At first, when I joined the crypto community, I was absolutely sure that one of the biggest dangers is the market crashes. It seemed obvious to me that every price drop could lead to people losing all of their savings. However, after some time spent analyzing the market situation, I changed my view on things.
Today, I would say with confidence that my biggest fear in crypto investments is not the crash it is greed.
Market crash affects almost everybody, no matter how long you've been trading prices can drop at any moment. However, greed affects our logic.
Yes, I have to admit that I have also felt the temptation of greed at some moments.
There have been cases when I got a small profit from my investment and wanted it to get bigger. Maybe there's 20% more?, 50%?, Even 100%?
But every time when I waited, hoping that my investment will continue growing, profits disappeared due to greed.
And then I understood the main thing.
Not only market crashes make people lose money they often lose money because of the belief that prices will never drop again.
Social media adds fuel to the fire here.
Every single day someone posts his big profits, luxurious car he bought or says that one coin will "go to the moon. 🚀 After reading these posts, it is easy to think that everyone gets rich while you aren't.
However, most of the time social media only shows the wins, not the losses.
Who wants to share about his bad trades?
It became my task these days to remember that catching every opportunity is impossible. There will always be another coin, another bull run and another investment opportunity.
Now I know that sometimes it is better to protect my money than grow it.
I would prefer to make consistent smaller profits than losing everything because of my greed just a little more.
Investing for me is not a competition where I should prove how clever I am it is the process of making the right decision which I won't regret in months or even years.
So today, in my opinion, market crashes do not kill portfolios.
Greed kills them.
Market crash is temporary, greed can make us forget about our rules, make risky decisions and forget the reason why we have started to trade.
This is why now I try to remain patient, reasonable and remember that slow growth is still growth. 🌱
💙 Thank you for reading! What do you think, greed or fear is a greater problem in investments? Please, tell me your thoughts in the comments section below. And if you liked the article, please, give me a like and follow for more crypto news and investments advice. 🚀
