MOST TRADERS LOSE MILLIONS BECAUSE OF THESE 6 MISTAKES! 🚨
Learn from them and avoid the traps that can drain your wallet.
1/6 Using the Wrong Stop Loss 🚫
Many traders use automatic stop losses but can get stopped during sudden market shifts or "liquidity grabs," where prices dip below support before quickly rebounding.
💡 Solution:
Use a candle close-stop loss instead, which activates only if a candle closes below a specific level, helping you avoid being stopped out by temporary dips.
2/6 Not Taking Partial Entries 🔄
Investing all your money in one price point can be risky in a fast-changing market.
Instead, consider spreading your investment across different prices.
For instance, with $100, invest $30 at the current price, $30 at a slightly higher price, and $40 at an even higher price.
💡 Why it Works: This strategy reduces risk and provides flexibility.
If prices rise quickly you can forget later purchases to minimize potential losses.
3/6 FOMO-ing into Pumps 🚀
It's tempting to invest in popular coins, but this often means prices are already high.
Buying during a spike can lead to overpaying and subsequent drops. Many new coins may rise temporarily but lack long-term value.
To avoid FOMO, focus on a few reliable projects. Do your research and resist chasing every price increase. Invest wisely rather than getting caught up in the excitement.
4/6 Catching Falling Knives 🔪
A "falling knife" refers to a cryptocurrency rapidly losing value due to issues like lack of usefulness or poor management.
Traders might buy these coins anticipating a bounce back, but they often continue to decline.
💡 Stay Cautious: Avoid coins with sharp, consistent drops unless you have strong evidence they'll recover.
Fast price drops can indicate serious long-term problems. Focus on projects with solid foundations rather than overhyped coins lacking real value.
5/6 Ignoring Trading Fees 💸
💡 How to Save: Use limit orders instead of market orders to lower fees.
6/6 Ignoring the Trend
Always follow trend
