#DeFiGetsGraded How will you follow the rule and profit even when the price drops? Let's take a simple practical example: Our price is $100, and our target is $130. Our capital is $100. The mistake beginners make: They enter with all their capital at $100. If the price drops, they are limited to production capacity. And if the price returns to $100? They have no benefit or choice. So we apply capital management: We buy at $100 with a 20% discount ($20). If the price drops to $95, we increase it with $15. If it drops to $85, we increase it with an additional $15. And if it is $80, we increase it with the same amount up to $50. What happens in this case? Our new average entry will be around $87. That is, instead of our entry at $100, it will actually be only $87! Surprise: If the currency only returned to $100, even without reaching the $130 target, we would have achieved approximately a 15% net profit — meaning about $15 out of $100. Why is this important? Because with smart mental management (not emotion), you made market choices even if the price didn't explode to the target! Always remember: beginners lose and then get out of the game. I always recommend adopting the skill of self-care for the future, because the market rewards self-motivated and wise people, not rash ones.
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content.See T&Cs.