Everyone wanted Tesla at $300, Netflix at $500, Microsoft at $300, and Bitcoin at $50,000
But they don’t want Tesla at $150, Netflix at $175, Microsoft at $200, and Bitcoin at $25,000
The psychology of investing is wild
— Matt Allen (@investmattallen) January 28, 2023
Money is an integral part of everyone’s life. Everyone wants it, but only some know how to get it. People want to be rich but are often afraid to take the steps necessary to make that happen. Investing can be a great way to increase their wealth, yet many don’t take advantage of this opportunity because of the fear surrounding it. This article will explore why people want to be rich but hesitate to invest to achieve their financial dreams.
The market is always unpredictable and has to surprise investors with its occasional yet dramatic changes. Every few years, a new stock appears that shows potential for massive gains. Last year, the blockchain-powered cryptocurrency Bitcoin broke through the $50,000 barrier, sending a wave of excitement through the investment community. Similarly, Tesla’s stock soared over 300%, with a market value of more than 250 billion dollars. Netflix followed suit and hit an all-time high of $500 per share. However, recent developments have seen these stocks plunge as investors start to cash out their profits.
Tesla’s stock price has halved since its peak value of $300 per share, while Netflix is slowly losing ground too, dropping to $175 from its high at $500 – a significant drop in just a few months.
Here’s the basis of how to invest in stock market
The stock market is a complex and unpredictable environment, which can cause investors to feel overwhelmed. Investment psychology explores how a person’s emotions affect financial decisions. A positive mindset, understanding the potential risks and rewards, and being comfortable with uncertainty are all critical components for success in this arena. Investors often experience fear or hesitation when looking at market swings. As our brains have been wired through evolution, it is natural to be cautious when dealing with risk. However, investors must learn to look past these emotions and focus on long-term goals and what strategies will help them reach those goals. Additionally, understanding each security’s fundamentals and value can give peace of mind when making critical financial decisions.
Post Disclaimer
Please note that the opinions shared here are for informational purposes and not meant to be considered investment advice. Each writer expresses their own views, which may not necessarily reflect those of the platform. All investments and trading carry risks, so it is important to conduct thorough research before making any decisions. It is important to only invest money that you can afford to lose, as this author & Financial Futruism is not responsible for any financial losses resulting from investments or cryptocurrency trading.
