Losing money and greed 🚧
## Here's why you lose money in cryptocurrencies
Cryptocurrencies can be a great investment opportunity, but they also come with inherent risks. Here are some common reasons why novice investors lose money in cryptocurrencies:
### Lack of knowledge
Cryptocurrencies and the underlying blockchain technology can be complex. Beginners who dive in without understanding the basics are more likely to make poor investment decisions.### FOMO
(Fear of missing out):
Rapid fluctuations in cryptocurrency prices can trigger FOMO, prompting beginners to rush into purchases without doing proper research or making a trading plan. This can lead to buying at inflated prices and selling at a loss when the market declines.
### Unrealistic expectations:
Cryptocurrencies are known for their high price volatility. Beginners who expect quick and easy riches are more likely to be disappointed and lose money.