What Are Your Loss Control Strategies? from crypto currency..✅✅

[Manna]

Loss control strategies for cryptocurrency investing may be slightly different than for other investments.  Here are some common techniques:
Mentioned below are its important steps

  1. **Diversification:**Dividing your investment between multiple cryptocurrencies, so that losses in one currency are balanced by gains in others.

  2. **Stop-Loss Orders:** Setting orders that will be automatically sold when the currency reaches below a certain price.  This helps limit the amount of damage.

  3. **Position Sizing:** Investing in small amounts without putting too much money in a single investment so that a loss on a single investment does not have a big impact on the overall portfolio.

  4. **Regular Monitoring:** Regular monitoring of market movements and making necessary changes.

  5. **Risk Assessment:** Evaluating the risks and possibilities of investment and making investment decisions based on that.

  6. **Avoiding Emotional Decisions:** Refraining from taking emotional decisions quickly due to market fluctuations.

  These strategies can help protect your investment, but keep in mind that all investments have risks and cannot be completely avoided.

[milewilda]

6. **Avoiding Emotional Decisions:

One of the most important thing that you should consider is in regarding into this. You should really know on how to control your emotions
because this would really be that primarily makes you that impulsive on which it would really be that resulting into those desperate recovery
measures on which it could cause even more loses. This is why you should really be that mindful in regarding into this one.

[ajiz138]

6. **Avoiding Emotional Decisions:

One of the most important thing that you should consider is in regarding into this. You should really know on how to control your emotions
because this would really be that primarily makes you that impulsive on which it would really be that resulting into those desperate recovery
measures on which it could cause even more loses. This is why you should really be that mindful in regarding into this one.

Emotions are one of the things that can make us in a messy situation. Because when we are controlled by emotions we cannot think clearly, so this is indeed an important factor that must be considered.

Many people fail because of emotions, if we talk about this more broadly, then not only in trading this will be chaotic, but in everyday life it will also be chaotic if you cannot control your emotions.

[Ujok]

  1. **Diversification:**Dividing your investment between multiple cryptocurrencies, so that losses in one currency are balanced by gains in others.

by dividing our capital into two cryptocurrencies, when one of our coins experiences a loss, the other coin can cover the loss. so that we do not experience a very large loss, if we do not divide into two, we are afraid that the currency you save will be at a loss, making you bankrupt and at that time you will not be able to turn your money around anymore.

[dekafee79]

  1. **Diversification:**Dividing your investment between multiple cryptocurrencies, so that losses in one currency are balanced by gains in others.

by dividing our capital into two cryptocurrencies, when one of our coins experiences a loss, the other coin can cover the loss. so that we do not experience a very large loss, if we do not divide into two, we are afraid that the currency you save will be at a loss, making you bankrupt and at that time you will not be able to turn your money around anymore.

diversification in investing is a way to increase opportunities and reduce the risk of loss. We can also do this in short and medium term investments, because for the long term I choose bitcoin so I think the risk is very small. The biggest risk is trading, my advice is not to use one coin because it is very risky if we predict wrongly.

[_act_]

I do not like to diversify in trading but I can diversify if it is holding but on good coins and not shit coins. If it is trading, I noticed recently that you can not concentrate on all your multiple positions that is opened, but there can be a better concentration on a single position. I made a mistake recently which makes me to forget th leverage that I used on a pair on my multiple positions and I lost. The loss would not have happened if I opened just one position.

[JISAN]

  1. **Diversification:**Dividing your investment between multiple cryptocurrencies, so that losses in one currency are balanced by gains in others.

Yes, if you invest in multiple coins instead of investing in just one coin, the risk of loss is much reduced because even if you lose in one coin, the other one will recover it.

  2. **Stop-Loss Orders:** Setting orders that will be automatically sold when the currency reaches below a certain price.  This helps limit the amount of damage.

The stop-loss strategy often leads us to losses because in some cases the price starts to pump again after the stop loss price is exceeded. So stop-loss should not be used if you are not sure

  3. **Position Sizing:** Investing in small amounts without putting too much money in a single investment so that a loss on a single investment does not have a big impact on the overall portfolio.

True +1

  4. **Regular Monitoring:** Regular monitoring of market movements and making necessary changes.

it is better strategy for trading but bad strategy for holding

 

  6. **Avoiding Emotional Decisions:** Refraining from taking emotional decisions quickly due to market fluctuations.

