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#Outside the Box: Keep losing money on cryptos and meme stocks? Investors can’t trust their memory, new research shows

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“#Outside the Box: Keep losing money on cryptos and meme stocks? Investors can’t trust their memory, new research shows”

Researchers found two kinds of memory biases: “distortion” and “selective forgetting”

The July crash in cryptocurrency prices was a stark reminder of the dangers of overconfidence.

As podcasts, blogs and videos were filled with can’t-miss predictions of bitcoin BTCUSD imminently hitting $100,000 or even $1 million, traders took on tremendous amounts of leverage to buy, buy, buy, convinced they could pick the next big winner.

When…

Philip Fernbach

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Daniel Walters

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