I was in a Twitter Space today, listening to a very experienced trader. He confidently told everyone to short Bitcoin and altcoins, predicting that BTC was going to drop into the 90K range and that altcoins would dump hard.
Now, as we approach the end of the day, Bitcoin is pumping already trading above $96K. At this point, it’s likely that his stop-loss was hit, or worse, he got liquidated.
It makes me wonder: how do even seasoned traders still get it wrong on intraday moves?
Let me know your thoughts.
No one is perfect in this game of trading. The so called professional traders you can think of and can mention their names have one way or the other did a wrong prediction that have caused them to lose money. The best thing that does reduce the risk of them not losing too much is the stop loss they set. It is used to limit their losses and get to use their remaining balance to try on another trade after taking another analysis. To make a profitable trader is that you make more correct choices than the wrong ones, in that manner, the little set backs on some trades that didn’t go your way will get you to recover from the ones you made the right prediction. This is a continuous learning process, so don’t be surprised if wrong prediction from experts.