1. Emotional Trading
Many traders let fear (FOMO) or greed dictate their moves, buying when prices go up and panic-selling during dips. This emotional cycle leads to poor decisions.
Solution: Stick to a pre-defined strategy and use stop-loss and take-profit orders to manage risk.
2. Ignoring Risk Management
Putting all funds into one coin or over-leveraging is a recipe for disaster. Even strong projects like $BTC and $ETH can face volatility.
Solution: Diversify your portfolio and never risk more than 1-2% of your capital per trade.
3. Lack Of Research (DYOR)
Following hype or influencers without personal research often leads to poor investments. Solution: Always Do Your Own Research (DYOR) analyze project fundamentals, team credibility, tokenomics, and real-world use cases.
Bottom Line: By avoiding these mistakes and focusing on strategic, well-informed trading, a trader increases his/her chances of long-term success in the volatile world of #crypto.
