Glossary
Loss aversion
Also written or said as: loss averse
Losses hurt more than equal gains feel good, so people avoid taking them.
Losing 1 SOL feels worse than winning 1 SOL feels good. That pushes traders to hold losing coins to avoid making the loss real, while the loss keeps growing. A stop-loss set before you buy takes the decision away from the moment it hurts.
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This guide is for learning. It is not financial advice. Most memecoins go to zero and most people who trade them lose money. Only ever trade what you can afford to lose.