Be Rational

Crypto prices can be extremely volatile, with wild swings to both the upside and downside. Additionally, blockchain technology — which cryptocurrency fuels — is a relatively new technology and truly exciting. However, don’t let all of the hype put your emotions into overdrive.

Fear of missing out (FOMO) is a major reason why traders fail at portfolio management. Emotions usually lead to buying an asset at high prices, only to see a large correction take hold. Also, we can become anxious when the market drops 30% — because we are uncertain if that correction will dig deeper and become a 70% correction.

Successful crypto traders or investors are always rational about their plans and goals. There will still be good investment opportunities to grow your total portfolio balance. Using technical analysis eradicates emotions and helps you foster more discipline trading strategies. All you need is just stick to the plan.