Topic: FOMO of bull market (Read 735 times)

There is nothing better than having a plain mind of neutrality with the market while trading, anything other than that will only push the trader into doing what he is supposed not to do, and the end result will be losses. Trading is more of a psychological business that needs more of expertise and plans rather than any expectations. Traders should be neutral and make sure that they have their working system that will do the work, and when the system is productive enough, there is no way the trader will not be making money and be fine. But for those who use the expectations to affect their trading psychology, there is no way emotion will not set in, and with the expectations to be precise, it often causes greed at first. Again, when the greedy trader is rather losing, that will graduate to revenge trading which will now ruin the account of the trader. Recovering from this takes time which is why it is good to avert it from the onset. Above all, we need to manage our trades, our accounts and ourselves, all these three make a good trader once the trader already has all that it takes. This is why FOMO, FUD or any iota of anxiety should be avoided, but the trader must only embrace professionalism and discipline.

Unrealistic expectations are often more damaging to a trader than a poor strategy, and that is because often enough a poor strategy can be improved upon with the right amount of effort.

However unrealistic expectations are very hard to change even if you were to show those traders that there is no way to achieve their goals, and often enough the only way those traders are willing to change those expectations is when reality has hit them so hard they have no option but to admit they were wrong all along.

WLD have been doing well, I don't have the coin but I receive notifications from some exchange that I have their apps of the coins increasing. Just like wld, other coins will rise as the fomo of the bull market comes but we have to try to avoid scam coin as they'll become many in the market. I have some coins that I have been monitoring and those are the ones I'll be investing into while I trade the rest as they begin to attract interest from investors due to the bull market.

I don't trade with leverage of 10x, that's too risky for me and I might lose everything in my account if I try it. I trade on the spot market were I can buy a coin and if I didn't see a good price to sell and be in profits, I can hold the coin until the market is bullish again then I sell and make profits. Newbies shouldn't be using too high leverage when trading, we shouldn't be greedy and want to make all the profit.

We are still bullish and the recent correction is just part of the trend and this is not just about FOMO anymore as Bitcoin is able to sustain its momentum and I’m sure it will continue pump until the end of the next and up to the next halving. There’s a lot of altcoins today who are already close to reach their new ATH, its early to say but it can happen any time, better to grab the opportunity now while the market is still not expensive, we might see the bullish trend of all time with Bitcoin and good altcoins.

Most of the time we get some temptation, and we then fail. Most of the time we move away from the usual things we do had also create additional experiences that will teach us, and this is what happened to OP and those who tried 10x leverage. Sometimes we think that trading needs some luck, like gambling. That is why most traders choose to stay 2-4x leverage because even earning just a small amount but at least the risk is manageable enough. But most of us wanted instant, aiming more which usually ends in losing more.

If it is a trading system with leverage, future markets, it is definitely higher risk, always high risk. And if you do that without careful analysis and consideration, it is really gambling. Trading with leverage is something that is not easy to do, except for certain professionals who already have several ways to anticipate various unexpected conditions related to market. So whatever the market condition, whether short or long, they can get more profits compared to losses. However, if it is only associated with FOMO because of the issue of a bullish era, without having sufficient knowledge, the risk will be much greater. And we really have to be alert to various things that can cause us to lose.

Prices are still distant from their past all time highs and this is the reason many individuals are convinced that the market remains a good buy.

But futures trading is extremely dangerous and requires accuracy in dissecting the market. FOMO cannot be applied to futures trading. This is different from the traditional manner of investing and trading where we can plan to do it long term and with longer time frames. To be safe in futures trading, put a limit and use a small sum of money. Using 2-4x leverage is tolerable but a 10x trade possessed risk of liquidation.

Not until we are ready to take the risk in making an investment on digital currencies, then we may not be a partaker of the positive vibes of what is going on in the crypto sphere, not every of us are ready to take the risk other's took in making an investment on digital assets, but yet we still expect to have thesame kind of benefits or result with the same kind of risk taking individuals, the more we want to have something big the more we must be willing to embrace for its bigger challenge.

