Today, another fan blew up their account without setting a stop-loss... So I must reveal my ultimate stop-loss secret—these are lessons learned from my real trades.
📉 I’ve seen too many people turn 100,000 into 1,000,000, only to go completely to zero because of one bad trade.
· In March 2023, BTC went from 28k to 31k, I went short with 5x leverage: "I’ll run at the pullback." As a result, it surged to 35k, exploded!
· In January 2024, SOL broke 120, I went long with 10x leverage: "I’ll exit at the previous high." It spiked to 98, and I went straight to zero!
💣 Blood and tears summary:
· Holding a position can win 9 times and lose 1 time, that's enough to get you completely out.
· All liquidations start with the thought of "just holding a little longer".
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🛑 Three Rules for Life-Saving Stop-Loss (Simplified for Real Combat)
1️⃣ 3-Second Stop-Loss Method (A must for beginners)
· You must set a stop-loss within 3 seconds of opening a position!
· Stop-Loss Margin = 1 / Leverage (for example, with 20x leverage, set stop-loss at 5%)
· Example: 10,000 USDT × 20x leverage, if you lose 500 USDT (5%), you must cut loss.
Dynamic Stop-Loss Technique (For advanced players)
· Profit 5% → Move stop-loss to cost (Exit at break-even).
· Profit 10% → Move stop-loss to profit 5% (Lock in profits)
· Profit 20% → Move stop-loss to profit 15% (Never give back).
Remember: Floating profit is not real profit; only realized gains are yours.
Emotional Stop-Loss (Ultimate Psychological Control Method)
· Three consecutive losses → Stop trading, exercise for 1 hour.
· Extreme excitement after making a profit → Immediately withdraw 50%.
Decisions made under the influence ≈ Suicide trading.
Practical Example: How to Use Stop-Loss to Capture the Entire Bull Market.
May ETH Operations:
· Open long at 3600, 20x leverage, stop-loss at 3520 (-2.2%).
· When it rises to 3700, move stop-loss to 3720 (Lock in 3% profit).
· Rose all the way to 4100, making a profit the whole way, only taking 2% risk.
A few heartfelt words at the end:
· Stop-loss is not giving up; it's a strategic rebirth.
· All big players have experienced liquidation, but they cut losses like a reflex.
· The crypto space is not lacking in opportunities to double your investment, but lacks the capital to keep living.
I’m Xiao Ao, a professional analyst and educator, your mentor and friend on your investment journey! As an analyst, the most basic thing is to help everyone make money. I will help you solve confusion and position traps, speaking with strength. When you are lost and don’t know what to do, follow Xiao Ao, and I will point you in the right direction.
