Being a trader in any market is hard — 95% of all traders fail, most within a few months. They generally go completely broke or perform far worse than simply investing a lump sum in a safe investment and leaving it to grow. Contrary to popular belief, the crypto market is the most difficult to trade for beginners for a number of reasons.
The casino never closesThe market is open 24/7, giving traders the feeling that they always have to be trading. This causes tremendous fatigue and FOMO (fear of missing out) for emotional traders. Nobody can effectively track a market that is perpetually available, and new traders find it difficult to step away. This often ruins both their personal lives and destroys their finances.
What fundamentals?The crypto market lacks fundamentals, the cornerstone of trading legacy markets. When purchasing stock, a trader can review quarterly earnings, sales reports, the company’s road map and countless other barometers of success. More importantly, companies trading on the stock exchange are regulated and therefore transparent — you generally know what you are buying.
The strength of a team or project in crypto is nearly irrelevant for a trader’s purposes. Traders rely on technical analysis, which is hard to use properly for newcomers to the space