I've already made my comment earlier, still according to the market sentiments and the latest momentum I would say the peak of FOMO is already broken market gave a decent buying opportunity last week, but in the current scenario the funding rates are still not so good and the market is getting overheated I'm damm sure that market will re-liquidate positions.

TBH currently there are no signs of the bearish movement.

That's true, I might be wrong. But name an altcoin that would exist for as long as Bitcoin exists, and I'm very confident that that altcoin would have a high probability of not existing as long as Bitcoin. But there might be two or three blockchains co-exisiting with Bitcoin in 10 years, maybe longer than that.

Everything we're currently experiencing is part of one giant cycle that will not keep surging forever.

I believe everyone should read this book to understand my viewpoint, https://www.goodreads.com/en/book/show/91360



There's a free audio-book in YouTube.

Each chapter tells a different story of the same phenomenon and it's also happening in the cryptocurrency "industry".

This thinking make other people go with those crypto's they think have potential to pump huge that's why sometimes they caught up and get FOMO when certain good pumps happen then also to many people hype the said project. If we are not careful we can lose our funds so to avoid commiting such huge mistake. For now I'm into top coins but still looking forward to invest on other altcoins which I think have good potential to get a good pump, for now just monitoring the noise created by people and some actions made by project owner since I want to be wise since can't afford to commit mistakes especially I don't want to a possible huge lose due to miscalculation of everything in alts investment.

We both miss coins that once made us experience multiple profits, but I'm sure as long as crypto can still be traded, it's not too late to try again, even though it definitely happens on a different coin, at least we still have the opportunity to gain multiple profits in the future. I am enlightened on several coins, for now more on WLD and OGN coins. two of my favorite coins that are suitable for saving for the future.

Well, I was saying, holding can be better for alts too, rather than actively trading them.

I'm sure Bitcoin will last long, I don't doubt it.


Plenty alts keep popping up even now, in future it's only going to increase. Alt number will likely be in hundred thousands in 10 years. But, prominent alts might be few like Ethereum is now,  others will keep changing positions in tracking sites and eventually disappear.

This is the reason I already quit trading.
At the start, you will get some profit using x2-x5 leverage, but it will be small, and you feel that you need more. Greed got me at that time, and my next trades are already at x10 or even x20 leverage. The ending is I lost all of my profits that I got from I think 2 weeks just because of a single entry.

I guess if you are investing for the upcoming bull market, leveraging isn't the way, but just hold it. I mean why leverage it still? For the sake of profit? We expect that the bull run will happen in a few months to maybe a year from now, so why not just hold it instead?

If you can't control yourself, don't trade. Simple as that or else, you will lose your money. I can't control myself whenever I'm trading that's why I stopped it already.

I still think that you are wrong on the number of altcoins. The reality is that, with what you said, you are right about the fact that bitcoin was made for lasting and that means it will outlast every other blockchain and of course that means every other altcoin as well.

But, there are two reasons why alts will survive as well, in 10 years there will be some alts who have changed their blockchain and they will last because of that as well and also there will be new ones as well which will be created around that time.

So thousands of alts will always be there, not because they have lasted for a decade, but because there will be new thousands of coins every single year as well, specially on bull years they get a lot more. This is why bitcoin will always stay at the number one position, and all other coins could always switch their position, but we need to accept the fact that altcoin world is not going anywhere, they will continue to exist in some form.

I believe your reason why might be different from my reason. Because of the design decisions made by the Core Developers, there's a higher probability that the Bitcoin blockchain will exist and continue chugging along longer than all of other blockchains. It's not designed to be fast, it's designed to be robust.

In 10 years, there might only be Bitcoin and maybe two or three altcoins in existence.

You have good points there, we should be very careful in our crypto investment and no one can actually make 100% certainty on what any market would do. Just like we see it recently, there are altcoins that moved over x10, this is why I like to maintain a higher stake in them no matter what. And when the opportunity of striking them at a very low price is there, you are so lucky, and no matter what the manipulations could be, you will never get affected since you struck at a cautious level. Take for instance, you bought a token and have already earned x10 due to the altcoin bull run, no matter how the manipulation could be, you can't still be careless to the extent that you will go home with lesser than x5 profits irrespective of how fast the dump is.

