We are highly influenced by what we hear and see other people are doing. When it comes to investing in something, some people follow this. People hear about some positive news about any specific asset or investment opportunity, they see other people are investing in that, so they decide to do that as well.
You will find similar trends whether invest in the stock market, any asset, project, or cryptocurrency. If you just see what's going on outside, what people are doing, you might easily get lost. Likewise, when there is some news that does not sound good, some people decide not to invest in that.
Many things can be done to manipulate. If you watch videos about investing in something or read some articles about it, that's not all. You have to do your own research. You see people are investing in something, that does not mean you have to invest in that. On the flip side, you see some people do not feel comfortable investing in something, that does not mean that's not a good investment opportunity.
So what do other people say and do that's wrong?
If you follow other people when you have any investment decision, you might end up in a financial crisis. You are not trying to understand what's actually going on. Due to some lucrative offer, some people are attracted to some investment opportunities. Or, there is a higher rate of return, that's why they invest in risky assets.
If you only see higher returns and do not consider the risk, you might end up in a bad place. You have to consider both the expected rate of return and risk. Maybe some people have some extra money and they do not care much if that gets lost. So they invest in risky assets. How about you?
This is your money. You have to make the ultimate decision. When you keep quiet and start doing your own research and try to understand why something is doing well or something is not doing well, you can make a good decision.
What do you think? Please feel free to share your thoughts in the comment section. Thank you so much for reading this post.
Disclaimer: I'm not your financial advisor. This is only for educational purposes. Doing your own research is a must before making any decision. I will not be responsible for your action.
Hi, I am Rezoanul Vibes. I'm a content creator and passionate learner. I write about lifestyle, martial arts, self defense, and digital marketing. I make videos without me on the video. Well, you cannot see me, but you can hear my voice. I'm glad to meet amazing people all over the world.
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