In a bull market, investors are more likely to suffer losses.
In a bull market, the risk of losses is not only increased, but a considerable part of them are "unnecessary losses", which are unnecessary losses caused by factors such as emotional fluctuations or deviations from established strategies.
In a bear market, the price fluctuations are small and liquidity is limited. It may take half a month for the price to fall by 10%. The process of loss is like "boiling a frog in warm water", which is relatively slow.
However, in a bull market, the situation is quite different. The price fluctuations are extremely violent, and the liquidity is very sufficient. The fluctuation range of a single hourly K line may exceed 5%.
If investors do not act according to the trading strategy and enter the market at will, they will often encounter such a situation: the price rebounds immediately after the stop loss operation is executed;
Or choose to short when the price weakens briefly, but the subsequent price increase will make them embarrassed.
This kind of "unnecessary loss" can easily make investors lose their balance, which in turn leads to emotional fluctuations, which in turn leads to further deviations from the original trading strategy, and eventually falls into a vicious cycle of continued losses. If you want to delve deeper into the cryptocurrency circle, but can't find a clue, and want to quickly understand the information gap, whether it is a contract or spot, you can 👉 Learn more in my profile #PNUT走高 #美国CPI公布后降息预期上升