BinanceAlphaAlert
A common question all new traders ask is:
"Why does a coin's price drop (turn red) right after I buy it, even though it was going up (in the green) before?"
The simple answer is:
It’s usually your fault, not the coin’s fault. Here's an explanation:
When you trade, many things can affect whether you make money or lose it. But once you decide to enter a trade (ignoring luck and focusing only on the actual data and patterns), you are responsible for what happens next.
What do beginners often do wrong?
They see the top 5 coins that made the most gains recently and rush to buy them. But those coins may have already reached their highest point. If the coin peaked yesterday or even just earlier today, it might now go down. If you buy it at the top, you’ll likely lose money.
Sometimes the coin keeps going up after you buy it, but unless you studied the charts and patterns (called technical analysis), it’s just luck—not a smart decision.
So what’s the lesson?
If you bought a coin that had already gone up a lot without checking the charts or doing any research, you can’t blame anyone else. That was your decision.
If you don’t know how to read charts yet, here’s a simple rule:
Don’t buy coins that are already at the top of the “most gained” list or the “biggest losers” list. These are often unpredictable.
Always research first—look at price charts or study the project behind the coin (called fundamental analysis). Never buy just because it looks like easy money.
Final tip:
The trades that make real profits take time and effort to plan. Quick profits can disappear just as fast.$BTC
