The price of Bitcoin would have stood at 300k if the period had been like 2021. But by 2022, the price of all coins, including Bitcoin, has been heavily dumped. Although the price of all coins in the cryptocurrency is declining now, there is no current review of what the future holds.
Those who wanted to buy at the highest price thought it would exceed one hundred thousand dollars
Topic: Bitcoin Investor Psychology - page 3. (Read 717 times)
This isn't only the bitcoin investor psychology, this is an average investor technology, an Investor who just wants to earn money quite quickly, therefore, will be ready to buy more and more at the top, but whenever you tell him to buy at the bottom, he will tell you to wait for some time as the price may go even lower. You will find such people in all types of markets, even stock markets, forex markets, and even commodity markets. We have even indexes created based on these sentiments of the investors, for example, the crypto fear and greed index, it's one of the indexes made upon the mentality of the investors.
That’s one of the biggest mistakes that a lot of people make. They want to get in and start investing when the market is increasing in value, because they feel that it would keep going up, and that’s why a lot of people would make the mistake of buying when the market is at its peak.
I have seen a lot of people, including my friends that would invest in bitcoin when it is at its peak, and they would lose their money as the market dips. That’s something I try to avoid a lot. I make use of dollar cost averaging at a time when the market is at its lowest ; I invest little amount that I can afford to hold till the bullish trend starts. You wouldn’t feel any much pressure when you’re using dollar cost averaging, it would seem like making savings.
I have seen a lot of people, including my friends that would invest in bitcoin when it is at its peak, and they would lose their money as the market dips. That’s something I try to avoid a lot. I make use of dollar cost averaging at a time when the market is at its lowest ; I invest little amount that I can afford to hold till the bullish trend starts. You wouldn’t feel any much pressure when you’re using dollar cost averaging, it would seem like making savings.
This will be the the case forever as every dip reminds them about the year 2018 and they believe it's a repeat of 2018 for every dump but this time around it's different I see more people buying Bitcoin now since it has crossed $38k after dropping down and I think users have learnt the lesson as they wait for the price to hit bottom and once it starts bouncing back they make entry which was not the case earlier. I am happy atleast we are learning from previous mistakes and just wish this is not one more bull trap.
It is a common mistake already and it's been happening even outside crypto just like others mentioned. Retail, stock market or whatever you call it. It's hard to risk money these days, just considering some cost of living in some countries. There are more factors aside from what I mentioned. Altcoin or Bitcoin, the same thing applies. Good thing Bitcoin never failed us though, unlike 99% of shitcoins out there, lol.
Nice number by the way.
Nice number by the way.
Common mistake of every new investors is they're always on panic buying mode when the price is on top without knowing there's always a correction wherein reason most of them always ended losses. Well that's the sad fact that until now still happening because of greediness. Maybe they're not comfortable buying at the dip reason they still want to buy when there's a progress already. I mean even their history when it comes such strategy isn't good. 
I believe such behavior can be seen in most newcomers in this market. Because if you are a long time crypto user, you already know when to buy and sell your btc. Noncrypto users will notice the btc market when it is rising, but once it is declining, a lot of people are in panic mode or don't know what to do with the market. And for those who are waiting for btc to go down, this is a very good opportunity to accumulate. If you are strong believer, you will know that this is one of the good times to collect. But the simple photo from the OP is actually true and is happening.
This strange bitcoin investor psychology is found both in the newbie investors but also among the old crypto investors. Many people don't learn from their mistakes and keep repeating the habit of buying at high and selling at low. That's why we see only a few people are able to make good money from this volatile market while most of the traders and investors are found complaining that they are in a loss.
It's a great picture from op. Of course, not everyone's like it. Some buy a bit at any price, some buy the dip. But investments and interest in Bitcoin as a form of investment clearly rise when it's high up and fall when the price is down and there's actually a good opportunity to invest. This probably means that most investors don't take Bitcoin seriously. They don't believe that it's valuable, so they rely on the price to see if there are enough people who deem it valuable and whether it's thus worthy as an investment. If they believed in Bitcoin, they wouldn't pull out the funds every time it's down. And I thought Bitcoin recovering after 2018's bear market made it obvious that it always recovers and goes higher.
I think there is a concern here, if they don't buy it, they are afraid they will be left behind. So they ventured to buy at a time when the bitcoin price was relatively high. What I want to underline here is "forcing to be brave" so they forget to analyze to what point btc will skyrocket from the price they buy. That's why many complain.
