Being a beginner in any industry means you will make some mistakes. Mistakes make life difficult, and then you get the impression that you will never stop being a beginner.
The same happens in the cryptocurrency industry - a lot of new people make mistakes that are inherent only to beginners. Of course, it's better to learn from other people's mistakes. But how can we make sure that there are fewer of our own?
Let's take a look at some of the most common mistakes crypto-newbies make and check out some tips on how to avoid or fix them.
1. You haven't done your own research.
Before starting anything new, of course, you need to do your own research. Eventually, you are going to invest in cryptocurrency money that has been earned through hard work, and therefore you need to have a good understanding of what cryptocurrencies are and what your next steps may lead to. It is not enough to just listen to friends or "experts" on the Internet who can "help" you to drain your money. Do a little research before entering the world of cryptocurrencies. You need to understand the above, and only then join the trade.
2. You only strive for huge profits.
Many miners are now millionaires, so you might want to buy your hardware and start the mining process. However, one should not get involved in it without thoroughly studying it and keeping in mind only large profits. Mining requires a lot of electricity and will require paying huge bills that can cost more than your mining profit.
3. You are impatient.
It is difficult to be patient, but patience and calmness must always be maintained. There will always be third parties or factors that push you to buy or sell, but if you are patient with your crypto coins, you will be rewarded. Short-term and occasional gains from trading are certainly good: but in general, you need to stick to a strategy and plan accordingly.
4. You sell thinking the price is high enough.
You never know how high the price of a token will go. If you managed to sell coins, and the price continued to rise, then, of course, you can regret it. Therefore, you need to make a plan that clearly outlines your goal in the form of a particular profit, which you need to come to while showing patience. Patience is also needed in order not to start a panic sale just after seeing that your token has gone down a little.
5. You do not have private keys from your cryptocurrencies.
This clause concerns the security of your coins and the privacy of the data that provide access to them. You should always know your private keys because wallets can crash, exchanges can be hacked, and your losses can cost thousands of dollars.
6. You are not in a good community.
There are dozens of good cryptocurrency communities out there, and it would be a mistake if you don't join at least one of them. You could get a lot of knowledge and support from them. Loneliness is a difficult journey, especially given that there are many great things to be learned in communities.
7. Sending funds to the wrong cryptocurrency wallet.
That is a mistake people often make. To avoid this, you need to double-check the correctness of the address to which you decided to send funds. You need to make sure that you do everything carefully and slowly.
8. You don't have copies of your passwords.
You should have offline, offline copies of all your passwords, private keys, and other necessary data if you don't want to say goodbye to your money forever. That is important because you will need to access all of your cryptocurrencies in case if your computer crashes or gets stolen.
9. You are not using two-factor authentication.
While you may not like it, remember to activate two-factor authentication (2FA). That is to keep your account secure. You should also save your recovery codes offline so that you can unblock your account if something happens.
10. You are afraid that you will miss something (FOMO - Fear Of Missing Out).
That is one of the biggest problems in the cryptocurrency world. There are many success stories, but it is not always possible to guess what will turn out to be beneficial for you. This syndrome can push you to make rash decisions. It should be understood, however, that you will only miss some things, but not all.
These were the most common mistakes crypto beginners make. Try to remember these points to avoid them in the future.