The Biggest Mistakes That Women in Crypto Make
By: Ivy Riane
Tags: Lifestyle, Finance, Ethereum, Bitcoin, Investing

Women have so many roles in today’s society that it’s hard to keep up with everything. Photo by Climate KIC on Unsplash

As wives, mothers, entrepreneurs, business owners, co-workers, overall badasses, and every other hat that we end up wearing in daily life it can be difficult to find time to adequately research cryptocurrencies and find those that are suitable investments for our interests.

I have been in the crypto space since 2012 and have made my fair share of mistakes so I figured I would share from my experience and from some other wonderful women that I know.

Before we start, here is a pretty good piece of advice for you:

“Just go for it. Too often, women have a confidence gap that makes them pause and slow down while men dive in and learn as they go. Just go for it!” Kathleen Murphy, President of Personal Investing at Fidelity Investments

#1: Following the Herd

It’s perfectly fine to join various groups and threads on social media like Facebook, Twitter, Medium, YouTube, or Reddit in order to ask questions in an attempt to learn (I encourage you to do so) but be wary of listening to every piece of advice that you receive.

I would recommend that you listen to multiple perspectives and do some research on your own from more than one source so that you can form an all-encompassing view to make an educated investment. Following the herd blindly is typically the fastest way to ensure that you will lose your money. And I don’t want you to lose your money if it can be prevented.

#2: Having Too Many Eggs in Your Basket

When it comes to investments, I am usually the first one to tell you to diversify but with cryptocurrency you want to be careful of spreading yourself too thin, especially if you have a smaller amount to invest.

Start with whatever amount you can feasibly afford to lose if it happened but don’t try to buy a little piece of every coin out there hoping that one of them will go to the moon. The problem with this strategy is that even if a coin does go to the moon you will not make much money from it because you spread yourself too thin.

Be wary of keeping too many eggs in your basket. Photo by Natalie Rhea Riggs on Unsplash

If you choose a few coins (5 or less) and focus on investing into them you will come out better in the long run if your plan is to hodl crypto for the long-term. If your plan is to trade then I would choose a few coins daily or every few days that you feel will do well in the short-term. Again, do not try to invest in every available coin.

#3: Panic Sells

As women, we seem to be biologically programmed to take less risks if we have families or others depending upon us. This is not true for every woman but I have met many women that fit this profile.

It is so easy to want to panic sell if prices of crypto coins start to drop but this will cause you to lose money in the short term and potential gains in the longer term. The better method is to fight the urge to panic sell and hold on to wait for the price to regain.

If you get nervous about a coin price falling, do some research on the coin to check for any news. Sometimes coins fall in price as a natural course of the market but other times the company is failing and that is when you should sell. Unless the coin is failing as a whole, it is not usually a good idea to panic sell.

#4: Spending Too Much Time Trading

It can become addicting to sit in front of the computer all day every day and watch the price of coins go up and down. Trading can definitely become addicting. But, trading too much will likely cost you money in the long run.

First of all, newbie traders can become physically and mentally exhausted by trading too much and you end up making poor decisions because you are overtired. Be patient and understand that the “perfect” trading opportunity happens multiple times per week so another one will come up soon that you can take advantage of.

What mistakes have you made in crypto trading? What advice would you offer to the many newbie investors that are now entering the crypto space on a daily basis? I would love some comments and feedback to have a good discussion!

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