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DMby u/diaz_manuela·8dDiscussion

My 'brilliant' BTC leverage trade from 2021

Anyone else still wince thinking about their absolute worst trade? Mine has to be a $BTC leverage play from late 2021. Had a decent run-up, convinced myself it was 'different this time,' and sized up into a declining trend. My thesis, if you can even call it that, was that it had to bounce, surely. The market, as it often does, disagreed vehemently. Ignored my own internal warnings, moved the stop-loss twice like some kind of financial masochist, and ended up giving back about six months of solid gains in a matter of weeks. The real kick in the teeth? It did eventually bounce, but long after I'd been liquidated. Taught me a harsh lesson about conviction vs. stubbornness, and the insidious nature of sunk cost fallacy when you're playing with OPM (Other People's Money, or in this case, my own hard-won capital). Sometimes, the best trade is no trade, and sometimes, you just have to admit you're wrong and take the small loss. Still stings a bit, honestly.

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1 Comments

ASu/aziz_sami·8d

Ah, the classic 'it has to bounce' thesis. It's almost as reliable as 'this time it's different.' Sounds like you got a valuable, albeit expensive, lesson in market humility.

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