/out of poverty. If anything, this is probably the worst mistake people make. I mean, of course I'm not against investing in bitcoin/crypto, but going all in on crypto expecting for guaranteed profit? That's something else. I know a few people who went big money(probably 90%) on XRP somewhere near it's peak price. Saying that they're screwed is a huge understatement.
One more thing is FOMO when the price bull run and panic sell when the price on the bottom. FOMO is natural emotion and all newbies did it and finally they loss money, but learn from the pass we can avoid FOMO and make better investment strategy.
👉 Start "Day Trading" which can be very risky if you are a beginner.
Pretty much. The beginner mistake in this case is not that beginners go straight to day trading. It's just that they usually sort of go all in on their funds immediately, not taking management. People in general just underestimate day trading, thinking that they can easily time the markets.
You can only learn so much from reading, which is why I encourage everyone I know who is interested in trading cryptocurrency to start out with a small amount or trade on an exchange demo account. I know nobody who's ever been perfect at anything the first time, and if anything, you gain more knowledge making mistakes, but only if you end up correcting them.
I have to disagree with your statement about not activating 2FA, however. Most people I've observed have had a hard time with 2FA upon losing or changing phones, but 2FA has saved me many, many times from people hacking my accounts through bruteforcing the passwords. If you write down your recovery key for your 2FA account, it is a very good and viable way to further secure your trading accounts.
I have to disagree with your statement about not activating 2FA, however. Most people I've observed have had a hard time with 2FA upon losing or changing phones, but 2FA has saved me many, many times from people hacking my accounts through bruteforcing the passwords. If you write down your recovery key for your 2FA account, it is a very good and viable way to further secure your trading accounts.
👉 Start "Day Trading" which can be very risky if you are a beginner.
Having proper knowledge. That is my step 2.
I first tried to trade just for fun with a little amount of money as capital.
I do believe in testing it first for experience. Then afterwards, you could go and read what token you will be investing with to be your daily trade.
Price fluctuation matters. With an idle token there is no sense in making trades. I see a lot of people who wants volatility and yet they call themselves day traders. Foolish brains.
Circumstances will also matter. Just like now with Ethereum as an example. It is too low and I know many have bought from the $450 to 500 and are now at lost. Waiting will then take place.
I first tried to trade just for fun with a little amount of money as capital.
I do believe in testing it first for experience. Then afterwards, you could go and read what token you will be investing with to be your daily trade.
Price fluctuation matters. With an idle token there is no sense in making trades. I see a lot of people who wants volatility and yet they call themselves day traders. Foolish brains.
Circumstances will also matter. Just like now with Ethereum as an example. It is too low and I know many have bought from the $450 to 500 and are now at lost. Waiting will then take place.
Interesting, I am not sure whats about the FUD and Day trading but surely FUD alone is very hard thing that can damage the way crypto currency are hiking these days. Surely beginners tend to fall for the FUD a lot because they are all always scared about the smallest bad news around the crypto market. I guess what you explained in the point of "No understanding of price fluctuation" is the similar thing to having more faith on the FUD and thus it makes sense why they fall for it at all. Beginner are always there to make such mistakes and also contribute to the FUD itself. :-/
Believing in FUD and other negative speculations on bitcoin doesn't help us and the worst was, the beginners tend to lose control over their fears on cryptocurrency holdings to fall. My suggestions to them is they needed to hold at first their coins purchased lately, and never engage in any day trading because they're not skilled yet. These guys isn't doing it right and they really need some sort of advice from experienced long term traders like us.
I agree with the rest but wrong investment strategies is just normal when you are a beginner. You can acquire those strategies once you get a lot of experience and you get used to the market flow. Losing in your first months is just normal and it should make you smarter next time. Beginners shouldnt be afraid to try.
Interesting, I am not sure whats about the FUD and Day trading but surely FUD alone is very hard thing that can damage the way crypto currency are hiking these days. Surely beginners tend to fall for the FUD a lot because they are all always scared about the smallest bad news around the crypto market. I guess what you explained in the point of "No understanding of price fluctuation" is the similar thing to having more faith on the FUD and thus it makes sense why they fall for it at all. Beginner are always there to make such mistakes and also contribute to the FUD itself. :-/
Without those mistakes, people will never learned. That's the reality. Even newbies will read that, most of them will not fully understand it because they didn't know the actual situation.
