Why do people panic and sell their bitcoin when it falls in value?

[pawel7777]

(...) There are people who suggest using funds that we are prepared to lose, this will prevent us from panicking when the market experiences a correction. There are also those who use free funds that are not needed in the near future.

I think the correct approach would be to already consider invested amount as lost, i.e. separate them mentally from other investments/funds do not think of it as available funds.
The problem starts when people start to think: "if Bitcoin goes a little higher, I'll cash out and buy XYZ". Then when the price goes up, you feel like you're being robbed of your dreams and the panic kicks in.

[Hamza2424]

why do people panic and sell their coins throw some light on this topic and share your opinion

They don't go for it intentionally, because most people are unaware of market moves and are inexperienced, crypto is a game of patience and most people cant hold themselves.

Sometimes experts also fall into the trap, in greed of selling on x and taking a re-entry on y point just to accumulate more on lower by selling at higher due to such risks if the market goes against their speculation they suffer loss.

There are many other issues as well, TBH maximum of the cases fall under the mentioned scenarios. For the rest I'm sure there will be many other opinions.

[Captain Corporate]

Watching the bear market does play a game on peoples minds, that's why. I think its clear that we are not going to have a bad month, nor a year which means that we are going to see the price do much better. However, I also think that the best way to approach this would be just realizing that we can't keep on selling whenever it goes down a bit, that's going to happen and its inevitable, so we just need to keep on enjoying whatever we have. This is why I think its going to end up with a good return if we know what we are doing and holding our coins. This way we could probably make a good return on it.

[JoyMarsha]

panic will always be there even if we have been investing in crypto for a long time.

Experiences investors must know how to deal with panic feeling. So, I think most people who easily panic are the beginners or newcomers in crypto investment.

You are correct in saying that newbies are the ones who panic most about their crypto investment.

When have a newbie investment in bitcoin, now and then, they will keep questioning or panicking over little changes on why their bitcoin investment is not soaring rather than decreasing in price. They will even let you know that they want the profits to happen as quickly, not for them to be patient for long without knowing when the market will give them the expected profit.

Introducing a newbie who has little or no knowledge of crypto investment, is the worst mistake to have. Is either they have you to blame for their losses or sell at a loses price

[Jamal Aezaz]

It is not enough to be wise without having money. If you are wise and you are not rich at a certain point in time you will be forced to sell your bitcoin at lose. There is rising inflation globally and more people are getting poor than becoming rich. If anyone has a bitcoin investment but do not have any other means of getting money and the person faces some kind of financial emergency. Will you expect the person to leave the Bitcoin and not solve his financial problem. Most people are wise and also understand how bitcoin works, but because of lack of money people now behave as if they are not wise. This is why a bitcoin investor should have a steady source of income which will help him maintain his life and cater for his needs. Then will Bitcoin investment be regarded as passive and long time.

That's why it is necessary to invest only that time when you have an extra amount because if you don't have enough spare money then it will be hard for you to continue Bitcoin investment and the first rule for investment is to use only that amount which you don't need for other purposes.

It is not necessary that you will put a huge sum in Bitcoin so little investment can also be profitable for you if you have another source of money or some saving for emergency needs.

Everyone knows that Bitcoin investment can give you profit if you keep it longer so it is important for Bitcoin investors to remember that they will keep their Bitcoin for at least four years and if during these four years they need money then they will not sell their Bitcoin with loss so if they are ready for everything then they will not face loss and will not be in trouble.

[doc]

panic will always be there even if we have been investing in crypto for a long time.

Experiences investors must know how to deal with panic feeling. So, I think most people who easily panic are the beginners or newcomers in crypto investment.

You are correct in saying that newbies are the ones who panic most about their crypto investment.

When have a newbie investment in bitcoin, now and then, they will keep questioning or panicking over little changes on why their bitcoin investment is not soaring rather than decreasing in price. They will even let you know that they want the profits to happen as quickly, not for them to be patient for long without knowing when the market will give them the expected profit.

