The fundamental reason for most losses is: having a small position when the coin price rises, but increasing the position significantly when the coin price drops sharply.

The core issue in this situation is actually poor trading habits.

Typically, when buying a rising coin, the initial position will not be too large, but as the price continues to rise, many people cannot help but increase their positions, eventually leading to their maximum position when the price retraces. As a result, the initial profits may be lost during the pullback. Although it is occasionally possible to correctly average down, trading cryptocurrencies is a long-term process, and such trading habits will ultimately lead to significant losses.

To avoid this situation, the most important thing is to cultivate the habit of "selling high and buying low," rather than chasing after rising prices and panic selling.