Have a stop-loss before trading. I've experienced that a few times already where I see a token going up, I bought it not knowing that it's at it's peak already, and then all of a sudden, it went down bad, and I ended up at a loss. Of course I'm a newbie at that time, and I don't know about stop-loss.
What's the best approach? Having a stop loss would be the best option though it will not change the fact that you will still incur losses especially if you made wrong decisions. You might've made a mistake especially in your decision making, but what's important is that you learn from it, and you will not do it again next time. Whenever you make trade, always make a stop loss like a 10% stop loss if things don't go your way, or a specific price target where your position will close when it reaches that price.
Now if you're expecting that bought at the peak, and still make profits from it, then holding it for a long time is by far the best option. With this one, you become a long term holder from a short term trader.
One disadvantage of stop loss is that there may be a fake-out in which it can go and pick your stop loss and return in your original direction of interest. Well I like the idea of 10% stop loss because it gives room for uncertainty.What's the best approach? Having a stop loss would be the best option though it will not change the fact that you will still incur losses especially if you made wrong decisions. You might've made a mistake especially in your decision making, but what's important is that you learn from it, and you will not do it again next time. Whenever you make trade, always make a stop loss like a 10% stop loss if things don't go your way, or a specific price target where your position will close when it reaches that price.
Now if you're expecting that bought at the peak, and still make profits from it, then holding it for a long time is by far the best option. With this one, you become a long term holder from a short term trader.
However even if opening your position again is inconvenient, the protection that a stop loss offers is simply something no trader can do without as it can protect you from massive losses, and once this happens to you at least once, you will never forget to use a stop loss out of fear of the massive losses you could incur if you failed to set a stop loss.