Ways to lose money

There are several common mistakes that cost tron users money. Some of these may seem obvious to you. However, I have seen many people lose from these practices so I will list them.

Chasing the pump: every day I see this. A token pumps and the next day people jump on it. Only many times that pump is short lived and it fails back down. You have to know WHY it pumped and determine if its likely to continue. I'm not saying you can't do well following the crowd but its risky so just examine your reasons for doing it. If you are buys only because other people are buying, you are taking unnecessary risk

Chasing the hype: this has to do with dapps and projects. Because they are less Visible sometimes than tokens more time may have passed from day a boom in a project started and the day you noticed it. Again, if you see hype around it project look at why. Look at how long that hype has been going and ask how much longer does it have. Most defi projects take several days if not weeks to break even and start making profit. So make sure there is still enough time left for you to get past the break even point and into profit.

DON'T DO THINGS YOU DON'T FULLY UNDERSTAND. This might seem obvious to you but I believe this is the most common mistake people make. You can lose money on even great projects simply by not knowing how it works. I don't care if your best friend shared it with you and you 100% trust that its good. If it's that good then it will still be good Tomorrow after you have taken the time to examine it and fully understand it.

This brings me to the next most common mistake. People don't read white paper. If there is information provided about the project, READ IT! I see all the time people saying in groups, " I didn't know that was part of the plan/project ". When you don't take the 10 minutes it takes to read white paper and look at rules and roadmap ( future plans) its your fault when you lose money.

Lastly, this is not a mistake but just something YOU MUST UNDERSTAND, for 1 user to make a dollar, another user must lose that dollar, period! Money is generated from user investment in 99% of projects and tokens in cryptocurrency. So remember this because all the people who lost money THOUGHT they were going to be on the winning side. Know this, MORE LOSERS THAN WINNERS, in almost every project/token in cryptocurrency. So the odds are not in your favor and if you are doing one of these common mistakes listed above, its likely you will be on the losing side.