#TradingStrategyMistakes Trading without knowledge of technical or fundamental analysis is one of the most common mistakes new crypto traders make. Here's a breakdown of what goes wrong and why:
🚨 Common Mistakes When Trading Without Knowledge:
1. FOMO (Fear of Missing Out): Buying when prices spike, without understanding market cycles or why it's rising.
2. No Strategy: Random entries and exits, often based on hype or social media tips.
3. Ignoring Risk Management: No stop-loss, overleveraging, or putting too much capital into one coin.
4. Panic Selling: Selling at a loss during minor dips due to lack of confidence or understanding.
5. Chasing “Moon Coins”: Falling for pump-and-dump schemes or meme coins without checking fundamentals or liquidity.
6. Lack of Patience: Expecting overnight profits and giving up after minor losses.
✅ What You Should Do Instead:
Learn Technical Basics: Start with support/resistance, trends, candlestick patterns.
Understand Fundamentals: Know what the project does, its team, roadmap, and tokenomics.
Practice on Paper Accounts: Use demo accounts to test strategies without risking money.
Use Risk Management: Never risk more than 1–2% per trade.
Stay Updated: Follow trusted sources, avoid hype-driven decisions.