However, it is good to diversify your portfolio in this regard, and if you have about 10 different altcoins, most of them will not behave haphazardly as you described, they will still retain their profits as long as possible, just as we see in the recent bull run. There are many altcoins that didn't relent at all but continue to hit a higher year's ATH. I expect the same to happen in 2024-2025, and, as you can see, the time to invest is so much, so will be the time to prepare for a liquidated position as no one should be fearful in their investment plans but professional. The right choice of the asset matters as well, and the trader must be ready to guide their views and decisions rightly with good speculation and not fear the dump that often causes mistakes in investors' decisions.

When altcoin season comes, many shit coins will be used for pump and dump games. If you join early before their pump games, and you can hold those shit coins, you get profit. If you ignored them months ago and now only consider to join because they rose a lot and stimulate your greediness, you might end with big loss.

After pumps, there will be dumps because they are two parts of pump and dump games.

They fell in last three years since 2021 to 2023 and when they started their rallies, you should never touch those shit coins and short them. Your margin position will be very easily liquidated if you open a position that is opposite with the market trend, that is upwards now. Don't short because you can not know how high they will rise to before stop and start corrections.

If you miss their pumps, stay patient, observe it and the market, don't short.

Let me guess, the coins that do that must be a shitcoin, they are the forgotten coins that could just resurrect from now where through some artificial pumping when other major coins/tokens have had their initial rise due to the pump. It's often interesting to see some of them pumped x2, x4, x5 and so on in this regard. I saw many of them that were sluggish in movement when the bull run happened in the past 4 months. But suddenly in December, they started moving dangerously upwards. It could only mean that people abandoned them and focused on the major initially and when they were done with the major, they started looking elsewhere to pump until they got to their turn. They often pump the low-value coins/tokens at that time and that explains why some of them could suddenly move over x10 in just a few days.

Anyway, we should be prepared for the worst as an investor, the market may go as planned, or it may not go as planned. But one that is certain is that we should only invest in a bullish market, and as long as the market remains bullish, no one should stop investing even if they believe they are entrapped by the spirit of FOMO. FOMO most times helps investors, especially on the asset they have reliability upon just like Bitcoin. Another time to invest is when the market is at its bottom level.

yea, but you don't often know when it's peaking, or if it'll keep peaking. I have bought coins in past that went to increase further from my bought price even tho market was already increased to an extent then.

I see it as gambling, not trading and trading or gambling, you must afford lose before doing it.

20x leverage is very big risk for your money but if you are ready, want to take big risk with hope that you can get bit profit, I wish you will get enough luckiness but I am not ready to do this.

No, I don't agree with this suggestion.

When you use leverage, you always start with low leverage, then you will lose control and increase your leverage higher and higher. Eventually you will be rekted by the market and forced liquidations.

Your suggestion is increase low leverage gradually to higher leverage, that I disagree completely.

While that amount of leverage may not seem to be too high, that is more than enough for those that are expert traders, exchanges often promote the huge amount of leverage a user can take as a good thing, but it is the opposite, since the greater the leverage a trader takes the easier it is for them to get liquidated.

And it should not be surprising that the majority of those that choose a high level of leverage end up losing all their capital, so using a low leverage or none at all should be best choice for most traders.

It's just a matter of risk preference. If you're willing to make the decision to trade with 20x leverage, it means you have to be prepared for the looming risk of liquidation at any moment. Keep in mind that Leverage Trading or Futures Trading markets are a bit different from spot trading markets, so their movements are also a bit distinct.

To learn a lesson, it's best to increase risk gradually, starting with low leverage first. Once you're confident in your trading skills, you can then use higher leverage. Never get greedy in trading with leverage, as it will only make you lose control, and it's one of the quickest ways to self-destruct. High-leverage trading can also lead to addiction.

Forced liquidations can come from Leverage Trading or Futures Trading. Both trading types are risky to use than Spot trading or more safer, Holding.

Even Spot Trading has less risk than Leverage and Futures Trading types, you will have to leave your bitcoins on a centralized exchange to trade with Spot. It is risky.

Reminder: do not keep your money in online accounts.

