If youāre just starting out on Binance with a small account, avoiding these five mistakes can save you a lot of money and stress.
Intro
Most beginners lose money in crypto not because the market is āriggedā, but because they repeat the same simple mistakes again and again.
In this post Iāll share 5 common mistakes I see new traders make (including mistakes I made myself), and what you should do instead.
This content is for education only, not financial advice. Always do your own research and never risk money you cannot afford to lose.
ā Mistake 1 ā āGet Rich Quickā Mindset
New traders want to double their account in a week.
Because of this, they:
Use very high leverage
Jump into random coins
Take huge positions with no plan
This usually ends with blown accounts and emotional stress.
ā What to do instead
Think in months and years, not days.
Focus on capital protection first, profits second.
Set a realistic goal like 2ā5% growth per month while you are still learning.
ā Mistake 2 ā Trading Only on Signals and Hype
Many people just follow Telegram/YouTube/Twitter signals without understanding:
Why this coin?
Where is the entry, stop loss, and target?
How much of my account should I risk?
Buying because āeveryone is talking about this coinā is not a strategy.
ā What to do instead
Before entering any trade, at least know:
Trend direction ā On higher timeframes (4H / 1D) is the market in uptrend or downtrend?
Key levels ā Where are important support and resistance zones?
Volume ā Is trading volume increasing or decreasing?
Signals can be a starting point, but your own confirmation and risk plan must decide the final trade.
ā Mistake 3 ā No Stop Loss or Moving the Stop
Some beginners trade like this:
Enter a position
Decide a stop lossā¦
But when price goes near the stop, they move it āa bit lowerā
Finally, a huge loss or liquidation
Not using a stop loss, or moving it further away, is the fastest way to destroy your account.
ā What to do instead
Set your stop loss before you enter the trade.
Choose a level where your idea is clearly invalid (e.g., below support in a long).
Never move the stop further into loss just because you āhopeā the market will turn.
Small controlled losses keep you alive. Big emotional losses kill your account.
ā Mistake 4 ā Chasing Pumps (FOMO)
A coin suddenly pumps 30ā40%. Social media is full of green screenshots.
New traders jump in at the top because of FOMO (Fear Of Missing Out).
Soon after, price corrects and they are stuck holding a bad entry.
ā What to do instead
Accept that missing a move is okay. The market gives new opportunities every week.
Avoid buying after a large vertical pump.
Wait for a pullback to support or for a clear new setup, instead of chasing the top.
ā Mistake 5 ā Zero Investment in Education
Many people put hundreds of dollars into trading, but zero time into learning:
No idea about risk/reward
No basic understanding of charts
No plan for position sizing
Without education, losses are not ābad luckā; they are almost guaranteed.
ā What to do instead
Spend at least 30ā60 minutes per day on learning:
Support & Resistance
Trendlines
Risk/Reward (R:R)
Position sizing and risk per trade
Basic indicators (RSI, moving averages) if you like
Think of this as building a skill, not playing a lottery.
Final Thoughts
If you simply avoid these 5 mistakes:
Getārichāquick mindset
Blindly following signals & hype
No stop loss or moving the stop
FOMO buying after big pumps
No education and no risk management
ā¦you are already ahead of most beginners in the market.
Trading is not about being perfect. Itās about protecting your capital, learning from each trade, and staying in the game long enough to grow.
Call to Action
Which of these mistakes have you made the most?
Comment below and share your experience
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