Panic trading is when one sells or buys because of fear of missing out .
There was a time a coin was listed on binance exchange at $0.3 and keep going up till it gets to $0 9 , so I got irrational thinking if I buy it would still reach maybe $3, I jumped in only for the price of the coin to tank to $0.002.
I was so angered that day cause I lost huge.
You see, panic selling or buying does more harm to the seller or buyer.