Do you often stay up until three in the morning, staring at the fluctuating K-lines on the screen, calculating that if you act, you could take advantage of this wave of gains? Or watching those short-term traders quickly enter and exit, envying their ability to buy low and sell high in a bull market, thinking that if you did the same, you would have made a fortune by now? But the reality is harsh: a short-term player who trades three to four times daily and makes hundreds of trades monthly often finds that after a year in the crypto world, their account balance decreases instead of increases, losing more the more they struggle. Why is that? The answer lies in the habits you unconsciously repeat every day.
Trap one: The invisible cost of missing out on big markets
Do you remember the last bull market, that hundred-fold coin HOT? Some sold at double, some at five times, some at ten times, and others didn't hold at all. The same market, different choices, yet the outcomes are vastly different. Those obsessed with short-term trading, busy chasing the few cents of fluctuation in front of them, forget to look up and see the real trends that can lead to success. Frequent trading not only makes you miss out on big opportunities but also scatters your energy, ultimately leaving you with nothing.
Trap two: The silent consumption of fees
Have you ever calculated a number: trading 10 times a day, how much do you spend on fees in a year? Data from a leading exchange shows that high-frequency traders can end up spending 47% of their principal on fees in a year. It's like starting a race only to have half your energy drained before you even begin. The market hasn't given you a return yet, and you've already lost at the starting line.
Trap three: The vicious cycle of emotional kidnapping
Scientific research has found that every time a trade is completed, the brain releases dopamine, and the feeling of 'winning' becomes irresistible. However, this thrill is a double-edged sword; it can make you increasingly impulsive and your judgment increasingly deviate from rationality. The result? The more you trade, the more addicted you become, and the more you become addicted, the more you lose, turning your account balance into a victim of emotions.
Data speaks: The harsh reality of frequent trading
A report from a crypto exchange in 2023 revealed a cold fact: among retail investors with an average daily trading volume of over $10,000, 83% had negative annual returns. This means that most who are keen on short-term trading and staying up late to watch the market not only failed to make money but instead became the market's 'chives'. What you think is effort is actually digging a pit for yourself.
Breaking the vicious cycle: Less action and more thinking is the way to go
Retail investors in the crypto world can't make big money, not because of bad luck, but because their habits are holding them back. Staying up late to watch the market, fees eating away, losing control of emotions, missing trends—these seemingly diligent behaviors are actually stumbling blocks on the road to wealth. Want to turn things around? It may not be about trading more, but rather stopping to rethink your strategy. After all, in the crypto world, it's not just about who acts quickly, but also about who can see clearly and hold on.