#RiskRewardRatio #RiskRewardRatio Understanding the risk/reward ratio is essential before entering any trade. It helps you evaluate whether a potential gain justifies the possible loss. A common rule is aiming for a 2:1 ratio—risking $1 to potentially make $2. This ensures that even if you lose more trades than you win, you can still be profitable. In crypto, where price swings are massive, this principle becomes even more important. Always ask: is the potential reward worth the risk? If not, skip the trade. Sticking to a consistent risk/reward strategy will help you build a sustainable, long-term trading mindset.
#RiskRewardRatio