Success and failure. In these two situations, which have a thin line in the middle and contain very different emotional states, everyone wants to be on the side of the winner and the one who wins. It is not easy to win in any subject.
It takes a lot of work and a combination of multiple variables. Consistently winning is much more difficult. Sometimes we can fail even if we think we’ve put all the variables together to win, in order to succeed. As a matter of fact, it all starts at this point. The reactions we show when we lose, the psychological resistance we show in the face of failure, the struggle we give for the aftermath and the strategies we have created and determine a new road map is an important and painful process to regain the success side of the line.
This is true in our financial life as well as in most areas of life. Crypto coins have become investment tools that have increased their awareness during the pandemic process. With the technologies they offer and the developments they experience, they have often shown us that they are much more than an investment tool. The fact that they earn much more in the short term than the investment tools other than themselves has rapidly increased the popularity of crypto coins.
Its popularity as a result of acquisition made investors feel the success side of the fine line mentioned above most of the time. But of course it would not always pay off, and there would be failures in the investment process. At this point, although the rise and fall for crypto coins has been experienced by investors, the declines in some periods can put investors in a chaotic situation. The situation in the crypto money markets in the past days will be a very annoying but accurate example for this chaos. Now let’s examine how we can be better prepared for these periods of chaos with some topics and how steps can be followed afterwards.
1. Financial Literacy
You may have seen this headline in many of our exchange’s publications and blog posts because we value it so highly. In recent years, many new terms have entered our lives in the field of traditional finance and crypto coins.
Unfortunately, many of them are nothing more than ear familiarity for investors who have investments in these markets. If you are someone who is interested in the crypto money markets, if you want to recover your losses and regain your losses, if you have plans to minimize the losses you will experience in the chaos of the collapse periods, and even if you have only been on the winning side until now, you need to read and research a lot to ensure sustainable success in these markets. Not researching the crypto money project you are investing in is among the biggest mistakes made.
2. Following the Right Sources
We can also consider this title as the subtext of the above title. It is very important to learn any subject from the right source and stay away from information pollution. Of course, this also applies to crypto coins. It is very important to follow the information and developments from the right source, both during the period of improving your financial literacy and during the periods of decline that put you in a chaotic situation.
Otherwise, you can experience much greater losses by making wrong decisions with the misdirection of those who want to manipulate the market and those who express hollow ideas on social media aiming to gain popularity through crypto coins.
3. Have a Strategy
Every investment made without a plan is like playing a kind of game of chance. You might get lucky. However, perhaps your probability of winning in the game of chance is even higher than in an unplanned investment. First of all, it will be useful for you to determine what kind of investment you want to make.
If you are a short-term investor, you need to have a lot of knowledge about fundamental analysis and technical analysis. Of course, it will be beneficial for long-term investors to have information about these issues. Issues such as what price to buy, what price you set for the sale are very important for you not to be affected by periods of chaos or at least to keep your losses at a minimum level.
4. Invest Money You Can Afford to Lose
One of the most important things you need to pay attention to in order not to wear out in times of chaos is to invest your money that you can afford to lose. Investors who invest with amounts that do not belong to them or cannot afford to lose with the aim of making big gains in the short term may be the most negatively affected by chaotic periods of decline.
Crypto coins that show a very large bullish chart can fall back the same fast and then see ATH (All Time High) again, that is, the all-time high value again. What matters here is how much you tolerate waiting. You may also need to sell your cryptocurrency, which you predict will rise in case of emergency. In such cases, it is very important that you invest money that you can afford to lose.
5. Don’t Be Fascinated by Urban Legends
People often prefer to talk about the things they have accomplished in life. But as much as success exists in people’s lives, so does failure, and it is real. Crypto coins have always been an area where success stories have been told in this regard. However, as much as the gain has been for people, the losses and failures have always been in this market. This is true not only for crypto coins, but also for all investment instruments.
When you look at the books of people who have a lot of knowledge and success in the field of economics and investment, you will notice that many of them touch on this situation. Of course, listen to the discourse of the people around you. However, let these be effective in terms of having an idea. For the future, it will be healthier to act in line with your own strategy and create your own area of responsibility.
Our last topic is perhaps the most critical. We’ve talked a lot about it above. But as we mentioned in the first paragraph, sometimes things can go wrong even if you think you’ve provided all the variables for success. Even the world’s most powerful investors have been able to reach the point of bankruptcy in times of crisis.
However, examples of investors who turn the crisis into an opportunity and grow their capital are not few. The critical point here is how resilient you are psychologically in times of chaos and how you react. Of course, losing bothers us in the field of crypto money as in every field. But maintaining calm and not taking missteps in a state of panic is vital for us to regain what we have lost.
Remember, opportunities do not end in the market.