How do you handle the Mental Stress that comes with Crypto Trading.

in #hive-1679223 years ago

I can't stop emphasizing the importance of building up your psychology toward trading crypto in the market, to me it is supposed to be the most important tool at your disposal because when your psychology is strong you can weather any storm in crypto or that comes with crypto trading, some traders fail to work on it and in the end, it leads to so many mistakes and if you are not strong enough what comes after the mistake can be devastating and f*ck with you mentally, which could lead to depression or the fear of coming close to the crypto market again (PTSD).

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The best advance anyone can give is that you should not invest in Crypto any money you are not willing to lose because to me that is the first step of building up your psychology, now if you come into the crypto market with money you are supposed to use to pay for some necessary things thinking crypto is a get rich quick scheme, I won't lie to you, your foundation and psychology is already shaking and once you lose part of that money, your emotions take over and that when mistakes happen.

Now, this is why it's not advisable to use the money you are not willing to lose, once you lose a part of it your mind automatically goes to let me pump in more money so I can avenge the market and recover the money I just lost, without any proper analysis or proper research you just jump in, what is happening right now is your emotions taking over and putting your critical thinking at the back seat.

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In the process of trying to avenge the market, you lose much more than you bargained for, there are things you need to know about the crypto market that will help you build your psychology, handle the mental stress that comes with crypto or better still avoid it.

  • Never try to avenge the crypto market it never ends well, if you do you might lose all your money doing that.

  • The crypto market is always there for us, if you lose your money just sit back relax, check for what you did wrong correct it, do your analysis again before placing another trader order.

  • In this crypto industry, you have to understand that you can't win all trades, you win some and you lose some, but make sure your winning rate is greater than your losing rate.

  • In crypto apart from futures trading, no matter the dip that happens your 1 BTC is still 1 BTC, only the dollar equivalent that reduces, so you haven't lost any trade or money until you close the trade.

  • You have to be patient, the most money is made from HODLing, and HODLing could take time, in fact in crypto you don't know when it will pump like crazy then you will make the big bag, so just be patient don't rush in and rush out.

  • Always remember to Take Profit, the market is not your friend or lover, trade smartly.

In November Bitcoin hit a new all time high, at $69k and there were predictions of Bitcoin hitting $100k at the end of the year, I took like 25% of my profit before the crash, and am still holding my trade that was caught in the dip because I know the market will come back someday how long it will take I don't know, but you don't see me stressing myself mentally or making irrational decisions because I have my emotions in check and have built up a strong psychology towards trading for some time now, I hope this meets you well or for those who needs to hear this and I hope it helps.

THANKS GUYS FOR READING MY POST.

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I did not have to step into crypto space, to properly understand what my friends were facing, it requires alot

Yeah it does, you just have to be ready.

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Uh... you need to be ready also to lost 90 % your wallets and be ready to HODL to get it back. This how things work here on market.

But if you have problem to take this strike, then be prepared for everything, since many By Your Side will feel your salty words.

Uh... you need to be ready also to lost 90 % your wallets and be ready to HODL to get it back. This how things work here on market.

Being patient is a problem for so many traders and it's why dey sell at huge loss.

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This is a good post. Most people don't get this kind of information before venturing into any kind of online trading whether it be crypto, Forex, stocks et Al. I didn't.

you should not invest in Crypto any money you are not willing to lose...

This is pivotal.

My inability to use excess funds was partially my undoing. It was the result of not having proper information.

Thanks for always supporting, and yeah information like this help to avoid a lot of mistakes, I'm glad you have the proper information now.