10 Most Common Mistakes Crypto Beginners Make

1- Thinking that a coin with very low price has greater potential

I’ve seen too many people saying “If Bitcoin is at $60.000 it shouldn’t be very difficult for SHIBA INU to reach $1”. Nope, that’s not how it works. You can’t compare the price of cryptocurrencies by their USD value, because they have different amounts in supply.

2- Not having a strategic plan

This is a common mistake made by many beginners that start investing before having a plan. They end up buying too late or selling too early for not having an entrance/exit strategy.

3- Getting Scared of Market Volatility

You can’t expect a 10x in your portfolio if you can’t handle a +20% loss. A lot of newbies get scared of market volatility and end up panic selling. But if you want to stick around you need to understand that cryptocurrencies are very volatile.

4- Falling for Scams

There are all types of scams (influencers promoting a scam coin, fake emails or fake promotions), but it’s crucial to recognize them if you don’t want to lose all your money. Why would a random person double the amount of money you send him? Exactly, never give personal information to nobody.

5- Being too lazy to DYOR

Too many people want to get rich in crypto yet are too lazy to do mínimum research. If you don’t understand the crypto you’re investing in and only listen to “experts”, you will get into big trouble and lose a lot of money.

6- Investing money they can’t afford to lose

A lot of beginners throw all their savings or loan funds to crypto without considering that they could lose it. Always remember, don’t invest what you can’t afford to lose.

7- FOMO’ing/FUD

Falling for FOMO or FUD is something that almost everyone fall for when entering the crypto space. It’s important to not fall for emotions when investing/trading so you don’t get too greedy and end up losing money.

8- Not diversifying

You should diversify even when you think you’ve found a sure thing, it simply doesn’t hurt you to have more variety. On the other hand, when you’re starting in crypto you should stick to a few crypto with good fundamentals that you clearly understand them.

9- Trading

If you’re not a professional, just stick to investing. All you have to do is buy,hodl and DCA, you will not time the market so strop trying to sell at peak prices.

10- Following trends

“What coin is everyone talking about this week? Ok I will buy it”. Too many people just follow trends, and when their shitcoin trend is starting to lose popularity, they jump into another trend. A good investor often does not get carried away with the trend set by whales or twitter accounts.

Be honest, how many of these mistakes did you make when you started investing in crypto? Which is fine, we all make mistakes when we are beginners, the important part is to learn from them to not repeat them again.