Herd Psychology in Crypto Coin Exchanges

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I would like to touch upon an issue that I am uncomfortable with and start with a few definitions beforehand.

Crypto Currency:
Crypto money is a digital asset, a virtual element, that uses cryptography to secure transactions, the way it works is designed as an alternative to cash exchange tool. Crypto currencies are a kind of digital currency, alternative currency and virtual currency.

Crypto Money Exchange:
A cryptocurrency exchange or digital currency exchange is a business that allows customers to trade cryptocurrencies or digital currencies for other assets such as traditional fiat money or other digital currencies.

The Wikipedia definition is exactly like that.

What is the purpose of using crypt coins?
My personal opinion is that crypto assets are not primarily for investment purposes. Because unlike the known investment tools, the market of cryptocurrencies is very variable and can be manipulated. As a result of supply and demand, it has become suitable for the stock market in time and everyone who does not know has started to invest.

Crypto coins are created to serve the project in which they are created. For example Bitcoin, any central bank, government agency, etc. It has emerged to be a kind of digital value that is not affiliated with, but can be bought and sold in the currencies of the countries, and can be transferred to any third party service without the need for an intermediary institution. Ethereum is the Crypto Operating System. The aim is to enable users to create new software on the blockchain system to which Bitcoin is connected.

So as you will see, each crypto asset serves a purpose. It was not made so that people could buy it when it was cheap and sell it when it was expensive.

How to invest?
Everything that is valuable and rare can be seen as an investment tool. But it only makes sense to do a good analysis and research. Nowadays, people aim to earn money without hassle and by acting on what others say.

If you are going to invest in a coin, you should understand what it wants to serve. You should read their White Paper as carefully as possible and invest to support the project.

It is wrong to invest money in a rising unit because you invest according to other people's actions and as a result you will be upset when it falls. For example, Doge Coin's rise after Elon Musk's tweets. This coin does not serve a purpose and is completely based on advertising. When people who see it rise make investments, it will surely fall one day, so bankruptcy will be inevitable.

In the crypto money market, we must get rid of herd psychology.

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