Since there's a liquidation, it means you're using futures trading. This is the disadvantage in futures trading, while if you only use spot you wouldn't get liquidated. Some traders prefer futures because they can use leverage. However, using 2x to 4x leverage is quite safe since the liquidation price is too high. So if you increase your leverage the size of your liquidation will decrease. That's the reason why we should always stick to the plan we used to be.

the thing with bullrun that people tries to ignore, just trying to buy when the price already high, even worst, opening position with high leverage to long certain coin while the price is already quite high enough, of course it will get liquidated, majority of people are getting fomo'd by such thing and does make that mistake therefore we need to know that investing at bullrun doesn't necessarily means we are safe and gonna get more profit, if we bought at the top just because we are getting fomo'd by the fact that other people make profit.
I honestly if its spot trading, no time is safer to invest other than when in bearish where everything is already so undervalued that we can be buying some altcoins out there and not worry about the coin dumping to the very bottom because we are already entrying at the bottom.
i always have tendency that investing around bullrun will eventually left us losing and need to wait for another bullrun which gonna take years to come.

Using up 10x wont really be that bad but of course you should really be needing that sufficient knowledge and capital for you to be able to hold up your position and not would be that liquidated but of course it would really be always depending on the price that had been set out.My maximum leverage on a trade would really be just that only limited to 10x and past beyond that then i would say that it would really be just that a pure gambling and this is something that you should really be avoiding in the first place. Getting FOMO or trying out to get in when the price is already peaking then it would really be just that a foolish action
that would be made out by someone. This is where usually people would be making out those immediate cut losses on the time that they would really be making some negative ports.

This is why as much as possible, you should really be that trying out to control your emotions specially when you are seeing that huge candle because if you wont really be that making
yourself that tough when it comes to mindset and emotion then this is where usually loses would really be kicking in and this is why it is really that
important on having these considerations.

Great insights. I think at some point in time we all used to fall victim to high leverage and FOMO. It’s a matter of experience. I stick to a similar strategy, 2x-5x is my sweet spot, with 10x for occasional riskier bets with strict 5% margin. It keeps risk in check while offering some flexibility. I also use an AI-driven stop-loss system and use a long-term analysis and data-driven decisions when executing trades. It's necessary to protect your capital and make smart, calculated moves and not chase quick wins.
If you have any questions you can contact me via my Discord: https://discord.gg/dCvaBZWNcG

Cross margin is more risky than Isolated margin.

When you use Cross margin, if your portfolio value drops, you will have big problem as your portfolio value might drop to a threshold of forced liquidation. Like FTT, LUNA drops, you will never be sure that your portfolio will not drop 80% or more when you are sleeping.

If you are professional in margin trading, I have nothing against about your strategy that works safely for you but for newbies, it is risky to apply this strategy.

Even you a professional, I believe risk is not like 0%.

I think the problem is not the leverage you use. But I think you are using a margin that is too large compared to your total capital. I only use a margin of around 5% of my total capital (Cross). And even I often use 10x - 20x leverage and it's still fine. But actually, with current market conditions, it is natural that many are liquidated. Because there has been a rapid decline. Today's market volatility is truly harder to predict. Even some of my analyzes were wrong. But I rarely trade in the future market. But sometimes do it every once in a while. Or several times a week. Because I don't trading scalping but I prefer to swing trading.

I guess that what you did was gambling, because using 10× leverage greatly increased your risk, because if you had used like 2-4× it would have minimized your risk. High profits comes with high risk, so a trader has to decide the level of risk that they can absorb, but taking very high risk in crypto trading, knowing how volatile the market is, can be best described as greed. Personally I prefer to minimize risks in everything that I do, especially when I know that the outcome is not certain. It seems to me like the high risk that you took is a one time thing, so it's better to stick to the 2-4× leverage that you're used to, instead of taking it higher, so you can easily absorb the shock of loses if it occurs. Wish you all the best as you minimize your risks.

Even when there is a bull run, you have to manage your risk. You shouldn't just jump into a trade with high leverage, 10x leverage is kind of high. I am sure you should have learned your lesson. With the leverage that you used, you should have made use of stop loss. It's going to help you reduce your loss even if the trade goes against you. If you have used stop loss in the trade, then you will have lost some percentage of your money, but not all. Your stop loss will cut your loss. Stop-loss is kind of useful in cases like this.

