Cryptocurrency owner lost $ 37,000 in just a few minutes due to his own mistake

A cryptocurrency trader lost $ 37,000 trading a meme coin in the Solana ecosystem. The investor bought assets under the influence of «fear of loss» (FOMO) and panicked to sell to compensate for the losses.

The trader bought the DEVIN cryptocurrency at 398 SOL during a price spike. The chart formed a local high at these levels and began to fall a few minutes later, according to Lookonchain.

After 17 minutes, the Solana trader panicked and sold the recently purchased DEVIN stack for 158.8 SOL. The address 8TALRxv9p5FdM5Mssvs8MTdZ9vh7DCj496YGoazYmJnu actually lost 239 SOL, which was about $ 37,000 at the time of the report.

This trading behavior is known as panic selling or capitulation. It is a decision to sell at a loss during an aggressive price drop. Investors do this in an attempt to reduce projected losses if they believe that the price will continue to fall.

In this case, the subsequent price dynamics justified the actions of the Solana trader, as the panic sale took place in the first 5 minutes of the 50-minute crash. However, this happened just before a significant price recovery, which eventually exceeded the average FOMO buy price according to the SOL method. If the trader had waited for the correction before making purchases — without FOMO — the results would have been better, the experts emphasized.