The crypto market is known for its sudden ups and downs, and there isn't always time to react. However, there are a few steps you can take to protect yourself and mitigate losses as much as possible.

1. Don't sell when you're nervous.

When the market starts to decline, most people panic and quickly sell everything. This usually results in greater losses because you're selling at the lowest price. Sometimes, the decline is temporary, and prices then rebound. Don't rush things and take a breath before making any decisions.

2. Always have a stop loss order.

You can place an automatic sell order if the price drops below a certain level, protecting yourself from a sudden, large drop. For example, if you buy a currency for $100, you can place a sell order at $90 or $85, pre-determining your loss.

3. Distribute your investment

That means don't put all your money in a single currency. Distribute it across several currencies, including strong currencies like Bitcoin or Ethereum, and stable currencies like USDT. This way, if one currency goes down, another can cover the loss.

4. Beware of leverage.

Leveraged trading is tempting because it can double your profits, but if the market goes against you, you could lose much more. So be careful, especially if you're new to this field: Don't play with fire.

5. Don't buy everything at once.

A smart approach is to divide the amount and buy in stages, rather than investing all at once. This way, you mitigate the impact of market fluctuations and arrive at an acceptable average price.

6. Save some of your money in a stable currency.

There's nothing wrong with keeping a portion of your capital in a currency like USDC or USDT. It'll come in handy when the market drops and you want to seize a buying opportunity, rather than having to sell at a loss.

7. Don't let emotions control you.

Decisions made out of fear or greed are rarely the right ones. Stick to a plan, set your goals from the start, and don't let stress or the news people are circulating drag you down.

✅ Summary of the topic

The crypto market offers great opportunities, but it also comes with challenges. If you operate rationally and stay vigilant, you can protect your money and profit while others are afraid.

Quick tips to always remember:

  • Don't sell quickly when you see the market going down.

    Use stop-loss orders

    Diversify your investments

    Avoid high leverage

    Buy in installments, not all at once.

    Maintain liquidity in stablecoins

    Your decisions should be based on reason, not emotion.