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

[dekafee79]

The fear of Bitcoin not increasing in price is the reason why people panic when there's a fall in Bitcoin price, some people believe Bitcoin price won't go beyond what it is now and some believe Bitcoin will only fall at this level it has reached, this are some reason why people panic when there's a fall and people that has this fear are those that don't know the history of Bitcoin.

I understand that there are so many newbie investors with Bitcoin and many of them are not financially and investment literate and that is why they can easily be swayed by FUD and may panic at the slight push of the button, so to speak. Now, the best antidote to panic is knowing the very history of Bitcoin and how it came up to where it is now...and surely we can see the rise in price after some years in the market. Bitcoin will always have its ups and downs...just like a very exciting roller-coaster....and if one is not prepared for the ride then the experience can be horrifying. Knowledge is always the key when we are investing into something, otherwise we can easily be lead into nowhere and we can be facing risks which are unnecessary in the first place.

FUD will always be there in the crypto world, for newbies they will be easily influenced but for those who have invested in crypto following more than 2 4-year cycles they will understand the character of the crypto market. Crypto volatility will provide opportunities for us to gain profit if we can understand it. And this requires knowledge and experience to be able to achieve great profits.

[Dr.Bitcoin_Strange]

The fear of Bitcoin not increasing in price is the reason why people panic when there's a fall in Bitcoin price, some people believe Bitcoin price won't go beyond what it is now and some believe Bitcoin will only fall at this level it has reached, this are some reason why people panic when there's a fall and people that has this fear are those that don't know the history of Bitcoin.

I understand that there are so many newbie investors with Bitcoin and many of them are not financially and investment literate and that is why they can easily be swayed by FUD and may panic at the slight push of the button, so to speak. Now, the best antidote to panic is knowing the very history of Bitcoin and how it came up to where it is now...and surely we can see the rise in price after some years in the market. Bitcoin will always have its ups and downs...just like a very exciting roller-coaster....and if one is not prepared for the ride then the experience can be horrifying. Knowledge is always the key when we are investing into something, otherwise we can easily be lead into nowhere and we can be facing risks which are unnecessary in the first place.

A rollercoaster ride is a perfect example of how the Bitcoin market works, there are ups and there are downs and without an adequate knowledge of how the market works, these movements can literally influence an investor's rational thinking, behaviour and even decisions. Like I said, these movements (sudden or gradually) has the ability to influence an investor's decision concerning their investment, but this could also be considered in a positive aspect, and it's completely dependent on the individual's knowledge of the market.

What I mean is that, a change in the market can influence an investor in some way towards making some positive decisions. A good example of what I'm trying to say is BUYING THE DIP, a DIP in the market is absolutely inevitable and everyone feels the impact but how you react or act towards the DIP is completely dependent on your knowledge of the market. To some who has little or not knowledge of the market, a DIP is a time to sell in a order to mitigate losses and save what's left of your asset, while to those who really understands the market, the same DIP is considered to be the perfect opportunity to buy more and HODL for the next bull run. It's all about perspective.

[Promocodeudo]

People sell their Bitcoin because other fear of it depreciating or losing it as the caseay be but this decision can only be made by people that does not understand how this investment works, every investment has a concept and I feel that the only way an individual can make progress in any investment is by knowing the possible events that is bound to take place as time goes on and the way to go about them.
Every Bitcoin investor should understand volatility, volatility is one of the major ups and down of Bitcoin because it favours sideways, once there is dip, there should be a kind of investment move by an investor who wants to keep accumulating to get to his or her investment destination, I think every investor should have a target, reason being that if an investor has a target selling off his asset when their is dip wouldn't be an option for him or her hence he knows that the dip is a great opportunity to buy more if the said asset, although fair,lack of understanding and lack of confidence has always been a problem for many investors that's why am of the opinion that people should be very prepared but mentally and financially before they investment in Bitcoin in other to avoid panic and premature decisions.

[milewilda]

The fear of Bitcoin not increasing in price is the reason why people panic when there's a fall in Bitcoin price, some people believe Bitcoin price won't go beyond what it is now and some believe Bitcoin will only fall at this level it has reached, this are some reason why people panic when there's a fall and people that has this fear are those that don't know the history of Bitcoin.

I understand that there are so many newbie investors with Bitcoin and many of them are not financially and investment literate and that is why they can easily be swayed by FUD and may panic at the slight push of the button, so to speak. Now, the best antidote to panic is knowing the very history of Bitcoin and how it came up to where it is now...and surely we can see the rise in price after some years in the market. Bitcoin will always have its ups and downs...just like a very exciting roller-coaster....and if one is not prepared for the ride then the experience can be horrifying. Knowledge is always the key when we are investing into something, otherwise we can easily be lead into nowhere and we can be facing risks which are unnecessary in the first place.

