Every time Bitcoin crashes I panic sell at the bottom, then buy back in when it recovers, and I have lost $15,000 doing this exact thing four times.
More people experience this than they realize.
Loss aversion combined with recency bias creates a destructive cycle where emotional reactions consistently override rational strategy.
“Where Are You with Behavioral economics — biases in financial decisions?”
If this sounds familiar, the Library can help you find the bigger picture.