Common Trading Mistakes in the Cryptocurrency Market — A Beginner's Pitfall Guide

In June 2025, the cryptocurrency market remains incredibly hot, but beginners often incur losses due to the following mistakes:

Blindly chasing highs and selling lows: Buying at high prices due to FOMO or panic selling, ignoring technical analysis.

Ignoring risk control: Over 50% of liquidation cases occur due to not setting stop-loss orders or using excessive leverage; it is recommended that a single position not exceed 5% of total funds.

Frequent trading: Overtrading causes annual transaction fees to erode profits, with mainstream exchanges charging a spot fee rate of 0.1%-0.3%.

Trusting “insider” information: In 2024, over 30% of fraud cases stemmed from false project news, making it necessary to verify team and on-chain data.

Expert advice: Use hardware wallets to store assets, develop a trading plan and strictly adhere to it, and prioritize high liquidity mainstream cryptocurrencies.