I have seen many persons come here to lament of them losing one or two funds in trading which is very obvious and need questioning of how and where they learn there own trading skill from. I have had of a crypto traders that lost all his funds in one day because of market volatility. This happens frequently and I think there is need to recall where the cause could be from.
Before talking about volatility or questioning trading skills, the first thing to ask is what kind of trades were executed that resulted in all losses. If it's a spot trade, your trader won't really lose anything. The fact today is that many beginners are still trapped in the notion that binary options are trading.
I think what the OP is talking about is that the binary options that are being played may be considered trades that don't spend a lot of money even though if you don't have skills, you will certainly lose in a short time.
I don't think spot trading will be like this and only stuck for a long time even if the altcoin lacks potential to trade at least there will be some left and experience to correct it but in trading it takes a lot of things including those mentioned above.