Introduced by Patrick McGinnis in 2004, the acronym FOMO stands for Fear of Missing Out. It refers to the feeling of missing an opportunity or something that other people seem to be enjoying. Inspired by research on people’s experiences on social networking sites, this type of anxiety is often followed by sadness, fear, and a desire to act to receive a reward.
In the world of cryptocurrencies, FOMO refers to the perception of missing out when someone is expecting the current market price to change. They are essentially worried about losing the potential reward if they do not capitalize on the opportunity to trade or invest.
For a crypto investor or buyer, an instant response to such a feeling can have devastating effects. Those who suffer FOMO are most likely to make unexpected or compulsive decisions that defy logical thinking, particularly when they anticipate the value of a digital asset to increase.
