I'm fascinated by psychology and how people react to this by receiving the mood and amplifying it themselves.
Let's say you are a person with 10BTC bought at $80k. When we went to 100k you sold some of it, like 20%, so you now have 8 BTC. It went to 124k and now is down to 111k. Logic dictates that you should be happy with 0 pressure to sell because you're nowhere near a loss and the price is above your last sell, and far above your buy, yet in reality you will most likely be unhappy and feel like you should sell more. Why?
-other people are negative
-red candles induce fear of the unknown. What if it goes down more and never stops?
-downtrend makes you feel like the whole investment is somehow flawed and endangered
-you don't know what's up, but maybe others do? Maybe you should follow the group? Do what others are doing?
It's funny, but some of my friends told me that they'd feel better if they sold just a bit, even 10% of their coins and that would make them feel better and safer. According to them, selling a small amount would calm them down.
How do you guys feel during a time like this?
People feel exactly like you described, anxious, torn, and strangely tempted to act even when the math says otherwise. loss aversion and the disposition effect make unrealized gains feel fragile, recency bias and red candles make the brain expect more pain, social proof and herd thinking whisper maybe others know something, anchoring to the peak (100k or 124k) warps reference points so 111k feels like a drop not a win, and fear of regret pushes people to sell small amounts just to feel safer, even though that can hurt long term performance.
i feel the tug too, a mix of excitement, boredom, and that itch to “do something”, and honestly selling a tiny slice to sleep better can be totally valid, it’s mental insurance not a crime, practical fixes that help: set rules before the swing (predefined sell/rebalance levels), use a named “calm” sell amount if you need peace, ladder sells instead of one panic move, keep a short trade journal to see patterns, check less and trust your thesis, run decisions through a checklist (“will this change my investment case?”), and remember novelty wears off, if you make small, planned moves you keep control without handing emotion the wheel.