The reason why investors often lose money - page 6.

TheUltraElite

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So anyway, I applied as a merit source :)

Quote from: breathlessz on August 10, 2021, 10:31:58 AM

The hasty attitude is indeed one of the causes of investors experiencing losses, because if they feel the price is good, it turns out that the price has fallen again, many of them have panicked sell so they make a cut loss. Actually for investors this is very unfortunate because at first they had intended to invest

Haste makes waste as quite correctly said.

But the haste comes from the realization that they are late to the game. I would advice such people to not get FOMOed, though better said than done. There is always a chance to buy when the prices come down because it is a constant cycle and no price is ever absolute in a speculative market.

Often a few months of stalking charts and patience pays off but many newbies who have never had a first hand experience in stocks, forex make this mistake.

In this context, newbies also make the mistake of settling for shitcoins just because they dont have enough to buy "1BTC" (which seems to be a norm) and go for tons of shitcoins. Essentially they wasted their money right then and there. But I dont think that this can be changed without the person being informed prior to investing. In fact these newbies are the ones on whom the shitcoin bagholders drop their shit and exit.

Yatsan

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Leading Crypto Sports Betting & Casino Platform

There are different reasons and factors affecting why investors mostly lose their money in an investment or trading. Mostly those reasons and factors are somewhat environmental, economical and even social that contributes on how their mind behave on dealing with their investment and trading. It is in need for an investor and trader to be disciplined and knowledgeable to be able to identify what are his essential needs so that he won't be much affected by external factors that can affect his decision making for the sake of saving up his money.

Lanatsa

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Quote from: adzino on August 10, 2021, 01:09:46 PM

Yeah, in other words don't buy because of FOMO, don't sell because of FUDs and stay away from shit coins because investing in those coins will highly likely make you lose everything. Heck, just don't even sell when you are at a loss when you invest in well known coins. As long as you don't sell, you don't make any loss since the number of coins you are holding is still the same Wink

.

Quote from: lightning0 on August 04, 2021, 01:36:38 AM

-snip-
1. Never sell because the price looks high. For example, if you look at it from 10 to 20, what should you judge at this time is what is preventing them from 20-50?
2. Similarly, don't buy directly because of the high price in the previous period and a lot of drop. The decline is justified.
3. Never equalize the loss in your current account, as there is a high probability that you will lose more.

Don't buy, don't sell. Then what should we be doing? When the price goes from "10 to 20", then if you think you have made enough profit, then sell. Stop thinking that it might go to "20 to 50". I thought you just said we shouldn't invest based on speculation.

We should set take profit time or level on where we do consider on pulling off our profits and securing it as this had been always our main goal on why we do invest on this market.

Losing money is inevitable but due to experience and knowledge then we can really at least lessen the risk on losing that much. We would really be making ourselves a lot more better

as we do get experience by engaging into this market.We do have different takings and decision because we do have different mindset and goal.

adzino

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www.Crypto.Games: Multiple coins, multiple games

Yeah, in other words don't buy because of FOMO, don't sell because of FUDs and stay away from shit coins because investing in those coins will highly likely make you lose everything. Heck, just don't even sell when you are at a loss when you invest in well known coins. As long as you don't sell, you don't make any loss since the number of coins you are holding is still the same Wink

.

Quote from: lightning0 on August 04, 2021, 01:36:38 AM

-snip-
1. Never sell because the price looks high. For example, if you look at it from 10 to 20, what should you judge at this time is what is preventing them from 20-50?
2. Similarly, don't buy directly because of the high price in the previous period and a lot of drop. The decline is justified.
3. Never equalize the loss in your current account, as there is a high probability that you will lose more.

Don't buy, don't sell. Then what should we be doing? When the price goes from "10 to 20", then if you think you have made enough profit, then sell. Stop thinking that it might go to "20 to 50". I thought you just said we shouldn't invest based on speculation.

breathlessz

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Trphy.io

Quote from: Questat on August 10, 2021, 09:52:52 AM

Quote from: kawetsriyanto on August 09, 2021, 06:53:13 PM

Quote from: Sanugarid on August 09, 2021, 07:55:52 AM

My rule of thumb in trading is what Warren Buffett said, be greedy when others are fearful and be fearful when others are greedy.

Be greedy should be always too risky, better to avoid. Even Buffett said to be confident doing it once people feel afraid, just be careful since it cannot be applied to every situation. In my opinion, we must always analyze the situation carefully. Do it when it looks like to be worthed and realistic, and kindly refuse to do it once it is likely too risky. Simply, be smart in analyzing!

Just think twice, trice or even more just to sure that we are in good and our decision is right (at least). Sometimes we got to rush in making a decision which often results bad and even it gives us losses in the end.
We are to think smart of course but can't deny that sometimes we got to fail. And this seems so hard for emotional investors and the only way to help this is to change our mindset and deepen our market understanding. Of course, this never works instantly, yeah it needs some time and full commitment.