My advice if we hesitate to buy, then it is better to wait until we are absolutely sure.
My advice if we hesitate to buy, then it is better to wait until we are absolutely sure.
I don't know what to say, but this is really happening in the market. I don't think that's a strange thing, but they are people who get carried away. I don't know what they were thinking, but it was a situation that left me speechless. Indeed we can't blame them, because they must have their own reasons when buying bitcoins at high prices.
We can't blame them for any reason, and we have to appreciate it because it's good for them to want to get involved or buy bitcoin even though in the end they feel disappointed because the price reversed.
they are new people who don't have basic knowledge and also don't understand bitcoin who only have hope the price will keep going up when they buy it and when the price goes down by half maybe afraid the price will keep going down, so Holding it firmly is their best option and hope the price going up, and what happens will be a lesson for them and will get to know bitcoin better overall. and with it will make bitcoin continue to grow and become popular.
they are new people who don't have basic knowledge and also don't understand bitcoin who only have hope the price will keep going up when they buy it and when the price goes down by half maybe afraid the price will keep going down, so Holding it firmly is their best option and hope the price going up, and what happens will be a lesson for them and will get to know bitcoin better overall. and with it will make bitcoin continue to grow and become popular.
People were willing to buy bitcoin at all time high prices and everyone was greedy. Now when bitcoin is half the ATH price, we see no buying pressure. It's strange that people are willing to get bitcoin at high prices but they don't buy it when bitcoin is available at fair cheap prices. This is strange bitcoin investor's psychology.
It is not the same as the sale in shopping malls, and I agree that they are buying at higher prices because of a lack of knowledge on the part of the buyers. Usually, the issue is that people are afraid to buy on red days because they believe the stock will fall more; however, on green days, they believe it is as simple as rocket science and the stock will rise more rapidly. The difficulty comes from rushing into an investment without fully understanding what you are getting yourself into.
The difference between FOMO and panic selling/buying the dip has already been explained multiple times.
I guess that the buyers will have to wait for a few weeks,so they could be sure that 32-35K USD is the dip.
Maybe then they will start buying.
I have a good feeling about April/May/June.Maybe the Bitcoin price might start recovering during the spring.
However,I might be wrong and the price won't recover back to 50-60K during the entire 2022(which is perfectly fine).
Most true Bitcoin investors and HODLers are ready to wait a year or two for another Bitcoin ATH.
I guess that the buyers will have to wait for a few weeks,so they could be sure that 32-35K USD is the dip.
Maybe then they will start buying.
I have a good feeling about April/May/June.Maybe the Bitcoin price might start recovering during the spring.
However,I might be wrong and the price won't recover back to 50-60K during the entire 2022(which is perfectly fine).
Most true Bitcoin investors and HODLers are ready to wait a year or two for another Bitcoin ATH.
We will always see such scenes and now it has become preety common as at the time of price dips there is huge rush for people selling their coins and on the opposite side whenever the price is rising people tend to invest more to gain profits as they believe now their investments will be safe which is totally wrong approach in bitcoin.The wise man always buy at the dips which will give him more profits in the long run.Panic sell is the worst combo mixed with greed of people and they start selling without any knowledge.So leave them at their own end.
It's funny but I have some friends who are as typical when it comes to "crowd mentality" as it gets. One of them always messages me when bitcoin goes up a lot and asks if this is the right time to buy, but when it goes down he never wants to talk about it and says that this time it will be over for bitcoin. The other one always waits until the last moment. He needs a few months to finally produce enough confidence to buy, but then it's usually late. When it keeps falling he does the same. Fear slowly builds up for months and months and finally when he's down 70% he sells.
They both witnessed the 2017 and 2021 bull markets and never made serious money.
I also know another "typical guy" who keeps telling me that bitcoin is too expensive for him and always invests in the most shitty altcoins out there. He's like a compass for what not to touch.
It's interesting that people always go after the easiest and the most obvious pattern: I put 1 dollar in the slot machine and got 2, therefore if I put 100 I will get 200. This is the shit most people believe in and it works both ways: I bought Bitcoin and it went down, therefore if I buy again it will go down again and I lose money, so I better not.
They both witnessed the 2017 and 2021 bull markets and never made serious money.