FUD will always be there in the crypto world, for newbies they will be easily influenced but for those who have invested in crypto following more than 2 4-year cycles they will understand the character of the crypto market. Crypto volatility will provide opportunities for us to gain profit if we can understand it. And this requires knowledge and experience to be able to achieve great profits.

If you are someone whose really just that new then you wont really that considered yourself to be that emotionally stable or someone who would really be too highly reactive when the market would really be making out some move and if you are someone whose that experienced then it wont really be that much of an issue. YOu are the ones who would really be doing the deciding on what are the investment steps that you would be making. If you do lack experience then you would really be that impulsive but if not then you would really be finding yourself
to be able to handle up such situation and this is something that would really be advantageous.

[JISAN]

If you are someone whose really just that new then you wont really that considered yourself to be that emotionally stable or someone who would really be too highly reactive when the market would really be making out some move and if you are someone whose that experienced then it wont really be that much of an issue. YOu are the ones who would really be doing the deciding on what are the investment steps that you would be making. If you do lack experience then you would really be that impulsive but if not then you would really be finding yourself
to be able to handle up such situation and this is something that would really be advantageous.

A lot depends on the investment strategy. If one invests a large amount of bitcoins in one go, then it is normal to panic if one sees the price of bitcoins falling. But if you invest according to DCA, in this case you buy bitcoins at different prices and you are more happy without panicking if the price of bitcoins falls.  Because at that time there is an opportunity to buy bitcoins at a low price. And all bitcoins together come to an average investment amount. So then there is no chance to be afraid. We all know how volatile Bitcoin is so we should have some investment plan in advance to control ourselves in all situations and take advantage of all opportunities.

[SmartGold01]

A lot depends on the investment strategy. If one invests a large amount of bitcoins in one go, then it is normal to panic if one sees the price of bitcoins falling. But if you invest according to DCA, in this case you buy bitcoins at different prices and you are more happy without panicking if the price of bitcoins falls.  Because at that time there is an opportunity to buy bitcoins at a low price. And all bitcoins together come to an average investment amount. So then there is no chance to be afraid. We all know how volatile Bitcoin is so we should have some investment plan in advance to control ourselves in all situations and take advantage of all opportunities.

Panicking is some pertinent in human as long as their capital is involved and of course no one would want to see their capital sinking without taking immediate action if they don't know deeply in what they invested their money to.
For tension to reduce then they must learn to start doing dollar cost average as said, with this it makes more easier for them to lose and reduces chances of losing whole money invested at a go.

[JunaidAzizi]

People are very weak and can't uphold any sudden reaction, and this is because of their bad or weak psychology that drives them. Usually, when the market starts downward, people begin selling their assets due to the fear of loss, thinking that this trend may sustain for a long period. As quickly as possible, they get out of the rest of their investments. At this stage, people think emotionally and neglect data analysis regarding how much further the market will go down and how they will recover their losses in the current market. They need to remain calm and start thinking rationally, focusing on the news and trends that determine how much the market will decline before making a decision. Remember, any sudden reaction may increase the chances of further losses, so be careful.

[Asiska02]

The fear of Bitcoin not increasing in price is the reason why people panic when there's a fall in Bitcoin price, some people believe Bitcoin price won't go beyond what it is now and some believe Bitcoin will only fall at this level it has reached, this are some reason why people panic when there's a fall and people that has this fear are those that don't know the history of Bitcoin.

As a newbie that have no knowledge about bitcoin and just recently invited into it and discovered it, at some point I will fear that my holdings will go to loss because the market don’t seem to move in the direction I assume it will be at the time. Buying and holding of bitcoin is most preferable to be on a long term and not short term. If you’ve given yourself a time span of at least 5 years to see where the price of your bitcoin would have reached, you won’t be dissatisfied with the price it’ll be by that time.

Certainly, bitcoin price have been increasing since the inception of it and if you look into that aspect only, you’ll be convinced that bitcoin price will continue to increase overtime and you won’t be too bothered to sell off your holdings when there’s a decline in the market and the value of your bitcoin holding falls. So you need a prepared mindset that will help see you hold your bitcoin throughout the bearish period while waiting for th bull to come around.