It's just better if you go back and be maintaining low leverage in your trade, don't think we are already in a bull run, then you will start using high leverage, always maintain low leverage, and don't trade with all your money, just enter a trade with some percentage of your funds and leave the rest so that you won't get liquidated easily.

That is true, newbies do not have the experience to start trading right away, they are not going to make all that much profit and they should avoid spending that much money. I get that some people think that it would be a smart decision to keep trading because bitcoin is a volatile thing and you could buy or sell to make money, but that doesn't come in naturally and you make profit on the first day and just become rich after a month, that doesn't work like that at all.

We need to realize that we can't really make that much money all that easily, we need to arrange something that will make it a bit different, and we need to be careful with what we are doing and the return should be according to how it could become.

Yep, dude, you said it right that whenever we are greedy so spontaneously, we will be faced with a loss because, in greed, people don't look around they just focus on money and think about it, while as a result, they lose everything. I mean, they put themselves in FOMO despite the fact that they don't even know that FOMO is like an ocean wave; it can flow you away. I often find that when people see FOMO in the market, they jump right in to take an entry even though they haven't looked at the technical analysis a bit and follow the people's words without any research. When the end result comes out, he gets nothing but a loss and regrets that if I had done even an iota of research on my own, then I would not have suffered any loss.

So it means to say that we should learn a lesson from a similar incident and find measures against it in the future so as not to fall into this mistake again.

No matter how bullish and promising the market is, do not risk with high as 10x leverage because the risk to lose is 10x as well. You don't hold what the future price of your coins, it can be profitable today but you can't say if it will stay that way tomorrow, so always do with caution. Trading using leverage is already risky, so how much more if you make it 10x, that is too much to handle your losses.

It's safer to stay with 2-4x leverage, that way the risk to lose is not also very high. As long as you can still manage your losses, that's fine enough.

For sure chainlink will out-perform the ETH in terms of the rewards, from the current price range I'm expecting at least a 7x return, but having a long position in the current timeline is really not a good idea because the short-term market flow goes with the hype and currently shitcoins and BRC-20 tokens are in the hype. People are shining the low-cap BRC-20 crazily.

After the huge pumps, I'm expecting the end of the meme coins rally in the coming 2 to 3 weeks, and you can try short in over-pumped memes's not recommended at all just a tip.

There are so many lessons we need to learn from the market. Most time the reason form our failure is greed. We need to make sure that we don't over leverage because this alone had been the problems of many traders and what usually lead to there failure.
We don't need to be greedy as a trader because this can give us a bad luck if we don't work and study the market very well before we enter the market. You have learnt your lesson and it is left for others to work on themselves too and prevent future loses.

That's quite true for any alt, not merely for Bitcoin, but yeah it's quite hard to find right alts sometimes. One of my friend did lots of trades of Matic back when it was few satoshi, had he just purchased and held, he would be having more money than however much he made by trading it.


Thank you! Will keep that in mind.

I think the second lesson you should have learned after liquidating your position is the mandatory use of stop loss. Even if you set the minimum value slightly above the liquidation price, you would save some of the money that the exchange charges for the liquidation of the position.

I believe that for newbies, it's probably better to merely Buy and HODL Bitcoin or DCA and HODL, then treat the wallet like it's a savings account. I saw a newbie that is trying to convince everyone that it's already "too late" to invest in Bitcoin. Laughable! Because if a person truly tried to understand Bitcoin and how it's a technological breakthrough that could influence that evolution of money, then I'm very confident he wouldn't say such words.

Many newbies that wanted to "trade" because they wanted to be a "millionaire" would have been in a better position financially today if they merely saved and HODLed Bitcoin.

Apart from what you have said, I think the real one that cause you to lose is what we call greed, because you increased your leverage by 6 levels. But before that is you FOMO'ed. I think FOMO still have some element of greed. And when we are greedy, we often neglect things like making a research or analysis (like you said there).

