The Psychology of People Who Lose Money With Bitcoin

Greed and lack of trust are the worst enemies in the Bitcoin world.

With each Bitcoin price crash, it is interesting to observe the behavior of those who lack confidence in the Bitcoin revolution. I am referring to those who take the plunge and buy Bitcoin when it enters a Bull Market but make the mistake of not really understanding its purpose.

These people come to the Bitcoin world for one reason: to get rich.

An asset that has seen its price rise from a few cents in 2010 to nearly $65K in April 2021 is obviously a fantasy for the greediest of people. I don’t blame them, because many people come to Bitcoin initially driven by this desire to make big profits.

The difference is after the first purchase.

Some will continue to learn block after block to understand that Bitcoin is about power, not money. This is a minority of people who will eventually become Bitcoiners.

Unfortunately, too many people will continue to be blinded by their greed. Greed is the number one enemy in the Bitcoin world.

The psychology of those people who end up losing a lot of money with Bitcoin is quite simple: they want to make a lot of money. Better yet, they want to make a lot of money quickly. All without any effort of course.

These are the people who come to you with questions in private that look like this:

“Can I get rich by buying $100 worth of Bitcoin?”

“Is $1,000 invested in Bitcoin enough to get rich?”

“Can you say how long it will take for the price of Bitcoin to reach $100K?”

I’ll stop there, but you get the idea behind these questions. You’ve probably already received questions like this if you’re a Bitcoiner.

These people are all about money. To them, Bitcoin is just another asset. They don’t realize that Bitcoin is an incredible monetary revolution that will change the world of the future for the better.

They are totally missing the point.

Bitcoin is encrypted P2P money. Once you’ve secured the fruits of your labor in the world’s most secure decentralized network, no one can take it away from you if you have the associated private keys. With Bitcoin, you take back the power over your money.

Thus, you can live your life on your own terms.

The fact that the price of Bitcoin in U.S. dollars crashes from time to time is nothing to worry about. It shouldn’t worry you, because Bitcoin is a free market, and that’s what free markets do. Volatility is high because users can find an equilibrium price at any time.

You have no circuit breakers in the Bitcoin world.

Those who lose money with Bitcoin don’t understand this. Driven by greed, they will buy Bitcoin over $50K when the FOMO sentiment takes over the market. These same people refused to buy Bitcoin in March 2020 when its price was $3.6K.

The fear of Bitcoin’s price falling to zero must have been too strong in their minds.

So these people will suffer the volatility of the Bitcoin price and events. So when Elon Musk sets up what looks like a large-scale Bitcoin price manipulation, these people will fall into the trap by selling their BTC purchased over $50K a few months earlier at a loss.

Panic takes over their sense of logical reasoning.

The psychology of these money losers is to follow the masses. When everyone else panics, they panic without trying to step back and focus on the fundamentals of Bitcoin. This is the only way to see the bigger picture.

While the majority of investors were panicking last week, some took the opportunity to accumulate more BTC at a discount. These people will be rewarded in the coming months.

Source: https://www.inbitcoinwetrust.net/the-psychology-of-people-who-lose-money-with-bitcoin-834545e260fc?source=rss——-8—————–cryptocurrency