Amemecointraderwhorushedtobuy5differentmemecoinsinjust5hoursendeduplosingalargeamountofmoney.Thetrader’stotallossreached274$SOL,whichisabout$43.5K,accordingtodatafromLookonchain.
Pleasedon\'tbuyoutof#FOMO!
Yesterday,atrader#FOMObought5#MEMEcoinsinjust5hoursandlostmoneyoneachone,withatotallossof274$SOL($43.5K)andanROIof-67.89%.https://t.co/aIh2v57Oeopic.twitter.com/doBpWTkGSH
—Lookonchain(@lookonchain)October20,2024
FOMOPurchasesLeadto68%LossforMemecoinTrader
Thispurchasewasmadeoutoffearofmissingout(FOMO),orthefearofmissingout,andthetraderhasboughtthesecoins.FOMOisafamiliarsensationtothoseinvestorswhoseektocapitaliseonquicklyevolvingtrendsinthemarket.Butthetraderwouldsoonfindthatusingthisfeelingwillonlyresultinagreatloss.
Withinthe5hours,thetraderbought5differentmemecoins.Unfortunately,eachofthesecoinsdeclinedinvalueimmediatelyafterthepurchasesweremade.Consequently,thetrader’sROIbecamealossofapproximately68%.
FOMOBuyingLeadsto$43.5KLossinMemecoinMarket
Thetotalamountof$43.5klostindicatesthedangersofinvestingincryptocurrenciesandmoresomemecoinsduetotheirerraticpricemovements.Alotoftradersfailtobepatientwhenpricesarerisingandtheyendupbuyingstockswhenpricesarehigh.
Thespecialistsadvisenottoinvestincoinsduetofearofmissingout,FOMO.Theyurgedthatpeopleshouldtaketime,andconductresearchbeforepurchasingtheminsteadofhurrieddecisions.Whileimpulsebuyingisarelativelyfunactivity,FOMObuyingisasurewaytogetburned.
Therefore,thiscase,reportedbyLookonchain,bringsanimportantlessonofFOMOtradingespeciallyconcerningthehighlyriskymemecoins.Suchbehaviorsareverydangerousbecausetheyarelikelytocausemassivelosesasitwasinthiscase.Tradersareencouragedtoavoidmakingimpulsivedecisions,undertakeadequateresearchandactinthelong-terminterestoftheirinvestmentstoreducerisks.
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