To be honest, I’ve noticed a pretty interesting phenomenon: when you’re floating at a loss or a floating gain, what really torments people often isn’t the size of the numbers—it’s that tug-of-war feeling of “if it’s down, I won’t accept it, but if it’s up, I’m afraid it will run away.” Anyway, when I’ve been watching the charts recently, the moment a floating loss shows up, my mind gets especially tangled up; I end up tossing and turning at midnight, wondering if I misjudged things. But when there’s a floating gain, I sleep much more soundly—probably because the word “gain” itself carries a sense of security. I’m not sure if this counts as loss aversion, but it really feels like people’s crowd emotions drive the action—when things are losing, everyone stubbornly holds on; when they’re profitable, people bail early. In the end, it’s all a mess.

Just recently I saw that a certain region adjusted policies around deposits and withdrawals. Many people started panicking, afraid their money won’t be able to come in or go out. But when those psychological expectations get disrupted, it’s actually the moment to be even calmer and think things through: don’t follow the crowd to the very last second—maybe the turning point is precisely when emotions are at their most extreme.

As for my own approach, I treat a floating loss as tuition, and a floating gain as an unexpected surprise—at least that way I can sleep well.