Crypto trading offers high rewards but also carries high risks. Without proper risk management, a single bad trade can wipe out weeks or months of gains. That’s why traders set clear rules for position sizes, stop-losses, and maximum exposure.
The goal isn’t just to win trades,it’s to protect capital so you can stay in the game long-term. Overleveraging, chasing losses, or going “all in” usually ends in disaster. Even experienced traders know the importance of managing risk over chasing constant wins. In crypto, survival is half the battle.Do you have a risk plan for every trade or do you rely on luck when markets turn against you?
It sounds like even with long term, this is about trading to you? Nothing wrong with that, but there are people who buy and forget their stash. Then they come back in few years to see that if they are broke or millionaires. Imho only latter one has good risk management system.
To me risk management in crypto is mainly
not putting too much money in crypto, because it's all risk investment. That risk investment is then divided to even more and less riskier sections, but when they are riskier, higher is the potential upside.