WHY YOU FAIL ?
Many crypto traders fall into a devastating psychological trap known as the Disposition Effect, where the fear of "realizing" a small loss leads to a total account wipeout. Often, a trader will enter a position with a small amount—say $100—without a predefined exit strategy. When the market moves against them, they refuse to close the trade because doing so would turn a "paper loss" into a permanent one. Driven by the hope that the market will eventually bounce back, they hold on as the deficit swells from $100 to $1,000 or more. (1/2)
Many crypto traders fall into a devastating psychological trap known as the Disposition Effect, where the fear of "realizing" a small loss leads to a total account wipeout. Often, a trader will enter a position with a small amount—say $100—without a predefined exit strategy. When the market moves against them, they refuse to close the trade because doing so would turn a "paper loss" into a permanent one. Driven by the hope that the market will eventually bounce back, they hold on as the deficit swells from $100 to $1,000 or more. (1/2)