$COAI Recently, AIA and COAI surged 10 times, causing short sellers to blow up their accounts, even going into heavy debt! You always realize the truth only after blowing up your account: contract players who don’t stop loss are destined to be the ATM for the market makers!
Why do 90% of contract players end up losing everything? Because they simply don’t know how to stop loss!
Coincidentally, today a fan opened a position without setting a stop loss and blew up their account, so I’m taking this opportunity to give everyone a lesson.
I’ve seen too many people grow from 100,000 to 1,000,000, only to end up at zero because of one failed trade.
Today, I will share all the stop loss secrets I’ve learned from blowing up my account multiple times!
In March 2023, BTC surged from 28,000 to 31,000, I shorted with 5x leverage, thinking: “I’ll close it on a pullback.” As a result, it skyrocketed to 35,000, and I blew up my account!
In January 2024, SOL broke through 120, I chased it with 10x leverage, thinking “I’ll exit if it breaks the previous high.” The price then dropped to 98, and I lost everything!
Bloody lessons:
Holding a position once might allow survival, but holding it 10 times will surely lead to death.
All account blow-ups start with “just wait a bit longer.”
2. Stop Loss Techniques (Life-Saving Version)
1. 3-Second Stop Loss Rule (A Must for Beginners)
You must set a stop loss within 4 seconds after opening a position.
Stop loss margin: the reciprocal of the leverage (20x leverage 👉 5% stop loss)
Example: Open 10,000 with 20x leverage, setting stop loss at 500, 5%.
2. Dynamic Stop Loss Technique (Essential for Advanced Traders)
Floating profit of 5% — move the stop loss to the breakeven price.
Floating profit of 10% — move the stop loss to 5% profit.
Floating profit of 20% — move the stop loss to 15% profit.
(Just like saving a game, the profit portion must never be given back.)
3. Emotional Stop Loss Method (Psychological Control)
Three consecutive losses — close the software and work out for 1 hour.
Euphoria after profit — immediately withdraw 50%.
(Decisions made when overly excited are 99% wrong.)
3. Practical Case: How to Use Stop Loss to Capture Entire Market Movements
May 2024 ETH operation:
Open long at 3600, 20x leverage, initial stop loss at 3520 (2.2%)
Rise to 3700, move stop loss to 3720 (lock in 3% profit)
Ultimately, it surged to 4100, capturing the entire increase while only bearing 2% risk.
4. Stop Loss Advice
Stop loss is not admitting defeat; it’s a tactical retreat.
All big players have blown up their accounts; the difference is that they stop loss quickly.
There will always be opportunities in the crypto space; what’s lacking is the capital to survive until the next opportunity!!
