$BNB Understanding the Nature of Profits and Losses in Crypto

The crypto market is highly volatile, meaning prices can rise or fall sharply in a short time. This volatility creates opportunities for profit — but also risks of loss.$BTC

Profits come from buying low and selling high (spot trading), leveraging market movements (futures), or earning passive income through staking and lending.

Losses occur when trades go against you, or when you sell at a loss due to panic or poor planning.$SOL

Recognizing that losses are a part of trading helps build a healthy mindset — one of the keys to long-term success.