#止损策略 Risk-Reward Ratio: Is Your Trade Worth the Risk?

In the cryptocurrency market, high returns often come with high risks, but many people only focus on 'how much can I earn' and forget to ask 'how much can I lose?'.

Let's do a simple calculation:

- If you use $1000 to buy a coin, expecting it to rise to $2000 (2 times), but you set a stop-loss at $800, then your risk-reward ratio is 1:2 (lose $200 vs. gain $1000).

- However, if you set your stop-loss too far, for example, you only sell when it drops to $500, then the risk-reward ratio becomes 1:1 (lose $500 vs. gain $1000), making it hard to profit in the long run.