#manageyourrisk

### **Risk Management in Crypto Trading (Step-by-Step)**

1. **Set a Risk Budget** – Decide what % of your capital you’re willing to risk per trade (e.g., 1-2%).

2. **Use Stop-Loss Orders** – Automatically exit a trade if the price moves against you to limit losses.

3. **Diversify** – Avoid putting all funds into one coin; spread risk across different assets.

4. **Avoid Over-Leverage** – High leverage can amplify losses; use it cautiously (e.g., 5x or less).

5. **Take Profit Targets** – Lock in profits by setting sell orders at predefined levels.

6. **Monitor Market Conditions** – Stay updated on news, trends, and volatility to adjust strategies.

7. **Avoid Emotional Trading** – Stick to your plan; don’t FOMO (Fear of Missing Out) or panic sell.

8. **Secure Your Assets** – Use cold wallets & 2FA to protect against hacks/scams.

9. **Track Performance** – Review trades to learn from mistakes and improve strategies.

10. **Risk-Reward Ratio** – Only take trades where potential profit > potential loss (e.g., 1:3 ratio).

By following these steps, you minimize losses and trade more sustainably. 🚀