True, Our emotions are our worst enemy.  Emotions cause us to panic and make mistakes in various places

[Ujok]

I do not like to diversify in trading but I can diversify if it is holding but on good coins and not shit coins. If it is trading, I noticed recently that you can not concentrate on all your multiple positions that is opened, but there can be a better concentration on a single position. I made a mistake recently which makes me to forget th leverage that I used on a pair on my multiple positions and I lost. The loss would not have happened if I opened just one position.

trading is safer in my opinion buying coins listed from 1-100 coinmarket and we just have to choose which coins are suitable to invest in the current conditions, if we have a large enough capital I suggest buying the top coins and if you have limited capital buy coins that you think fit your capital. that way we just have to make a strategy for the future, whether we invest long term or short term.

[Azharul]

Thank you very much to create this useful topic. Because you also make awareness from loss in cryptocurrency market. I think loss control strategy is one of the best valuable matter for us. If we were hold ia different coin, i think if one coin is lost, than other coin will be profitable. So that we don’t face the problem. We can invest in a little money, so that if we invest a little money to protect for loss control. If we regular monitoring in our market we can avoid this problem. At last if we taken step for controlling our loss, i believe that we will be success.

[_act_]

it is better strategy for trading but bad strategy for holding

If you are holding altcoins that are very volatile, it is not a bad strategy. I remember when I hold some coins from last year to the beginning of this year, I check their price daily and the amount of unrealized money that I have made. I sold at profit but the coins went higher but fall back no long and start to decrease more till now.

[doc]

it is better strategy for trading but bad strategy for holding

If you are holding altcoins that are very volatile, it is not a bad strategy. I remember when I hold some coins from last year to the beginning of this year, I check their price daily and the amount of unrealized money that I have made. I sold at profit but the coins went higher but fall back no long and start to decrease more till now.

Highly volatile coins are great for trading or medium term holding. Where we can hold it and sell when the price is high, then buy it again when the price hits the bottom. Because it can be predicted that the price will go up again and we can make a profit again. That's why we have to do research and study the character of the coins.

[Faisal2202]

  1. **Diversification:**Dividing your investment between multiple cryptocurrencies, so that losses in one currency are balanced by gains in others.

What loss-covering strategy will you suggest to people who don't do diversification and prefer to trade in only a single pair? There is a topic created by a member here who is interested to know how a person should manage their trades in a single pair, like by opening multiple trades in the same pair. (source)

  4. **Regular Monitoring:** Regular monitoring of market movements and making necessary changes.

I really want to regularly monitor the market,, but I don't know which news to sell and which news to buy. What should I do in such a situation?

  These strategies can help protect your investment, but keep in mind that all investments have risks and cannot be completely avoided.

I agree with you, strategies are not meant to save you all of your funds, but they minimize the risk and loss to some extent.

[taufik123]

Highly volatile coins are great for trading or medium term holding. Where we can hold it and sell when the price is high, then buy it again when the price hits the bottom. Because it can be predicted that the price will go up again and we can make a profit again. That's why we have to do research and study the character of the coins.

With the note that the coin also has a large volume so it will be easier to scalp or if in the medium term is swing trading, start buying below and then wait when the price reaches the top resistance or can even reach the ATH.

Coins like these are usually hyped coins or new coins that have just been listed on Tier 1 exchanges.

[Captain Corporate]

Not that I do care about this, because I think it will not be a big deal, because I hold it long term and even if it goes down, I just DCA nad that is the best prevention that I have, and usually does very well. But if I have to talk about just selling part, then I do trailing stop loss, that way I get to keep it going as high as possible, and only sell when it starts to fall, but I don't do it under what I bought because that is not the thing I am looking for. I think its clear that we are going to see this changing a lot ,and I think it will definitely be something that crazy, its going to be easy decision for me each time.

[milewilda]

6. **Avoiding Emotional Decisions:

One of the most important thing that you should consider is in regarding into this. You should really know on how to control your emotions
because this would really be that primarily makes you that impulsive on which it would really be that resulting into those desperate recovery
measures on which it could cause even more loses. This is why you should really be that mindful in regarding into this one.

Emotions are one of the things that can make us in a messy situation. Because when we are controlled by emotions we cannot think clearly, so this is indeed an important factor that must be considered.

Many people fail because of emotions, if we talk about this more broadly, then not only in trading this will be chaotic, but in everyday life it will also be chaotic if you cannot control your emotions.

Everything that you have planned up earlier you would really be that become a total mess and this is something that you should really be needing to look upon when it comes to emotion handling.
Each one of us would really be having that kind of tendency or chances that you might be able to experience it out and if you are someone who cant be able to control out such emotion
then just like been said that you would really be that messing up yourself on whatever the things you've been dealing specially you are involved with trading.