I also know another "typical guy" who keeps telling me that bitcoin is too expensive for him and always invests in the most shitty altcoins out there. He's like a compass for what not to touch.
It's interesting that people always go after the easiest and the most obvious pattern: I put 1 dollar in the slot machine and got 2, therefore if I put 100 I will get 200. This is the shit most people believe in and it works both ways: I bought Bitcoin and it went down, therefore if I buy again it will go down again and I lose money, so I better not.
I cannot say that it is all investors, but most of them are the new investors, who maybe invest in Bitcoin because of hype or only follow the other success.
That's right, most of them are like this, late to buy Bitcoin at such a low price. I think most people just follow things that are booming, therefore the price goes up when they decide to invest in it and take it at a relatively high price. It's true that we have to change our mindset where when the price drops it's the right time to buy, moreover we know the prospect of Bitcoin itself is indeed good for the future so buying it at a low price is an advantage. Bitcoin prices will always go up and down in the market and as investors or traders, we must be able to deal with it well.
Greed is human nature and people nowadays are afraid to take the risks but want to gain a huge profit which is far from reality. I think fear is one of the reasons why people are investing when the price is quite high. They fear the dip instead of taking it as an opportunity to buy. This is the mindset of those who apply the wrong strategy which is to buy high and sell low. A wise investor should know how to take advantage of every market situation.
Sometimes people don't realize that their greed leads them to wrong decisions. Some people are indeed more enthusiastic about buying Bitcoin
when the price of Bitcoin goes up, because they think the price of Bitcoin will continue to go higher. Greed makes us not think realistically, even though
the price of Bitcoin if it has gone up high, the next one will decrease. So in the end many people buy Bitcoin at the peak price, when they should buy
Bitcoin when the price drops. This is the importance of controlling emotions and also learning more about the crypto world, so that we can make
the right decisions. Don't be influenced by other people's decisions, we must be able to believe in our own decisions. Sometimes our decisions are right,
but because many people make wrong decisions, we become affected. As an example of what is happening right now, where many people panic
and sell the Bitcoin they have, because the price of Bitcoin continues to fall. We must have the courage to make decisions that we think are right,
we know that the right decision is to buy Bitcoin when the price is low and sell Bitcoin when the price is high. Never be afraid that the decisions
we make are different from most people, as long as we believe the decisions we choose are the right ones.
I believe such behavior can be seen in most newcomers in this market. Because if you are a long time crypto user, you already know when to buy and sell your btc. Noncrypto users will notice the btc market when it is rising, but once it is declining, a lot of people are in panic mode or don't know what to do with the market.
yes the first 6-12 months of newbie experience is that they "heard from a friend" to buy in and 10x their money quick
this is why us long term bitcoiners need to ensure these "get rich quick" adverts are not promoted and instead offer advice "buy the dip, not the hype"
Common mistake of every new investors is they're always on panic buying mode when the price is on top without knowing there's always a correction wherein reason most of them always ended losses. Well that's the sad fact that until now still happening because of greediness. Maybe they're not comfortable buying at the dip reason they still want to buy when there's a progress already. I mean even their history when it comes such strategy isn't good.
I believe such behavior can be seen in most newcomers in this market. Because if you are a long time crypto user, you already know when to buy and sell your btc. Noncrypto users will notice the btc market when it is rising, but once it is declining, a lot of people are in panic mode or don't know what to do with the market. And for those who are waiting for btc to go down, this is a very good opportunity to accumulate. If you are strong believer, you will know that this is one of the good times to collect. But the simple photo from the OP is actually true and is happening.
This isn’t just how things normally go for bitcoin but this is how things normally are for all markets. I am constantly getting calls from clients when markets are doing very well or even at all time highs wanting to invest but when markets tank all they want to do is sell. People are too overcome with emotions and often let it guide their investing.
Maybe you should be dishing out some advice to your clients, they should know that they are missing quite a lot and that is not really how they should be doing their investment. It’s just like Warren buffet has said, you should be greedy when others are being fearful and you should be fearful when others are being greedy. That’s the right way that investment works.I follow that rule, and that’s why I make sure I am investing when the market is at its lowest. When the bearish trend starts, I will always have patience for the bearish trend to push the market to the lowest that it can get, and then I would start my investment and hold till the bullish trend starts and people starts being greedy and FOMO, that’s when I would start getting ready to sell.
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