Crypto trading can be either amazing or frustrating.

If you’re annoyed with trading, just check out these 5 reasons why you may be unable to reach great results.

Hope you enjoy!

1.  You don’t know how the market works

The first thing a person should do when investing in crypto is research. However, many investors skip this part and, consequently, run into huge problems later.

A crypto-asset investor should first understand the technology behind crypto coins. Secondly, they should look into the history of the crypto market and also carefully review the coins that they plan to invest in.

They should examine the coin’s market cap, total and circulation supply, team, purpose, history and shape an opinion taking into consideration these factors.

2.  You are not disciplined

A good investor should not trade based on emotion but rather their knowledge and facts. Many inexperienced traders fall into the trap of following trends and blindly listening to another investor’s advice when they know they should be following their strategy. As a result, these people become victims of pump and dump schemes or simply lose their funds or even life savings while chasing after trends.

You shouldn’t make investing decisions based on FOMO (fear of missing out) or someone else’s advice. Discipline will help your long term trading career.

3.  You don’t have a good strategy

As said before, you should always follow your strategy but at first, you should have a good trading strategy. The strategy that you choose should be catered to you and your level of risk aversion.

Developing a functional strategy will take you some time and lots of trial and error. However, you shouldn’t rush with this. There are many good crypto trading strategies, however, to create a great strategy, you can take apart some parts from various strategies to create your own one.

4.  You trade only one coin

This is a small tip for every investor out there: diversify. Many people get into the mindset that Bitcoin is the only cryptocurrency they need in order to earn money. However, when it comes to crypto coins, one of the main issues should be risk management. The best strategy for that is to buy different types of crypto coins.

You have the option to buy some coins like bluecoin, tron, stellar or others and increase your profits while managing risks at the same time.

5.  You have unrealistic expectations

Many crypto investors came into the market because they heard that Bitcoin will make them rich instantly. This, sadly, isn’t the case but as so many traders have this mindset they don’t establish a strategy, research crypto or do anything to learn about crypto trading.

This leads to many negative consequences and in order to avoid them you should understand that becoming a good trader takes practice and work and becoming rich takes time.

Trading can be very challenging and to make things easier you can just use a crypto tracker. If you’re not sure how to use it, read this amazing crypto portfolio tracker guide.

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