The cryptocurrency market is known for its volatility and dynamics. In this environment, where emotions can easily take over, the psychology of trading plays a key role. Understanding your own emotions and the ability to control them can be crucial for achieving success.
Emotions in trading:
Fear and greed: The two main enemies of a trader. Fear of loss can lead to hasty decisions, while greed can lead to excessive risk.
Frustration and euphoria: Understanding that both overconfidence and discouragement can disrupt an objective view of the market.