#StopLossStrategies #RiskManagement #Binance

In crypto, risk management is key — and stop-loss orders are one of the smartest tools you can use.

What is a Stop-Loss?

A stop-loss is a preset order that automatically sells your asset when it drops to a certain price. It’s designed to limit your losses and protect your portfolio during market downturns.

Why use stop-loss strategies?

• Emotion-free trading: Let the system act for you. No panic-selling or hesitation.

• Capital protection: Preserve your funds so you can re-enter the market at better opportunities.

• Discipline: Stick to your plan and avoid revenge trading or holding onto losing positions.

Types of Stop-Loss Strategies:

1. Fixed Stop-Loss – Set a percentage (e.g., 5-10%) below your entry point.

2. Trailing Stop-Loss – Follows the price upward, locking in profits as the market moves.

3. Time-based Exit – Combine stop-loss with time strategy: exit if the price doesn’t move as expected within a certain period.

How to Set It on Binance:

Use the Stop-Limit or Trailing Stop options available in the Spot or Futures trading interface.

Don’t let the market catch you off guard. A strong stop-loss strategy could be the difference between surviving and thriving in crypto.