-- Bitcoin, as a digital currency has no fundamental value as there is no stream of future income. Therefore the value gets decided based on demand and supply.
-- The supply of Bitcoin is limited by design to create scarcity value and the prices keeps on going up in response to higher demand which is aptly captured by the emotion of FOMO – “Fear of missing out” which is nothing else but Greed.
-- When an investor is not willing to sell his shares at a loss despite worsening business outlook, he is displaying 2 biases namely Anchoring bias and Loss aversion bias
-- Think of an investor who has thoroughly researched the stock before buying it but is confronted with negative information after purchase, his immediate reaction would be to downplay the same and instead focus on the sources of positive information. This investor is influenced by 2 biases, Endowment effect and second confirmation bias