š The Ideal Risk-to-Reward Ratio in Crypto Futures Trading
ā Aim for a minimum 1:2 or 1:3 ratio
Risk $1 to potentially earn $2 or $3
Helps stay profitable even with less than 50% win rate
š Example of 1:2 ratio
Risk: $100, Reward: $200
Two wins and one loss still give you a net profit
š” Benefits of a good risk-to-reward ratio
Reduces pressure to win every trade
Makes your strategy sustainable over time
Helps manage emotions and avoid revenge trading
š Even with low win rate, you can win overall
At 1:3, you only need to win 33% of trades to break even
š Risk only 1ā2% of your capital per trade
Keeps losses small and manageable
Example: On $1,000 capital, risk $10, target $20ā$30
š Combining this ratio with proper stop-loss and take-profit ensures:
Better discipline
Capital protection
Consistent long-term growth