The risks of trading cryptocurrencies are mainly related to the volatility of the cryptocurrency market, which represents a high risk, it is important that we understand the risks before starting an investment in cryptocurrencies. All financial assets carry high risk, whether through the use of leverage, susceptibility to cyber attacks and errors, unethical trading techniques, or target market volatility.
The biggest risk is not making silly trades because you learn from them. The biggest problem is the manipulation and that causes a lot of trouble for a lot of people. I mean manipulation by the rich people usually end up with a big problem that is hard to reverse, sure it's not going to be impossible to reverse, but it really causes a delay in our profit.
If those people with hundreds of millions of dollars, even sometimes billions, stopped manipulating bitcoin then we would be doing much better. Just as the price started to recover, we finally heard from mt.gox trustee to start paying people hence creating a fear of dump, is that really not manipulation right now? It's definitely one. That was done during 2018 as well, same mt.gox deal.
it is old news that keeps repeating to create panic in the market. But in fact for now the manipulation is not working because the market is getting better. The fear of being dumped because of the rumot of MT-gox is certainly a fear for some investors, but for those who already understand that only fud will disappear by itself.
any risk will occur in cryptocurrency trading, the most important thing is to be ready with all the risks that will occur. High volatility can provide both advantages and disadvantages, depending on how we can manage it.