Why Following Social Media Hype Is Expensive
I took these trades after seeing hype on social media.Same charts • same narratives • same confidence.
The loss is small, around $12. That wasn’t luck it was position sizing. I went in knowing exactly how much I was willing to lose, and I stuck to it.
What went wrong was clear in hindsight. The entry was late, the trade was already crowded, and the risk/reward just wasn’t there. There was no real edge only confidence coming from seeing the same idea everywhere.
My honest take is this: hype creates confidence, not alpha. By the time a trade goes viral, someone else is already positioned, and late entries often become exit liquidity.
What saved me was discipline. I kept the size small, defined the risk before entering, and didn’t average down or panic when it went against me.
The lesson is simple. If you don’t do your own work (DYOR), you end up borrowing someone else’s conviction and paying for it when they exit. And I never risk money I can’t afford to lose.
Question: Have you ever entered a trade just because it was everywhere? @Binance Square Official
