FREQUENT MISTAKES early users make on Binance ✖️✔️ Learn instantly
✖️ 1. FOMO Trading (without understanding)
Mistake: Buying coins just because they are trending or someone on Social Media.
Reason: You don’t understand the project, its use case, or market cycles.
✔️: Always research the project whitepaper before investing.
✖️ 2. Ignoring Risk
Mistake: Investing all money in one coin or trade.
Reason: One mistake can wipe out your funds.
✔️: Use the 1–5% rule: risk only a small portion of your portfolio per trade.
✖️ 3. Using High Leverage Too Early
Mistake: Jumping into futures with 10x to 100x leverage without knowing the risks.
Reason: Can result in instant liquidation with small price movement.
✔️: Avoid leverage until you fully understand the market.
✖️ 4. Panic Selling
Mistake: Selling coins at a loss during normal market corrections.
Reason: Crypto is volatile; short-term drops are normal.
✔️: Hold your coins if fundamentals are strong
✖️ 5. No Exit Strategy
Mistake: Not knowing when to sell
Reason: Leads to holding a falling coin or missing profits.
✔️: Set TP and SL levels before entering the trade
✖️ 6. Falling for Pump & Dump Schemes
Mistake: Buying low-market-cap coins based on sudden social media hype.
Reason: These are often manipulated and collapse fast.
✔️: Stay away from coins with sudden suspicious spikes without real news.
✖️ 7. Blindly Copy Trading
Mistake: Copying influencers without understanding.
Reason: Their risk appetite, timing, and strategy may be totally different.
✔️: Learn to build your own strategy based on goals and risk tolerance.
✖️ 8. Trading Fees
Mistake: Constant trading without realizing how much is spent on fees.
Reason: Frequent trades eat your profit.
Tip: Use $BNB to pay fees (you get discount), and avoid frequent trading.
✖️ Fear Greef Index.
Mistake: Trading based on fear, greed, or excitement.
Reaon: Leads to poor decisions and losses.