You know that feeling when you see in the news that Bitcoin is soaring? Your heart starts racing, your palms sweat, and somewhere in your head, a sinister voice says: 'Buy before it's too late!' Yes, this is FOMO - the cryptocurrency fear of missing out on profit.
It seems you are a sensible person. In ordinary life, you certainly wouldn't rush to buy the latest smartphone on the night of its release or participate in a clothing sale that no one even knows how to wear. But here's the problem: the crypto market is a special environment! What if everyone is buying, and you are left with nothing? That's how the crypto adventure with FOMO begins.
FOMO stories or 'How I bought Bitcoin for $79,000'
Well, it sounds almost like a confession. The FOMO trap is when you see the price soar, and instead of calmly assessing the situation, you instantly start acting on emotions. 'How much is it now? 79 thousand? Wow! But it could rise to 100 thousand!' And then, as a rule, the price falls, and the newly minted investor is left not with a profit but with a loss in their account.
How does FOMO affect the market?
FOMO is like that case when all your friends decided to go to a party, and soon they will tell you how much fun they had, while you sit at home, unaware of what's happening. It's the same with the market: one reason why cryptocurrency prices often soar is the mass excitement. People are afraid to miss the chance, pushing the price up, and there they are - mass purchases at the highest levels.
How to deal with FOMO?
The first thing to understand: the crypto market loves hasty decisions, but it does not rush to share profits with those who act on them. Here are a few simple tips on how to tame FOMO and not let it trample your budget:
1. Stop and think: See a sharp rise? Great. Close the exchange and give yourself 15 minutes to 'digest' the urge to buy. Often, this helps to realize that emotions are taking over.
2. Make a plan: A good strategy is more important than sudden purchases. If you have a long-term plan, the likelihood of being influenced by FOMO decreases.
3. Don't succumb to mass hysteria: Remember that the market can be manipulated, especially in the world of crypto. Don't be swayed by the noise; be sensible.
4. Learn from the past: Recall the stories of others. Sometimes realizing that you are not alone helps to come to terms with missed opportunities and not chase every new one.
The crypto world is really like a party where everyone thinks dancing on the tables is fun. But in the morning, it turns out that many have lost not only their sense of reality but also their money there. So let FOMO be your guide, not your wallet commander. The main thing to remember: it's better to have a cool head and a calm wallet than empty pockets and full eyes of regret.
And remember: profitable opportunities in the world of cryptocurrency have been, are, and will be, while savings are only yours. Stay alert, invest wisely, and always prioritize reason over emotions!
