How do you manage your trade wisely and profit even when the price drops?
Let’s take a simple practical example:
We have a currency priced at $100, with a target of $130.
Our capital is $100.
The mistake that most beginners make:
They invest all their capital at a price of $100.
If the price drops, they are stuck and cannot average down. And if the price returns to $100? They don’t benefit or profit.
That’s why we apply proper capital management:
We buy at $100 with 20% (i.e., $20).
If the price falls to $95, we average down with $15.
If it drops to $85, we average down with an additional $15.
And at $80, we average down with the remaining $50.
What happens in this case?
Our new average entry price becomes around $87.
Instead of our entry being at $100, it is effectively only $87!
And the surprise:
If the currency just returns to the price of $100, even without reaching the target of $130,
we will have achieved approximately 15% net profit — that’s about $15 profit from $100.
Why is this important?
Because with smart management of the mind (not emotion), you profit in the market even if the price doesn’t explode to the targets!
Always remember:
Most beginners lose and then exit trading early.
That’s why I always recommend building a real skill that benefits you in the future,
because the market rewards those with patience and wise minds, not the impulsive ones.
CryptoMarketCapBackTo$3T
