Hello everyone, how are you doing and how is your life going? I hope you are all well and having a fantastic time with your loved ones. In this essay, I'll go through some of the most typical mistakes inexperienced traders make while trading digital currencies. All cryptocurrency that is available for trade and does not exist physically is digital currency, which means it is only accessible via the internet. There are around 200 cryptocurrencies, each with a particular technology and pricing. Some are inexpensive to purchase, while others are costly; it all depends on demand.

There are numerous faults that rookie traders make when they first start trading. One of the biggest mistakes they made was trading without first studying the fundamentals, and they came in believing that they would win every trade and make a lot of money. However, trading is not easy and requires a lot of time and effort to go somewhere. Before entering the trade, there are fundamental learning courses to complete, which take about 6 months. Then you can take your positions and begin trading. Traders who trade without learning the fundamental rules are simply gambling; if he is lucky, he will win the trade, but it will not last long.

Among the most common errors are:

Pump and dump: Many traders, whether senior and junior, make the same mistake of trading in pump and dump coins. We find a coin that is surging and believe it is an excellent opportunity to double your money or profit from. However, it is thieves' game to inflate and deflate the price of relatively small or unknown cryptocurrencies. When they invest you in the coin, they drain all of their money, and as a result, you must book a significant loss.

Investing all of its funds, going all-in on trading: Never bring more than 10% of your money to a deal. Try to put the rest of your money into savings to generate passive income. Save 90% of your money for emergencies and never invest a large sum in the market. Always invest a portion of your money that will not disrupt your financial life.

Buying solely because the price is low: When naïve new traders enter a bear market, they regard all prices as being at their lowest. They observe the low price and decide to invest without doing any research or analysing the coin. Never choose the greatest coin based on its price; instead, consider their initiatives and future plans before making a decision.

Crypto is easy money: Many new traders, after opening an account on any exchange, look at the easy movement of coin prices and conclude that crypto is easy money. It is never easy, but for a newbie, it is similar to the machine that takes all your money. If it is simple, people from all over the world will flock to trade in order to make quick money. People will leave their professions and flock to the cryptoworld, but this is not what we believe.

Fake coins or NFTs: Many coins and NFTs are created solely to defraud people. They will steal your identity and your hard-earned money if you choose the bogus coin. Never invest or trade in questionable coins, and do thorough research on the coins in which you intend to hold a position.

Forgetting your key: This is a regular and serious mistake committed by everyone involved in the cryptoworld. This is very important for Hive users, as keys are one of our most valuable possessions, and losing them is equivalent to depositing our keys in a bank vault. It is important to remember that one of the necessary laws of cryprocurrency is to secure your key. Without keys, all of your cryptos will be lost.

Scams: This is another enormous mistake we committed since we are lustful and selfish and are always looking for fast money and free cryptocurrency. We take into account every communication we receive in which you read that you have won 1 BNB and confirm simply by clicking the link. There are still those who fall for such scams and lose their hard-earned money.

These are the most common crypto blunders made by inexperienced traders, as well as how they lose money easily. Your money will be protected if you follow the criteria outlined above to a considerable extent. This is an effort on my part to share some information regarding crypto trading with you, and I hope the post is useful to many people. If you find the content useful, please reblog it so that it reaches as many people as possible. Also, remember to upvote, which will help me monetarily and expand my account. Please feel free to ask any question, and I will do my best to answer it.

• NOTE: PICTURES ARE TAKEN FROM CANVA AND EDITED IN CANVA.

DISCLAIMER

Please keep in mind that I am not a financial advisor. Never, ever take anything I say as financial advice. Conduct your own research. Before making any investment decisions, consult with a professional investment advisor! My posts are strictly for entertainment purposes!!

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