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Glossary

FOMO

Acronym for "Fear Of Missing Out" — describes the impulse to buy into a rising market or hyped asset rather than miss the gain, often at near-peak prices.

FOMO describes the psychological pressure that pushes traders to chase rising assets rather than miss perceived upside. The state is particularly intense in crypto, where parabolic moves attract attention and where social-media reinforcement amplifies the urge to participate.

FOMO trades historically buy near tops and underperform measured position-building. The opposite — "buying the dip" — requires acting against the social signal that drove the asset higher. Awareness of the bias is a basic part of trading discipline in volatile markets.