Initially, while getting acquainted with the crypto world, I assumed that confidence was the main factor in success here. People who were confident in their every prediction and seemed to know about the next pump and market movements impressed me greatly.
However, having spent some time in this industry, I came to a conclusion.
There is a huge difference between confidence and overconfidence.
Confidence means the following: "I have done my research, however, I can still be wrong."
While Overconfidence means: "This investment can never lose."
At that time, I did not see the difference.
If my investment gained value, I started believing that I knew how the market works. Every profitable operation increased my confidence level. In hindsight, I am sure that it was neither confidence nor knowledge it was simply good luck and excitement.
However, the market taught me a lesson that confidence and luck are two different things.
One wrong choice can ruin all your previous successes during the weeks.
Since then, my approach to trading has changed.
Now, I believe that self-research is essential; however, one should understand that no matter how much one knows, the market will ignore one's ideas.
Moreover, I realized that social media encourages overconfidence. The boldest statements attract more attention. Nevertheless, boldness is not always related to confidence.
At present, I trust those people who admit that they do not know what will happen next.
In my opinion, such an attitude is true confidence.
It is fine to believe in the project.
It is fine to be optimistic about the future.
Nevertheless, I find dangerous to be convinced that any coin guarantees success and profits.
The crypto-world moves fast.
The technologies appear, the market fluctuates and one piece of news can ruin everything in one day.
Thus, nowadays, I try to combine my confidence in my decision with flexibility to change my mind in case of new information.
In my opinion, confidence helps people to develop themselves.
Overconfidence prevents people from learning.
Moreover, I consider that the very moment when one stops learning and believes that he/she knows everything about crypto...
Such a moment becomes the time for the biggest lesson.
