I have seen there whatever has a huge upside also has a huge downside. This is the case with crypto currency, including bitcoin.
Can we point out the risks that one faces in investing crypto assets based on these:
1. As a retail investor
2. As an asset manager (hedge fund business)
3. As a trader.
It's true that there's always a level of risk associated with investment in general. As per cryptocurrency, the high volatility makes it even more!
So as a retail investor, a trader or an asset manager, there's always an option to manage losses or gains. The stop loss and take profit button is very useful in this case.
Also, knowledge is very important in doing anything. A knowledgeable person will definitely know how to cut loss and take more profit when compared to someone bent on making only money without the knowledge of what he's/she's doing.
In general, it is better to always invest what one can loss such that the effect will not be suicidal.