People often regret the things they have invested time, emotions, money, and effort into. For example, if you have a 5-year relationship, even though you feel you have lost your feelings, you continue because you regret the time, money, and youth you have spent on that relationship.

After reading that analysis, I feel that I also suffer from that situation in investing, and after researching, I found that in investing there is an effect called Sunk Cost - sunk cost. This is a type of psychology that causes investors to continue investing in a project despite it being unprofitable, simply because they have already invested their money, time, effort, and enthusiasm into it. Even though reason tells them that 'this project is still going down,' the emotional part of them still chooses to continue investing, resulting in losses. This is called 'sunk cost.'

An example of this psychological effect is: Surely you all know a project from Vietnam - the coin C98. I have a brother who invested 70 million buying at a price of 5.xxx$. After a while, when he heard that this was a failing project and the community was selling off, my brother bought in again because he had already invested too much time, effort, and money into it, and then what was bound to happen did happen... My brother's account was reduced to 1/5, or 1/6, he hasn't lost everything yet but is very close.

===> Consequences of being affected by the Sunk Cost effect:

Procrastinating on cutting losses: Investors easily procrastinate on the decision to cut losses because they have invested a lot of resources and time into it.

Making suboptimal decisions: Instead of losing 1/4, 1/6, we might divide it into 2, 3, even 10, etc.

Continuing to pour more capital into a project with no future: we could use the capital we have to invest in a more promising, valuable project instead of pouring more capital into a failing project simply because we have invested too much effort into it.

===> Ways to overcome:

-> Focus on the future value of the project instead of regretting.

-> People have a psychology of fearing loss more than gaining, meaning they easily cut profits but want to hold on when they incur losses. Therefore, learn more knowledge to know when to take profits/losses.

-> Let’s invest with the 'human' part instead of the 'emotional' part, do not let the 'emotional' part overwhelm the 'human' part, especially in investing.