8 Ways to Overcome FOMO in Crypto Trading and Investing

What Is FOMO in Crypto Trading

FOMO in Crypto Trading and Investing: Why the Problem Is Big

  • The cryptocurrency market provides some fresh breathtaking examples of people getting enormously rich just because they grabbed an opportunity to buy the right coin at an early stage. The biggest success stories are related to Bitcoin and Ethereum, the leaders of the market.
  • People are already well aware that crypto and blockchain have good potential. Though many of us missed the Bitcoin train, there is still a chance to invest in a coin that will grow big within a short period. No one wants to miss it out.
  • Cryptocurrency market is still very young and unstable. It means the price of most coins largely depends on how many people believe in their potential. Therefore, sudden changes in the market mood make prices rise and drop significantly, creating what you may see as an opportunity to get rich quickly and easily. Indeed, if you don’t miss the right moment to buy and sell, your gains can be impressive.
  • Crypto investing and trading has become popular, as the barrier to entry is rather low. As a result, many new investors and traders lack relevant experience and education. Instead, they follow their dream. It is easy for scammers to cheat these people out of their savings, by playing on their FOMO.
  • So far, FOMO is one of the biggest reasons people trade cryptos or invest in them. It’s similar to the gold rush when a lot of fortune-seekers started to mine gold. Only this time the gold is digital.

How to Identify FOMO: Basic Symptoms

  1. So many people are buying this coin. They cannot all be wrong — there must be something to it.
  2. It would be silly not to try. Let’s see how much money I could make.
  3. I should have guessed the price would rise!
  4. These people who buy this coin… They must know something I don’t.
  5. If the coin will grow big, I will never forgive myself for missing this opportunity.

How to Overcome FOMO In Crypto Trading and Investing

Tip 1: Disconnect

Tip 2: Realize That Losing Is Part of the Game

Tip 3: See Statistics to Get the Real Picture

Tip 4: Remember That Your Subconscious May Be Wrong

Tip 5: Explore the Cases When People Lost Everything Due to FOMO

Tip 6: Read About FOMO-Based Scams

Tip 7: Realize That “What Ifs” Will Take You Nowhere

Tip 8: Analyse the Mistakes You’ve Made Due to FOMO

FOMO in Crypto Trading: Final Thoughts

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store