This is a very common mistake which many traders make, even the experimented ones, there is no guarantee when we trade, every time we open a position we must acknowledge the fact that we can lose money, anyone that trades thinking they are never going to lose are going to end up disappointed when that is not the case, and even worse is that they will make movements that are mistaken and instead of cutting their losses short they will either hold too long or use leverage and increase their losses geometrically.
I totally agree, over confidence may negatively affect on Trader’s decisions and that could cause awful results. Furthermore, it is preferable to expect the unexpected events and scenarios even when you make good decisions ( from your perspective) Plus, accept the failure ( loss ) and learn from your own mistakes. The more you gain experience in trading, the less mistakes.
Moreover, you should adapt yourself in every new condition. At the beginning, read the market and then use a strategy that suits the current situation. , in fact, crypto trading requires knowledge, discipline and patience , these are the main keys to accomplish success.
This is why trading is often compared to an art rather than a science, you cannot simply say do this then do that and you will become successful, trading is not that easy, it is true that it has quite a significant amount of mathematics and that you require a lot of skill and experience in order to become good at it, but at the same time it requires a little bit of something that cannot be measured, that cannot be trained and that you either have or you do not, and unfortunately for most traders they simply do not have what is necessary to become a good trader.