Introducing a newbie who has little or no knowledge of crypto investment, is the worst mistake to have. Is either they have you to blame for their losses or sell at a loses price

It's best for newbies to start learning about the market and the character of crypto coins because if they don't understand it it will make them panic when the market experiences a correction, this takes time and of course those who have been investing in crypto for a long time are calmer when the market experiences a decline.

[TomPluz]

Most times people think that to make a solids investment comes from dipping hands into their investment by using it to sort out any issues and keep saying the reason for their investment is to used it to sort out issues knowing too well that's no investment that can yield profits while they keep touching.

In other words, many people are not educated on investing or financial literacy and that is why they are not guided on what to do, what to expect and how to maximize their investments to work for them into the future. One must invest with cryptocurrency mainly Bitcoin with the long-term lens otherwise it can easily be distracted by FUDS and of course personal choices. Now, it might not be easy but if one is adamant things will eventually work out for good. I am hoping that people in Bitcoin know what they are doing and that they are really working for their financial freedom so they won't easily give up.

[SmartGold01]

Most times people think that to make a solids investment comes from dipping hands into their investment by using it to sort out any issues and keep saying the reason for their investment is to used it to sort out issues knowing too well that's no investment that can yield profits while they keep touching.

In other words, many people are not educated on investing or financial literacy and that is why they are not guided on what to do, what to expect and how to maximize their investments to work for them into the future. One must invest with cryptocurrency mainly Bitcoin with the long-term lens otherwise it can easily be distracted by FUDS and of course personal choices. Now, it might not be easy but if one is adamant things will eventually work out for good. I am hoping that people in Bitcoin know what they are doing and that they are really working for their financial freedom so they won't easily give up.

The most important thing is to be properly guided with their investment to have a productive results from their state of have efficient patient. There are lot of people who lack basic knowledge and understanding towards their investment but they are merely being waved and driving by news, lack of patients, discouragement from relative and spouse. As an core investors who is knowledgeable enough about bitcoin is not meant to be pulled by rug pull or whales.

[Freemind]

The most important thing is to be properly guided with their investment to have a productive results from their state of have efficient patient. There are lot of people who lack basic knowledge and understanding towards their investment but they are merely being waved and driving by news, lack of patients, discouragement from relative and spouse. As an core investors who is knowledgeable enough about bitcoin is not meant to be pulled by rug pull or whales.

"knowledge is power". That phrase attributed to Francis Bacon in 1597 has the most significant value that we can find not only when we talk about cryptocurrencies, but in life itself. With the necessary knowledge we will know when we should sell, when we should buy and when we should do absolutely nothing, something that, as you say, unfortunately not everyone is able to do.

Impatience, greed and ignorance are our worst enemies, we must know how to control them to continue moving forward and be able to take advantage of our investments. Educating ourselves will always be the most valuable investment. We will make mistakes, but fewer than without that education.

Your words are very positive @SmartGold01. Thank you.

+1

[dekafee79]

The most important thing is to be properly guided with their investment to have a productive results from their state of have efficient patient. There are lot of people who lack basic knowledge and understanding towards their investment but they are merely being waved and driving by news, lack of patients, discouragement from relative and spouse. As an core investors who is knowledgeable enough about bitcoin is not meant to be pulled by rug pull or whales.

That is the importance of someone having knowledge and understanding about investing in crypto, understanding the market habits of crypto so as not to panic when the market experiences sudden changes, people call it a market correction. Because this will always happen in the crypto market.

[SmartGold01]

The most important thing is to be properly guided with their investment to have a productive results from their state of have efficient patient. There are lot of people who lack basic knowledge and understanding towards their investment but they are merely being waved and driving by news, lack of patients, discouragement from relative and spouse. As an core investors who is knowledgeable enough about bitcoin is not meant to be pulled by rug pull or whales.

"knowledge is power". That phrase attributed to Francis Bacon in 1597 has the most significant value that we can find not only when we talk about cryptocurrencies, but in life itself. With the necessary knowledge we will know when we should sell, when we should buy and when we should do absolutely nothing, something that, as you say, unfortunately not everyone is able to do.

Impatience, greed and ignorance are our worst enemies, we must know how to control them to continue moving forward and be able to take advantage of our investments. Educating ourselves will always be the most valuable investment. We will make mistakes, but fewer than without that education.