What happened have already happened, so there is nothing much we can do about it other than taking it as a good lesson in hopes of improving ourselves next time. I know the market is improving since last time but their movements are not consistent lately. So you shouldn't FOMO. It is too early of doing it.

Here's some lessons I already learned but want to write here so that other users can learn from it.
1. Do not left a trade overnight, without placing a alert on prices, without placing an stoploss. we need to keep an eye on trade with which have huge leverage size.
2. do not take decision by seeing good news and greenery everywhere market does opposite most of the times.
3. do not lose control and increase leverage after some losing trade, instead stop trading for that day. and the loss is bigger than take a short break.

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I used to trade with 20x leverage and after losing my control I switch to 50x leverage and get liquidated everytime, if the price gone in my favor I take profit before hitting my target.
because we tend to hold losing trades. but now i don't do these stupid mistakes.
I now trade with 2x-5x leverage. and if I want to take a risky trade than I trade with 10x leverage by using 5% margin.

Why did you decided to change your strategy? Even if you had been right and the price of LINK went up you should have used the leverage that you have backtested in your strategy and the one you have enough experience with.

If this was because of FOMO or greed then you need to rethink your strategy and even take a break from the markets, because if this happened to you now, things could get a lot worse for you once the bull market actually appears and messes with your emotions once again.

Me too, but I was not liquidated, only stop losses were hit in my multiple trade position. It's fine already because if I didn't put stop-losses those trades would be liquidated somehow.
And now, the market is pumping. Trading is really difficult. That's why everything is possible to happen.

Greed is something attached to the human mind and it can’t be easily taken away from them easily. You that have been trading for long has the ability to control your emotion, greed and any other influence that can lead to loss of your money when not taken cautioned of during trading.

For a beginner and inexperienced trader, they will always fail at this and won’t stick to the 2-4x leverage. Experience is the best teacher, many are meant to learn from experience and this warning won’t even move them until they fall victim of it before they can learn from it.

Future is risky and now is our time to settle and pursue on our aims. Taking chances should be the slogan for the majority of these traders, they don't give up so easily; everyone wants to reach the pinnacles of their destiny. The bull market does not last long because of market volatility, and we prefer to make things simpler for ourselves by trading in good entries rather than the other way around. Most investors in the market are afraid of missing out, thus they want to be very active without adopting the necessary tactics that should be applied.

Futures are risky and if you don’t have the stoploss, you’ll be liquidated for sure as the market remains unpredictable. Its bullish yes but you don’t have to be greedy, stay within your limit and enjoy the bull trend slowly but surely.

FOMO is normal but if you act greedily, you may not be happy with the possible result of it. Don’t rush in the market, there’s still time to accumulate and when you do trading, its better not to rush things and just enjoy analyzing the trend while making your positions.

Sorry for your loss, I know how it feels as I have made similar mistakes in the past but as long as we take this as a learning curve or a lesson learnt hard way we can still earn it back at the right moment of you have a strategy.

I have to share just two things as follows:

1. Never go for more than 2x leverage for any Altcoin as the chances of winning are lesser compared to losing since we cannot control greed at certain point of time and end up losing it all whatever we have earned little by little.

2. Even for Bitcoin you cannot used leverage of 10x, as per my understanding we can take a maximum of 4x leverage in Bitcoin.

Leverage must be used wisely, because if it is used uncontrolled it will make losses closer. but those who are lucky will certainly get more profits. especially using X100 leverage, it will be an extraordinary profit especially using a lot of bets. but this seems to be no different from gambling when you force yourself to use high leverage, because there is a very high risk of losing everything.

OP usually goes for a trade with 4x leverage and that is his strategy but then he thought that the market is bullish and he wanted to earn more.
So his greed kicked in and because of that he changed his usual strategy and took a higher leverage.
OP himself agrees to the fact that we should stick to our strategy and not change it because of greed.


Good advice, but how long do you stick to your strategy even though changing strategies may take you higher?
"The bigger the risk, the bigger the reward" isn't it? So how's he going to get a big reward if he doesn't want to take a big risk? I know he should not go beyond what he's ready to lose but isn't there a thin line between taking calculated risk and investing more than you're able to lose?