What are the main reasons ordinary investors incur losses in cryptocurrency trading?

They hold light positions when prices rise but heavy positions when there are significant drops.

The root of this phenomenon lies in poor trading habits.

When investors buy a rising cryptocurrency, they typically start with a small position.

As the cryptocurrency price continues to rise, investors often find it difficult to resist the temptation to increase their positions.

However, once the market corrects, the initially profitable small position may be dragged down by the later increased larger position, resulting in an overall loss.

Although sometimes increasing the position may coincidentally align with the right timing, cryptocurrency trading is a long-term activity, and such trading habits will inevitably lead to significant losses in the long run.

To avoid these poor habits, investors should cultivate a strategy of selling high and buying low, rather than doing the opposite. Specific operational suggestions are as follows:

1. Fixed Position Building: A reasonable position ratio should be determined when building a position to avoid arbitrary adjustments.

2. Only Reduce Positions, Not Increase: After establishing a position, operations should only involve reducing positions based on market conditions, avoiding blind increases during a rise.

3. Cautious Position Building: When the market situation is unclear, a cautious attitude should be maintained to avoid easily building positions.

For ordinary investors, following these suggestions helps reduce trading risks. For experienced 'masters', these suggestions may already be within their grasp, so they can be skipped.

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