This is very educative and reminder of what most people already know, but ignore.
Here again, it is important considering a number of factors when choosing a stop loss level correctly. Most traders fail when they fall in love with a trade or the coin itself. They may say, Here it will turn around, and I will get out of this trade with a minimum loss, Im sure. Theyre letting their ego take control of them and unlike the traditional stock exchange where extreme daily movements are considered 2-3% in value, Crypto trades are a lot more riskier: in my life as a trader Ive seen a coin dumping by 80% just in a few hours! And nobody wants to be the one who is left holding it.
I'm currently a victim of this. I refused to cut my losses on a particular trade and I kept giving myself the false hope that it will turn around, now I've lost even more and I'm forced to hodl simply because I feel in love with the coin and forgot I was just supposed to trade and get out.
Thank you for reminder once more.