Let them learned the basic information and that's it. If they will experienced mistake on the way then so be it. Those mistakes will keep them more of a better crypto person that's why it's good if they will experienced the mistake in actual.
After all, as soon as they progress, they will now try avoid those mistakes in the future.
I think the biggest mistake here is how trading investors are losing today because the prices of altcoins have fallen today.
It is also a great help for newcomers in the forum as well as new traders or new investors so they also earn money in the right way.
aaaaaaand probably the #1 mistake of most people in the cryptocurrency space:
Expecting that investing in bitcoin/cryptocurrencies is their key to riches/out of poverty. If anything, this is probably the worst mistake people make. I mean, of course I'm not against investing in bitcoin/crypto, but going all in on crypto expecting for guaranteed profit? That's something else. I know a few people who went big money(probably 90%) on XRP somewhere near it's peak price. Saying that they're screwed is a huge understatement.
Expecting that investing in bitcoin/cryptocurrencies is their key to riches/out of poverty. If anything, this is probably the worst mistake people make. I mean, of course I'm not against investing in bitcoin/crypto, but going all in on crypto expecting for guaranteed profit? That's something else. I know a few people who went big money(probably 90%) on XRP somewhere near it's peak price. Saying that they're screwed is a huge understatement.
Another important factor is that people usually think the coins they invest in have fundamental value, which in 99% of the cases is a wrong assumption. Altcoins have nothing to offer other than speculation and empty promises.
I see so many people fomo in when altcoins have tanked hard, all because they believe it can't go down any lower, and when it does go much lower they are completely shocked.
I made the same mistake years ago as rookie, and altcoins to this day haven't changed for the better at all. From 1001 different coins you have to randomly pick 1 or 2 that will behave differently, which is near impossible.
Bitcoin is the safest bet.
I see so many people fomo in when altcoins have tanked hard, all because they believe it can't go down any lower, and when it does go much lower they are completely shocked.
I made the same mistake years ago as rookie, and altcoins to this day haven't changed for the better at all. From 1001 different coins you have to randomly pick 1 or 2 that will behave differently, which is near impossible.
Bitcoin is the safest bet.
Here's my list of rookie mistakes:
1.Lack of patience/Wants to make lots of money on day 1.
2.Panic selling/Easy frustration every time the price does down by 10%.
3.Refuse to learn about technical and fundamental analysis.
4.Believes that cloud mining websites actually work.
5.Puts lots of coins into only one cryptocurrency exchange platform.
6.Forgets his wallet password/private key.
1.Lack of patience/Wants to make lots of money on day 1.
2.Panic selling/Easy frustration every time the price does down by 10%.
3.Refuse to learn about technical and fundamental analysis.
4.Believes that cloud mining websites actually work.
5.Puts lots of coins into only one cryptocurrency exchange platform.
6.Forgets his wallet password/private key.
the biggest mistake that beginners in altcoin market make is bag holding!
usually it starts as them trying so hard to make some money in this market and then as they see the pumps they get too excited but enter late into the pump. then by making the biggest mistake of not selling on top of the pump they end up on the downtrend of the pump and dump double sided event. and as they lose money they start asking others what to do since they are newbies and others not wanting the drops to continue will encourage them to bag hold some more so they continue losing almost all their money in this process.
usually it starts as them trying so hard to make some money in this market and then as they see the pumps they get too excited but enter late into the pump. then by making the biggest mistake of not selling on top of the pump they end up on the downtrend of the pump and dump double sided event. and as they lose money they start asking others what to do since they are newbies and others not wanting the drops to continue will encourage them to bag hold some more so they continue losing almost all their money in this process.
This are real problems faces by a beginner in the industry and it only takes experience or good mentorship for a beginner not to fall into such mistake. This article was helpful and I also learned new things with it
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