#SouthKoreaCryptoPolicy Trading can be a rewarding endeavor, but it's also riddled with pitfalls that can derail even experienced traders. One of the most common mistakes is letting emotions drive decisions. Fear and greed often lead to poor timing—either selling too early or holding on too long. Another major error is trading without a plan. Without a clear strategy, including entry and exit points, risk tolerance, and position sizing, traders are more likely to make impulsive decisions.

Overleveraging is another critical mistake. Using too much borrowed money can amplify losses just as quickly as gains. Many traders also fail by ignoring risk management; not using stop-loss orders or risking too much capital on a single trade can be catastrophic. Chasing the market—jumping into trades just because others are—usually leads to buying high and selling low.

Neglecting proper research and relying solely on tips or social media hype can be dangerous. Successful trading requires discipline, patience, and continuous learning. Recognizing these common pitfalls is the first step toward building a more resilient and consistent trading strategy. Remember, it's not just about making money—it’s about protecting it. Avoiding these mistakes can set the foundation for long-term trading success.