Forward the Original Title: Why Is It So Hard to Make Money in a Bull Market? From Psychological Pitfalls to Operational Traps, Avoid These 10 Habits That Lead to Losses

Overconfidence is a major pitfall in investing.

In a bull market, people often become greedy because of the rapid rise in the market and want to seize the “last big surge”. However, once the market reverses, this impulse can often erase the gains they had already achieved.

How to avoid these risks? Below are 10 common mistakes and corresponding solutions we’ve summarized.

1. FOMO Without a Plan

When a popular project suddenly becomes popular, many people may impulse buy due to fear of missing out (FOMO). However, after prices reach their highs, the enthusiasm often fades quickly, leaving investors with losses.

How to avoid:

• Before you start investing, make sure you have a clear investment logic and goals.
• Don’t blindly follow the trend because of market sentiment and avoid impulsive trading.

2. Ignoring Risk Management

Overconfidence in investing can lead to reckless decisions, such as going all-in, using high leverage, or investing only in high-risk assets. These behaviors expose your portfolio to significant risks.

How to avoid:

• Diversify your investments sensibly, allocating some funds to stablecoins or low-risk assets to balance overall risk.
• Use stop-loss orders (automatically selling assets when their price drops to a certain level) to minimize potential losses.

3. Lack of Patience, Exiting Too Early

Some investors choose to sell before a project has fully realized its potential, missing out on even greater gains. This kind of impatient behavior often stems from an excessive focus on short-term market fluctuations.

How to avoid:

• Trust the research you’ve done and don’t change your plans easily because of short-term fluctuations.
• Reduce the time spent checking market trends and give your investments time to grow.

4. Overly Complex Strategies

Some investors rely on numerous technical indicators or complicated analysis tools, which can lead to indecision and missed opportunities.

How to avoid:

• Simplify your investing strategy and focus on a few key indicators, such as market trends and fundamental analysis.
• Maintain clarity and decisiveness in your decisions without being overwhelmed by excessive information.

5. Over-trading Erodes Profits

Frequent trading will not only make you pay a lot of handling fees, but may also increase the probability of investment mistakes due to emotional decision-making.

How to avoid:

• Reduce the number of trades and focus on opportunities you truly have confidence in.
• Allow your investments to grow naturally without excessive interference.

6. Selling Strong Performers to Chase “Potential” Coins

Many investors make a common mistake during a bull market: sell out of strong-performing coins and instead invest in some speculative “hidden gems” in the hope of finding the next big surge. However, this behavior often results in reduced profits or even losses.

How to avoid:

• Be patient with high-performing investments and let them continue to grow.
• Avoid abandoning proven projects to chase unverified opportunities.

7. Blind Confidence in a Bull Market

In a bull market, the general rise in the market can easily make people mistakenly believe that their success comes entirely from ability, while ignoring the element of luck. This overconfidence can lead you to make risky decisions, such as overinvesting or leveraging, thereby increasing the likelihood of losses.

How to avoid:

• Stay humble, recognize the unpredictability of the market, and don’t be overconfident.
• Control the size of investment positions and avoid investing too much money in a certain project to reduce risks.

8. Over-Diversification

Trying to seize every opportunity can leave your portfolio too diversified, leading to a lack of energy and diluted returns. Instead of chasing quantity, focus on a few truly trustworthy projects.

How to avoid:

• Focus on 2-3 projects that you’ve researched deeply and are really optimistic about.
• Remember, quality matters more than quantity—a focused investment strategy is often more successful.

9. Chasing the “100X Dream”

Many people will be obsessed with looking for the next project that can bring “100x returns” during the bull market, but these projects usually lack fundamental support and may eventually lead to losses.

How to avoid:

• Prioritize projects with strong fundamentals (such as technical strength, team background) and real application scenarios.
• View the market rationally and don’t be swayed by fantasies of quick profits. Long-term holding of quality assets is often key to high returns.

10. Final Advice

Succeeding during altcoin season is not just about capitalizing on the market’s rise, but more importantly about avoiding the mistakes that could cost you dearly.

No matter how volatile the market fluctuates, maintaining discipline and executing a clear strategy is the way to winning. Stay focused on your goals and make every investment decision carefully. Good luck!

Disclaimer:

1. This article is reproduced from [TechFlow]. Forward the original title: Why Is It So Hard to Make Money in a Bull Market? From Psychological Pitfalls to Operational Traps, Avoid These 10 Habits That Lead to Losses. The copyright belongs to the original author [BTC_Chopsticks]. If you have any objection to the reprint, please contact Gate Learn team, the team will handle it as soon as possible according to relevant procedures.
2. Disclaimer: The views and opinions expressed in this article represent only the author’s personal views and do not constitute any investment advice.
3. Other language versions of the article are translated by the Gate Learn team. Unless otherwise stated, the translated article may not be copied, distributed or plagiarized.