But when you allow them make these mistakes, they'd see things in your own perspective when you try to explain how these things work to them and they'd possibly understand because they'll want to avoid the same mistake that led them to incur those losses.
This is another reason why we write a favorite line, which is "This is not financial advise, and do your own research". But sometimes you have your closest friends who are going to make these newbie mistakes, you may still want to guide them even though you don't usually give financial advice.
I have a little story where one of my closest friends said "Bro, I cannot tell you what to do because it's your own money." I asked one of my friends if I should sell at 70K because I thought that we might see some corrections and that it might take a couple of weeks to recover. But, my friend said bro, this is pre-bull run. The bull run is yet to come. So, think before you do anything.
I should practice this as well. But most of the time, I end up giving suggestions to my friends.