Your words are very positive @SmartGold01. Thank you.

+1

You know when people understand what they have and what they are doing it makes them succeed so easily in what they are doing, especially in terms of investment and this they could hold for decades if the right knowledge are being explored, and of course people makes mistakes but the ability for them to take immediate corrections is what us scholars who is keens to learn and educates themselves.

1+

[lepbagong]

The most important thing is to be properly guided with their investment to have a productive results from their state of have efficient patient. There are lot of people who lack basic knowledge and understanding towards their investment but they are merely being waved and driving by news, lack of patients, discouragement from relative and spouse. As an core investors who is knowledgeable enough about bitcoin is not meant to be pulled by rug pull or whales.

That is the importance of someone having knowledge and understanding about investing in crypto, understanding the market habits of crypto so as not to panic when the market experiences sudden changes, people call it a market correction. Because this will always happen in the crypto market.

It is truly difficult to imagine that someone would be involved in crypto but would not know and understand what the meaning and purpose of crypto would be. Knowledge of crypto can at least provide further understanding for someone to be able to contribute to crypto, because without it there will be difficulties in carrying out investments. It's true, without knowledge about crypto, you will panic if you experience something difficult, so first learn and receive good information about what crypto is.

[doc]

The most important thing is to be properly guided with their investment to have a productive results from their state of have efficient patient. There are lot of people who lack basic knowledge and understanding towards their investment but they are merely being waved and driving by news, lack of patients, discouragement from relative and spouse. As an core investors who is knowledgeable enough about bitcoin is not meant to be pulled by rug pull or whales.

That is the importance of someone having knowledge and understanding about investing in crypto, understanding the market habits of crypto so as not to panic when the market experiences sudden changes, people call it a market correction. Because this will always happen in the crypto market.

It is truly difficult to imagine that someone would be involved in crypto but would not know and understand what the meaning and purpose of crypto would be. Knowledge of crypto can at least provide further understanding for someone to be able to contribute to crypto, because without it there will be difficulties in carrying out investments. It's true, without knowledge about crypto, you will panic if you experience something difficult, so first learn and receive good information about what crypto is.

If you want to invest in crypto, you should learn about crypto first, the characteristics of crypto. because knowledge is needed before we invest, this is a matter of the money we spend to buy coins, if we don't understand what we are going to buy it's the same as throwing our money away on something we don't understand.

[Uruhara]

Watching the bear market does play a game on peoples minds, that's why. I think its clear that we are not going to have a bad month, nor a year which means that we are going to see the price do much better. However, I also think that the best way to approach this would be just realizing that we can't keep on selling whenever it goes down a bit, that's going to happen and its inevitable, so we just need to keep on enjoying whatever we have. This is why I think its going to end up with a good return if we know what we are doing and holding our coins. This way we could probably make a good return on it.

Yes, it is true that if we can be strong people who hold onto the coins we have collected, then one day our patience will bear fruit or profit. As long as the coins we hold have fundamental strength that can be trusted. As long as the project we enter is a good project. So after the correction is complete, prices will usually recover quickly. For example, the WLD coin has risen more than 40% in the past 7 days. after this coin experienced a fairly large correction. For those who panicked and sold then now they regret it. And those are altcoins. Meanwhile, if it's about Bitcoin then I don't think we need to panic and just have to keep holding it until our target is achieved. because it seems like real bullishness hasn't happened yet. And I think after this correction things will recover quickly. And currently Bitcoin has also returned to a price above 64k.

[pieppiep]

If you want to invest in crypto, you should learn about crypto first, the characteristics of crypto. because knowledge is needed before we invest, this is a matter of the money we spend to buy coins, if we don't understand what we are going to buy it's the same as throwing our money away on something we don't understand.

Studying Cryptocurrency must be accompanied by those who are experts in determining the rising and falling price movements of coins on exchanges. If we learn on our own with only the capital of reading and watching on the YouTube platform, in my opinion that is still not enough. We know that Cryptocurrency Trading has very high risks because it can cause our assets to disappear instantly if we make a fatal mistake.