The continuous decline in Bitcoin prices may make investors very nervous and many people have lost confidence in Bitcoin as well as crypto.
This is a very normal psychology and nothing strange in life, in any field, there are two emotional state is governed by FEAR and GREED.
Especially in the financial market, not just the crypto market, when prices are rising, people often feel GREED, focusing only on positive trends and never thinking about trends. Negative, when the price goes down, then the person feels FEAR, then focus only on the negative trend and never thought that everything would be positive again.
Talk about this for people to imagine that believing in a current trend is only relative and timed, so look at the market trend with an objective eye (out-of-game) so that If not, then it will not be absorbed in the psychological game of the market. Finance is a game of psychology!
What do you think about this?
This is a very normal psychology and nothing strange in life, in any field, there are two emotional state is governed by FEAR and GREED.
Especially in the financial market, not just the crypto market, when prices are rising, people often feel GREED, focusing only on positive trends and never thinking about trends. Negative, when the price goes down, then the person feels FEAR, then focus only on the negative trend and never thought that everything would be positive again.
Talk about this for people to imagine that believing in a current trend is only relative and timed, so look at the market trend with an objective eye (out-of-game) so that If not, then it will not be absorbed in the psychological game of the market. Finance is a game of psychology!
What do you think about this?
The fear may come from the lot of people who actually don't know why bitcoins are volatile and end up selling whatever they have left. These people are mostly newbie investors who just bought at the hype and when the price starts dwindling down, they start fearing the future of bitcoins and then bail out last minute.
I think, most people panic because fake news and most of them are buying bitcoin at top price. I am agree that most of them are new investor and they should learn bitcoin price history before panic and selling their coin with cheap price
Here's the Golden Rule if a person wanted to invest "Invest only the money you afford to lose and invest at your own risk" and to add up, it is better not to expect too much because sometime or majority of the times expectations turn out to be disappointments. 