[bitterguy28]

Buying and holding of bitcoin is most preferable to be on a long term and not short term. If you’ve given yourself a time span of at least 5 years to see where the price of your bitcoin would have reached, you won’t be dissatisfied with the price it’ll be by that time.

people go into bitcoin thinking that it will make them rich quick but that will only work if you are trading you are not gonna make huge profits just by holding only in a short amount of time and that is a misconception that most people have

Certainly, bitcoin price have been increasing since the inception of it and if you look into that aspect only, you’ll be convinced that bitcoin price will continue to increase overtime and you won’t be too bothered to sell off your holdings when there’s a decline in the market and the value of your bitcoin holding falls.

almost 2 decades now and bitcoin still continues to rise sure it is not a constant uptrend but the temporary dips should not make you feel scared bitcoin will never rise constantly in only a rising line but it doesn’t mean that every time you see the market dip bitcoin will crash to 0

[Joel32]

People sell thier bitcoin when it is down because they are afraid to loss a big money, or maybe they are not a true believer of bitcoin they are maybe invited by a friend to invest without a proper understanding of crypto that is why they easily get panic during bear season which lead them to loss their funds.

[Dr.Bitcoin_Strange]

The fear of Bitcoin not increasing in price is the reason why people panic when there's a fall in Bitcoin price, some people believe Bitcoin price won't go beyond what it is now and some believe Bitcoin will only fall at this level it has reached, this are some reason why people panic when there's a fall and people that has this fear are those that don't know the history of Bitcoin.

As a newbie that have no knowledge about bitcoin and just recently invited into it and discovered it, at some point I will fear that my holdings will go to loss because the market don’t seem to move in the direction I assume it will be at the time. Buying and holding of bitcoin is most preferable to be on a long term and not short term. If you’ve given yourself a time span of at least 5 years to see where the price of your bitcoin would have reached, you won’t be dissatisfied with the price it’ll be by that time.

Most definitely, inasmuch as past performances may not always guarantee future results, both in Bitcoin and other alternate coins, it's still important to acknowledge the fact that Bitcoin has always recorded an amazing recovery after every short-term fluctuation and this has always remained unchanged, so even while it's true that we cannot accurately predict the future outcome of bitcoin price movement, we have at least a 90% assurance that Bitcoin price will always appreciate in the long-term and that there are certain frameworks that backs up bitcoin to ensure that there won't be a crash, so with this we can rest assured that immunity covers our Bitcoin investment as long as we employ the long-term approach and avoid being influenced by the short-term movements and fluctuations, because this is infact the best way to approach Bitcoin investment, and if newbies can acknowledge this fact, it'll help them more in protecting their assets.

[Ujok]

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

because he does not want to take high risks, then he sells his coins so that he does not fall into a big loss. if he holds his coins then he will get a profit or loss, but getting that profit is very unlikely. let's just see now btc from $ 67000 and down to $ 60000, then the loss he experienced is very big.

[NikeFit_7777]

One of bitcoin's early developers, Amir Taaki, has unveiled the first fully anonymous token-based managed DAO.

According to the programmer, no actions of the decentralized organization are tracked online. Participants, their shares, transactions, treasury and all voting-related aspects remain hidden. Taaki believes that such an approach is fully in line with the original mission of cryptocurrencies as an anti-government technology that benefits people.

P.S. In the comments, users wondered how a DAO without onchain transparency would protect itself from malicious actions of participants. 

[KingsDen]

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.

It is best for people who invest in bitcoin and altcoins to have a fixed income in their lives, not just depend on income from crypto investments, because crypto is very volatile. It's wiser to choose that path, crypto as another income, so that when prices drop in the market, you don't panic.

It is also not easy to have a fixed job in some parts of the world. Government has denied their duty of job creation in some countries making young guys to venture into anything possible to make money. That is why the crime rate has risen so high. Creation of scam coins, Ponzi schemes and the rest of them now characterized the cryptocurrency industry. It is therefore nice to have another source of income  to augment your bitcoin investment in order not to be stranded during the bear market.

[Gurujebs]

It is also not easy to have a fixed job in some parts of the world. Government has denied their duty of job creation in some countries making young guys to venture into anything possible to make money. That is why the crime rate has risen so high. Creation of scam coins, Ponzi schemes and the rest of them now characterized the cryptocurrency industry. It is therefore nice to have another source of income  to augment your bitcoin investment in order not to be stranded during the bear market.

The same government will come on the internet and say horinle things about internet work and yet they never provide jobs for people, sometimes I wish God can just erase all politicians and appoint new people with a promise that if they don't do the job they promised people, they will not see their life after some months, I believe with this there will be massive transformation in many countries.

If not for Bitcoin and the way people has now put effort on making money through content creation and offering services online, the government would have think that doing hotel job is the best alternative for someone without job after obtaining a school certificate.