The hyped in 2017 cause bitcoin and others cryptocurrencies to surged toward the end of the year and complete crashed back to the bottom in December 2018. Did people really know what they are investing in? Is a question that keeps ringing in my mind and actually the answer to that question is that people follow the hype and forgot to checked for reality before investing and this come from the testimony of those that has claim of making big profits or gain from the past surge that came into the cryptocurrencies market.
I think the red flag there is that people think of what they are going to get from their investments into cryptocurrencies more than the capital they have invested and as results when the reality done on them, they began to sell out of panic and in turn the market clash like it happens through 2018.
Now that we have another opportunity to invest because of the down turned, I do believe that it is good you look at the reality behind any coin you want to invest in and not the FUD, manipulations, FOMO and hype behind those coins.
The problem with people who are investing out of hype is that, they are not really aware what caused the hype. This is one of the main reason why a lot of people, usually or most of them are new people in cryptocurrency, had lost a lot of money and now blaming cryptocurrency for it. As an investor, it is our responsibility to be updated or at least aware of what we are getting involved to.
Yes. The whales are very smart when choosing crypto market to manipulate. Because this is a decentralized market and anyone can join the transaction. The most important thing is that greedy people do not have much knowledge in this area, they cannot manage risks.
That's why many investors lost heavy capital in 2018 due to the hype.
We really need to know how to manage risk. that is one of the most important factors ever.