Would you buy the big coin at 85,000?

Most people will hesitate, and the reason may not be as simple as you think.

01｜The anchoring effect is silently controlling your trading behavior.

Many people think they are analyzing rationally, but in reality, they are just controlled by the 'first price they see'.

Investor A enters the market at 100,000.

When the big coin drops to 85,000, he thinks it's cheap.

Investor B enters the market at 65,000.

When the big coin rises to 85,000, he thinks it's expensive.

The question arises: is 85,000 really expensive or cheap?

The answer is — it has nothing to do with your entry price.

But most people are deeply bound by these types of 'anchors'.

02｜The dealer is best at exploiting this 'cognitive blind spot'.

When the altcoin was at 150, you didn't sell.

Because you anchored at the 'previous high point'.

When it drops to 100, you still can't bear to sell.

When it drops to 80, you still hold on to hope.

When it drops to 50, you're completely lost.

What the dealer does is just use your 'anchor'.

It makes you repeatedly get trapped and feel unwilling.

03｜You are not judging the price, but reminiscing about the past.

You fear it will rise too high.

You also fear it will drop too hard.

But what you fear is not the future, but 'deviation from the past'.

So, when the big coin rises from 60,000 to 100,000 and then retraces to 80,000.

But you think it's a 'bargain'.

Because your subconscious is anchored at 100,000.

But the market will not change direction because of your psychological expectations.

04｜The only antidote: find your own 'true anchor'.

Stop using price as an anchor.

Don't let history be an anchor either.

The true anchor should be your own strategy, cognition, and system.

For example:

Use fundamentals to assess value.

Use trends to confirm direction.

Use cycles to determine position size.

Build beliefs with logic.

Without these, you can only passively revolve around the 'anchors' given by others.

05｜Only those who wake up are qualified to survive in the crypto world.

In this cycle, how many people entered heavily at 85,000?

How many people will fail to anchor at 100,000 and miss the peak?

Have you ever been controlled by an 'anchor' like this?

Feel free to share your 'cognitive traps' in the comments section.

In the next article, we'll talk about —

"Why does it drop when you buy and rise when you sell?"