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Whenever Bitcoin experiences a significant surge, the market plays out the same drama—large numbers of investors rush in to chase the rally. Behind the seemingly enthusiastic participation, there are actually several deadly human weaknesses hidden.
First is **Greed**. As prices soar, dreams of overnight riches take over, and the illusion of quick profits clouds judgment, completely neglecting risk awareness.
Second is **Lack of Discipline**. The originally planned investment strategy collapses instantly upon seeing others profit, with following the crowd becoming the norm and one's own strategy rendered useless.
Next is **Overconfidence**. Believing they can accurately time the market, investors think they can enter and exit smoothly, but they severely underestimate market volatility and the possibility of rapid reversals.
There is also **Herd Mentality**. When everyone around is chasing, the mind stops functioning properly, subconsciously following the crowd, and independent thinking is thrown out the window.
Finally, there is **Fear of Missing Out (FOMO)**. The fear of missing the chance to make money dominates rational judgment, leading to irrational actions and eventual losses.
These weaknesses are not issues of any individual but common tests faced by market participants. Recognizing these traps is the first step toward becoming a rational investor.