The Benefits of Psychology when it comes to Crypto Investing

So this weekend I ended up at a seminar in northern Florida hosted my a long-time professional in the field of psychology and she shared a few things that I had to smirk at because they can be useful for crypto investing.

Psychological Warfare

I've always joked that actively investing in crypto (and even stocks) is the equivalent of psychological warfare.

When we are getting are minds messed with by unbelievable movements or happenings in crypto it is easy to get frustrated and make rash decisions.

Sometimes these decisions make us feel better in the short-term while not being the best decision for the long-term.

Short Term Benefit vs. Long Term Consequence

At the seminar the women talked about Short Term Benefits that cause Long Term Consequence.

It was applied to more days to day life type things, like eating the donut that gives you a short term benefit but long term is hurting your health

However, it made me think about my investing decisions and when I make emotional transactions if I'm charged up by something in crypto and the capitulation (whatever action) that gives me that sense of relief or satisfaction often being based on only short term thinking.

The impact of the long term potential consequence isn't something thought about.

So it got me thinking, what if going forward I ask myself the following question every time I'm making an emotionally charged crypto investing decision:

• Does the short term positive benefit outweigh the long term negative consequence?

I figure at a bare minimum it will get me to use logical thinking for a moment and interrupt the emotion based thinking.

Something to entertain atleast, figure I have nothing to lose, no pun intended.

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