The hasty attitude is indeed one of the causes of investors experiencing losses, because if they feel the price is good, it turns out that the price has fallen again, many of them have panicked sell so they make a cut loss. Actually for investors this is very unfortunate because at first they had intended to invest

Ianlanim

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Due to lack of knowledge and experience, many make mistakes that lead to losses.

Meysa_richa

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Those who lose money the most are those who are new to the world of Crypto investment, Crypto Investment is not the same as other investments. Cryptocurrency prices that have very high fluctuations often make new investors panic and make wrong decisions, even though if they are willing to be patient they can get big profits.
The second is the wrong choice of the coin to invest, and new investors are also very easily influenced by the hype of the coin which sometimes actually does not have a good future.
Learning more about Cryptocurrency is very important, before we spend large amounts of our money on investment.

Questat

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Quote from: kawetsriyanto on August 09, 2021, 06:53:13 PM

Quote from: Sanugarid on August 09, 2021, 07:55:52 AM

My rule of thumb in trading is what Warren Buffett said, be greedy when others are fearful and be fearful when others are greedy.

Be greedy should be always too risky, better to avoid. Even Buffett said to be confident doing it once people feel afraid, just be careful since it cannot be applied to every situation. In my opinion, we must always analyze the situation carefully. Do it when it looks like to be worthed and realistic, and kindly refuse to do it once it is likely too risky. Simply, be smart in analyzing!

Just think twice, trice or even more just to sure that we are in good and our decision is right (at least). Sometimes we got to rush in making a decision which often results bad and even it gives us losses in the end.
We are to think smart of course but can't deny that sometimes we got to fail. And this seems so hard for emotional investors and the only way to help this is to change our mindset and deepen our market understanding. Of course, this never works instantly, yeah it needs some time and full commitment.

velosepur

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Quote from: Johnyz on August 07, 2021, 04:21:15 PM

Quote from: velosepur on August 07, 2021, 03:17:03 PM

There are so many reasons as emotions, greedy people and investing on blind without deep analising of project, white paper and plans of developing.

Those reason can be address properly to avoid losing money. You should come here well prepared because the market is too risky for irresponsible investor, and if you don’t want to lose your money you will do your best to learn things, to analyze things, to get updated as always because those are the things that you need to have before you invest. Yes, its normal and ok to lose but don’t make this as your main goal because your goal is to make money and not to lose it.

I fully agree with you. Newbie cant just come and start investing and trading with expectation to earn and make profit. Learn first, dyior and then think about to start. But even with all knowledge and experience profit is not easy to put in pocket just like that.

layoutph

sr. member

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I admit of being greedy sometimes. Few weeks ago I lose $200 in Binance futures by making wrong decisions and putting high leverage in my position. For newbies like me, if you want to jump in futures. 2x to 3x would be the safe option.

kawetsriyanto

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duelbits.com

Quote from: Sanugarid on August 09, 2021, 07:55:52 AM

My rule of thumb in trading is what Warren Buffett said, be greedy when others are fearful and be fearful when others are greedy.

Be greedy should be always too risky, better to avoid. Even Buffett said to be confident doing it once people feel afraid, just be careful since it cannot be applied to every situation. In my opinion, we must always analyze the situation carefully. Do it when it looks like to be worthed and realistic, and kindly refuse to do it once it is likely too risky. Simply, be smart in analyzing!

Sanugarid

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★Bitvest.io★ Play Plinko or Invest!

Quote from: feelideb on August 09, 2021, 04:08:07 AM

The bottom line here is that there is no rule as to safe guide your investment as investor in cryptocurrency, each trader must formulate his/her own rules into a plan that can followed both during bear and bull market period! Trading effort is not cut and dry, you must be able to swim with the tide and most of the time with Whale and Shack! And never to forget your trading experience, alwaus apply it to your trading effort!

Agree, no one for all cure formula to trading because if there's one then we would all be prosperous when it comes to trading. My rule of thumb in trading is what Warren Buffett said, be greedy when others are fearful and be fearful when others are greedy.

Ziskinberg

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Quote from: molsewid on August 08, 2021, 05:24:36 AM

Quote from: Ryder Kudrow on August 07, 2021, 02:38:25 AM

Lack of knowledge and experience, overconfident in trading and investing a lot of money, just greedily focus on profit.
Easily affected by market sentiment, the market may fluctuate at any time, making you panic.
Before investing, make sure that we understand the market and choose the currency to invest in,learn from experience instead of making as much profit as possible. When investing, you must have good knowledge and patience, set correct goals and manage risks, and stop losses in time.

This is definitely the sum up of the reasons why investors often lose money, there's a lot of reason but some of the investors come up losing associated with many reasons written above that is why they literally lose their money in just one click. But above written reason I would be sure that many of the investors losses were very much associated with lack of knowledge in which every one of us have been through being a newbie and let's admit that we are also once being lack with knowledge.

