๐ท๐๐๐๐๐๐๐๐๐ ๐๐ ๐๐๐ ๐ช๐๐๐๐๐๐๐๐๐๐๐๐๐ ๐ช๐๐๐๐
The chart below illustrates the psychology of most retail investors: buy the top and sell the bottom.
๐ด๐๐๐ ๐๐๐๐๐๐ ๐๐๐๐๐๐๐๐๐ ๐๐๐๐๐ and sell their crypto holdings when they hear negative market or economic news, often at the market's lowest point.
When the market begins to recover and the trend changes, they struggle to quickly adjust their biases and continue to wait for a market crash or prices lower than those at which they sold.
When prices begin to recover and exceed previous all-time highs,
instead of entering, they hesitate, waiting for a pullback, as they have already seen much lower prices in the cycle.
Unfortunately, prices continue to rise, and they end up buying at the top
and the cycle repeats... ๐
๐บ๐, ๐๐๐๐๐ ๐๐๐ ๐๐ ๐๐๐?
If Bitcoin and cryptocurrencies are slowly rebounding after a long bearish period, we may be in the hope and optimism phase.
If we're approaching record highs and everyone is excited, we're probably in the belief and excitement or euphoria zone.
If the market starts to collapse, then anxiety, panic, or capitulation may set in.
๐ณ๐๐๐๐ ๐๐ ๐๐๐๐๐๐๐๐๐ ๐๐๐ ๐๐๐๐๐.
Play smart.Control your emotions and let them pass.
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