key tips to help you minimize losses:
1. Use Stop-Loss Orders
- Always set a **stop-loss** when entering a trade. This automatically sells your asset if it drops to a certain price, limiting your loss.
- Example: Buy BTC at $65,000, set a stop-loss at $63,000 to cap your potential loss.
2. Position Sizing
- Only risk a small percentage of your capital per trade (e.g., 1-2%). Don’t go all-in.
- This helps you survive losing streaks without wiping out your portfolio.
3. Avoid Leverage (or Use it Cautiously)
- Leverage can amplify gains but also magnifies losses. Beginners should avoid it.
- If using leverage, use lower ratios (like 2x or 3x) and always pair it with strict risk controls.
4. Diversify Your Portfolio
- Don’t put all your funds into one coin or token. Spread your investments to reduce risk.
5. Trade With a Plan
- Don’t trade based on FOMO (fear of missing out) or hype.
- Have a clear entry and exit strategy, including profit targets and stop-loss levels.
6. Keep Emotions in Check
- Greed and fear are the biggest enemies of traders.
- Stick to your strategy and avoid revenge trading (trying to win back losses quickly).
7. Learn Technical and Fundamental Analysis
- Use **technical analysis** (charts, indicators) to time entries and exits.
- Consider **fundamental analysis** for longer-term trades (e.g., news, project updates).
8. Review and Learn From Past Trades
- Keep a trading journal to track your wins, losses, and emotional state during trades.
9. Beware of Scams and Poor Projects
- Stick to reputable tokens and do your own research (DYOR).
- Be cautious of "pump and dump" schemes and random low-cap coins.
If you're interested, I can help you build a simple risk management plan or show how to set stop-loss orders
