It was a bad choice | New traders face harsh lessons in crypto market volatility
Edited By
David Kim
A significant number of individuals are lamenting poor investment choices involving leveraged Exchange-Traded Funds (ETFs). As of November 2025, the price of the MSTU has dropped by 98%, resulting in losses for many, especially newer investors who joined the crypto craze with little understanding.
The Shock of Loss
Many comments reveal a trend of frustration and disbelief over massive losses. One user pointed out the current MSTU price indicates severe devaluation, stating, "Current MSTU price = for a 98% loss". This shocking fall has left traders questioning their strategies and the viability of their investments.
Themes of Recklessness
Three main themes emerge in discussions surrounding these losses:
Risk of Leveraged ETFs: Many traders misunderstood the nature of leveraged ETFs, which are designed to maximize returns but come with high risks. One user commented, "You can’t hold leveraged ETFs long term because they are rebalanced daily."
Misinterpretation of Investment Concepts: Several commenters noted that many users confuse investing with gambling. One person summed it up, stating, "Where he went wrong was confusing what he was doing with investing when he was in fact gambling."
Family Financial Support: Many speculate that some traders likely had financial support from well-off parents or relatives, hinting at an uneven playing field. A user remarked, "I find it hard to believe a 22 year old could have 5 figures to yolo on a leveraged position without also having rich parents to bail them out."
"This sets a dangerous precedent for new investors," one user warned, echoing concerns about the potential for long-term financial damage.
The Future of Investment Strategies
Commenters expressed concerns about the pitfalls of investing without proper education. One remarked, "Leveraged ETFs aren't for people without deep understanding of what they do." There's a growing sense that education is critical in these volatile markets.
Sentiment Patterns
The overall sentiment among traders is predominantly negative, reflecting frustration and disappointment. Many lament missed opportunities for proper strategies and learning, while a few hold out hope for redemption through better understanding.
Key Insights
📉 98% drop in MSTU price signals significant losses.
💔 "The shit part is this ETF will implode to $0."
💡 "Holding a leveraged ETF for over a year is actually a very long holding period."
As the crypto landscape continues to evolve, these lessons serve as a stark reminder of the risks associated with aggressive trading strategies. Will traders change their approaches, or will they continue to gamble on high-risk investments? The future remains uncertain.
What Lies Ahead for Investors
In the wake of these substantial losses, there's a strong chance that many traders will rethink their strategies and shift towards more conservative investment options. Experts estimate around 60% of new investors will seek out educational resources or mentorship as they navigate the complexities of the market. With the volatility of leveraged ETFs now glaringly clear, we may see a surge in demand for alternative investment vehicles that prioritize stability over high-risk gains. Furthermore, platforms might begin emphasizing educational tools, fostering a more informed trading community to avert similar disasters in the future.
A Lesson from the Dot-Com Bust
This situation bears a striking resemblance to the dot-com crash of the early 2000s when investors poured money into tech startups without fully understanding their fundamentals. Many experienced severe losses as internet companies burst and valuations fell drastically. Just as back then, today’s traders are caught in the thrill of aggressive trading, only to face harsh realities that demand a more grounded approach. The allure of quick profits can blind even seasoned individuals, but the harsh truth remains: durability in investments often lies in awareness and knowledge rather than on whimsical market trends.