The post Retail traders keep buying the stock dip – and learning the hard way appeared on BitcoinEthereumNews.com.

Retail traders in the U.S. are still throwing money at falling stocks, and it’s blowing up in their faces. It’s 2025, Donald Trump is back in the White House, and markets have gone completely off the rails. But that hasn’t stopped everyday investors from diving headfirst into losses, convinced every dip is a chance to strike gold. It’s not working. Between January and March, retail traders bought more than $2 billion worth of stocks on 16 separate days, according to data from JPMorgan. That level of buying had only happened four times total in the last two years. The timing has been brutal. The bounces aren’t sticking. The dips keep dipping. And people keep buying anyway. Traders keep buying while losses double the market’s drop A JPMorgan model portfolio that tracks how retail investors move money into the stock market shows they’re already down 7% this year. That’s double the decline of the S&P 500, which is down about 3.5% in the same time. The aggressive buying from mom-and-pop investors has analysts worried that the market hasn’t actually hit bottom yet. Big funds are watching. They know retail traders are usually the last ones to cut losses. When these folks are still buying with both hands, Wall Street assumes there’s still more pain coming. The environment has changed fast. Bitcoin is down. Big Tech is bleeding. The dollar’s sliding. The old strategy of buying dips just isn’t working anymore. Trump’s second term has brought policy chaos that’s turning everything upside down. U.S. government bonds, European stocks, and commodities—assets that were left for dead last year—are now outperforming. Everything that worked last year is suddenly trash. And while small traders are getting crushed, Wall Street veterans are back to pushing boring stuff like “diversification.” Their decades-old message about spreading risk across…

---

Filed under: News - @ March 21, 2025 3:18 pm