Cryptionary

FOMO

Fear Of Missing Out

1. concept

Fear Of Missing Out, or FOMO, is an emotional response often experienced in trading and investing scenarios. It's the fear that an opportunity will pass by, causing you to miss out on potential profits. This can lead to impulsive decisions, such as buying an asset during a price surge.

1.1

"The sudden surge in Bitcoin's price triggered FOMO among investors, leading many to buy in hopes of making quick profits."

2. effect

FOMO can be a driving force behind market trends, particularly bull runs. When a coin's value starts increasing rapidly, it can elicit FOMO in those who are not invested, pushing them to invest due to the fear of being left behind.

2.1

"The rapid rise in Ethereum's price led to a wave of FOMO, with many investors buying in fear of missing out on further price increases."

3. caution

While FOMO can lead to short-term gains, it can also result in losses if the price of the asset drops after the purchase. It's important for investors to make decisions based on careful analysis rather than emotional responses.

3.1

"Investors who bought Bitcoin during the 2017 bull run driven by FOMO experienced significant losses when the price dropped in the following months."

* All terms and definitions may update as the Cryptionary improves.

All terms

Decentralized Application Dead Cat Bounce Death Spiral DeFi Decentralized Exchange Diamond Hands Mining Difficulty Dollar Cost Averaging Double Spend Dump Dust ERC-20 Token ERC-721 Token Ethereum Ethash Ethereum Virtual Machine Cryptocurrency Exchange Faucet Fiat Currency Flippening FOMO←Fork FUD Genesis Block Halving Hash rate Hodl ICO IEO Instamine JOMO Know Your Customer Lambo Lightning Network Limit Order Liquidity Locktime Majority Attack Market Cap Market Order