List of Flash News about risk management in cryptocurrency trading
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2025-05-28 17:51 |
Stop Losses in Crypto Trading: Risks and Strategies for Volatile Markets
According to @TheTradingDon, some traders compare not using stop losses to taking high personal risks, emphasizing a desire to 'feel' market movements rather than manage risk. However, trading experts warn that omitting stop losses can lead to significant losses in highly volatile cryptocurrency markets, especially during sudden price swings. Implementing stop-loss orders is considered a key risk management strategy, particularly for leveraged crypto trades, to protect capital and minimize drawdowns (source: Binance Academy, 2024). Market participants are advised to balance emotional trading with disciplined risk control to enhance long-term profitability. |