Bad mentality during investment
(1) Greed
Most investors "predict" that prices have fallen "too low" or even "too low" before prices actually fall sharply. So they buy bravely, and buy more when prices fall. They even use their half-understood "divergence theory" to try to convince or numb themselves. The result is of course that they are stuck in a quagmire and never recover. Some investors also make the same mistake when the market rises sharply. This shows the importance of space risk control.
(2) Herd mentality
Some investors who invest in digital currencies lack the ability to think independently. But they are unwilling to sit down and think carefully. Their investment and trading philosophy or logical method is there. When they hear friends say that the market is bullish now, they blindly invest.
(3) Generalizing
"Stubborn" is enough to describe this type of investor. They hold on to one or two phenomena in their minds, add what they think is a reasonable inference, and then "stick to their own opinions" and never repent.
(4) Short-sightedness
A few successful investors will first focus on long-term trends and then look back at how to operate in the short term. But most failed investors do the opposite. They think that learning is too slow and useless, and just want to make a profit "as soon as possible" and run away.
Many people who are new to the investment market have heard such warnings. Regardless of whether they are doing long-term or short-term investment, they should first observe the monthly trend, then the weekly trend, then the daily trend, and then the 8-hour trend, the 4-hour trend, and the 2-hour trend. But many investors often listen to it with one ear and let it out with the other.