It comes to my mind that these investors are totally not prepared. They just assume that everything will find once they are on the market and they just underestimate the volatility of the market which is one reason for their losses due to uncontrollable emotions. If they just know and are aware of the situation, I don't think if they will come and invest here, not for sure. But what makes them get encouraged are those people who are telling lies that there is easy money in crypto.

feelideb

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fLibero.financial

The bottom line here is that there is no rule as to safe guide your investment as investor in cryptocurrency, each trader must formulate his/her own rules into a plan that can followed both during bear and bull market period! Trading effort is not cut and dry, you must be able to swim with the tide and most of the time with Whale and Shack! And never to forget your trading experience, alwaus apply it to your trading effort!

Samandra

newbie

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1.There is no timely stop loss. Strict control of the stop loss is very important, and controlling the risk is equivalent to controlling the return. Set the scope within the scope of how much risk you can bear, so that you will not exceed your own capacity.
2.Excessive investment due to greed for profit. The outbreak of Bitcoin will attract many people, and many people spend almost all their life savings on investing in Bitcoin. Do what you can, don't expect to get rich overnight.
3.Market sentiment affects manipulation. Many investors are susceptible to market volatility and panic, which can easily lead to the wrong operation of chasing ups and downs.

RealMalatesta

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Quote from: tvplus006 on August 08, 2021, 08:27:41 AM

If a trader does not have enough knowledge and experience to trade in a bear market, you need to take a break and wait for an upward movement.

If you are technically approaching the market then you can easily make profits on either directions of market movement. When investors are not making use of fundamental analysis and basics of technical analysis then probably they will often book losses.

Quote from: ?? on ??

There are only a few people who have the knowledge and ideas to deal with a bear market.

Definitely no; for those technical traders, the market direction is not a big deal. Because, all trading strategies are applicable for both bear and bull markets hence it will be a wrong assumption that only very few people are having knowledge to deal with bear market.

Oceat

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Quote from: Clavulanic on August 07, 2021, 06:51:42 PM

Too much aggressiveness of an investor made them lose more money, they're always going through deceptive promotions which lead them to invest without scouting a certain project related to cryptocurrency. These days had gone so very prone to scammers and fraudulent activities which those innocent people being attracted to.
Same with trading ventures, you don't know what assets to choose that's why on person who doesn't have a good idea towards a good coin they failed to gain good profit.

Why would they failed to gain such profit when Bitcoin is just around the corner and why choose altcoins that doesn't have a reputation yet in the past? I think these so-called investors didn't know what is Bitcoin and how to trade properly or make profit. The ICO era is long gone and the hype for altcoins this time is the NFT games which is somehow had a great outcome.

If these investors are going to hop in on the hype of NFT they better have some knowledge or experience about how the crypto market works. It's fluctuating frequently and there's no need to be upset so easily if you saw the price suddenly goes sideways which is different from you are expecting. Avoid thinking about how you would want to push your luck in order to gain more profit in one go, you might find yourself regretting because you didn't take the profit when you have the opportunity.

tvplus006

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To the Moon

Quote from: SquallLeonhart on August 07, 2021, 04:18:47 AM

Quote from: sou-kou on August 07, 2021, 03:38:50 AM

Losses and profits are not balanced, most losses will be more, but I only use a small amount of funds to operate, exercise my trading feeling. This is not good at all.

I could not understand your statements properly still I believe you are trying to say that you are operating only very small amount of funds for your investment purposes still you are going for wrong trading which is not good for your capital.

Probably you must take some break from your investment/trading so that you could come up with new ideas which might be bringing you decent profits in future.

If a trader does not have enough knowledge and experience to trade in a bear market, you need to take a break and wait for an upward movement. From my experience, I know that even in the absence of knowledge, it is easier to trade in the bull market, a hold is enough for this.

molsewid

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Quote from: Ryder Kudrow on August 07, 2021, 02:38:25 AM

Lack of knowledge and experience, overconfident in trading and investing a lot of money, just greedily focus on profit.
Easily affected by market sentiment, the market may fluctuate at any time, making you panic.
Before investing, make sure that we understand the market and choose the currency to invest in,learn from experience instead of making as much profit as possible. When investing, you must have good knowledge and patience, set correct goals and manage risks, and stop losses in time.

This is definitely the sum up of the reasons why investors often lose money, there's a lot of reason but some of the investors come up losing associated with many reasons written above that is why they literally lose their money in just one click. But above written reason I would be sure that many of the investors losses were very much associated with lack of knowledge in which every one of us have been through being a newbie and let's admit that we are also once being lack with knowledge.

Ararbermas

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There are some scam project that's why the often lose money when it comes investment. Wherein we cannot blame them because of their greediness as we are all have that kind of attitude.. Cheesy

yes there are some way how to fix it and it's by making research in order to protect our money from scamming.. But the fact that mostly projects nowadays are almost the same with trusted projects, it seems too difficult to escape especially for beginners and perhaps even those who been years now on this space and have enough knowledge still can experience such issue.. So it's not normal if we didn't learn from all of our mistakes..

Topic: The reason why investors often lose money - page 6. (Read 1374 times)