Topic: It will save your capital more than you can imagine (Read 623 times)

But not all ways to read this market, as many simply do not know how to read) It is for this reason that many people buy where they need to fix a position and vice versa, sell where more experienced traders buy. Therefore, we once again understand that profitable trading requires knowledge and experience.

A common mistake in trading is to take a one-sided decision. That means you are losing but you are still in your way. If one falls into such a situation, he will definitely lose his wealth. Many traders think that the asset he has bought will surely go to his expected level but when it is at a small loss he waits longer to recover that loss but thus at one time he loses a large part of his wealth. One of the keys to profit in trading is minimising losses. A trader's trading is an ongoing process. He can never expect much with a trade. It has to be understood with both skill and experience. Loss in trading is a common thing. Those who never lose can never gain.

Holding positions isn't bad in it's totality so it will be better to say you shouldn't hold your positions all the time than just saying holding your positions will do more harm. If you are lucky to get on a trade at the beginning of a new trend, the best way to stay profitable on such trade is holding unto your positions, the only time holding your positions becomes a bad one is when you are on a loosing trade then you should be quick enough to understand that the longer you stay on such trend the more losses you will get so you should exit as early as possible and make sure not to every trade against the trend.

There are people who are swing traders, such people hold positions for a long time, sometimes they hold positions for days, weeks and even months, such persons had more profit holding positions than jumping out too quick, it very advantageous to swing traders.

This is a very difficult thing for traders to do, not just newcomers even traders who have been in this activity for years are also sometimes reluctant to cut losses because I found it on the internet how someone who considers himself an expert in crypto trading to tell people not to cut loss, and said that as long as it is not sold even if the price drops, it is not said to be a loss when in fact it is just a loss that has not been realized but is already a loss because it thinks the market will soon improve and go according to the analysis, but exactly the opposite happens, because I also experienced at the beginning of my trading and how it damaged capital and also mentally because it kept waiting for the market to improve which did not happen.

Trading all this will only be a way to spend all the money, because trading will not always be profitable, there will be losses. especially if you only hold coins that are not popular enough. Instead of going all in, it's better to leave some in reserve. the need to learn management to be able to regulate how much capital should be used and how much reserves should be held. this will help trading better and scalable.

trading is all about reading the market and I do agree with your take, by reading the market, we can definitely try to accept just taking small profit and even cut lossing before its all too late.
thats flexibilty thats required to profit in trade but fairly speaking there are also the need for us to be resilient against sudden market dumping like preventing ourselves from making bad decision of cut lossing when we know its just some flash dump thats gonna recover in no time, so basically we just know what to do at the current time.
other than that there's not really too much in trading many people consider to know fully about TA for trading but I personally never take TA seriously.

If you allow this type of trading, in which there is a tendency to go all in, then this can no longer be called trading, since it is called a casino. And if a person has such an inclination, sooner or later he will definitely lose his deposit, even if he was lucky at first.

Coin are volatile than one another. If you have been trading on derivative market, you should understand this. Example of a coin that I remember that was very volatile recently is TRB. There are many altcoins that behave like this. Check TRB daily char below:



Let me take it to 15 minutes chart when that fall occurred:



Falling from $569 to $285 within some minutes. Some traders could have predicted it but it was a liquidation for those that open short position at the wrong time, even if they used 1x leverage as it fell abruptly and decreased further.

Try and look at some altcoin charts and see how volatile many of them are.

If I continue to explain, you will see how whales can easily manipulate some coins and tokens. You can check the chart of some coins on derivative market that is having a marketcap not more than $12 million which can easily be manipulated.

It is good to make research before using a coin to trade. But if I should advice, using those like bitcoin and ethereum is better. They are volatile but less volatile which makes them better.

That’s often the case as in leverage trading, you’re rather conscious of established limits and you often ensure to activate your SL or TP which is not often the case when you’re averaging. You often tend to go all in on your position which in turn, neglects all signs for an out on a trade.

I might understand when you talk about liquidation of trading capital when it’s hot to do with leverage trading but, how does this really relates with the type of coins.
The crypto market is already a highly volatile space and that cuts across most coins especially, coins that have gained some significance in the cryptospace. Wouldn’t that be safe for some form of generalization?

That should be a proactive measure to defend and protect your trading to get lose. And one of the things not do to avoid lose in trading is consciousness. If your are conscious in the trade them you will know when to stop when the trading goes wrong and when you making progress or profit. Some people would just place the trade and start monitoring it without knowing whAt to do if the the trade is good or bad.

And as you said, really ego make traders to lose so when you are trading don't bring it to it so that you will concentrate on the trade very well.

Sometimes in life, you must learn how to let go. It is hard but it can help us to be better. This is a lesson that we can apply in that trading scenario there. Besides, trading is also about cutting losses, if we are not on the profiting side.

If we want to HODL after a losing trade, then it's better if we just do investing instead. Taking a little profit is still better than selling at a loss, but next time we should try to be courageous, so that we can also earn more profit. Being courageous is I think still an emotion. There are other positive emotions too, which can help us. So keeping them is a good idea. It was only the negative ones are the ones that we should disregard.

Greed could sometimes make us more motivated to trade more, but it could also be a an instant way of losing as our emotions tend to be more uncontrollable that is actually a bad move for trading. Most particularly for beginner traders as they often believe that bitcoin price will move upward constantly, not realizing that volatility can hinder that.

Trading is not a get rich quick scheme, hence we should not jump into trading for big profits instantly. If there are small profits on hand, that would be a lot better than to trade and lose it all.

No one is an expert from the beginning, you must make a lot of mistakes to became expert and by making mistakes you will realize your own mistakes and one day you will become an expert in correcting them. Be it in the field of trading or any other field. you can never become an expert without making mistakes. So the more mistakes you make, the more likely you are to do well if you put in the effort But if you start blaming yourself and consider yourself a failure after making a mistake, you will never become an expert.

Definitely if you manage to control the loss and obviously make less loss, then you will have more funds to fight back against the market. This has been always followed by many veteran traders and not new if you are trading for long term. It will definitely save the capital, the funds and this will help you to trade with more confidence and can help you to imply multiple strategies. We have seen that often the newbies don’t follow this and hence blame the market at last if they make heavy losses.

If one goes into trading without understanding about trading then he can never earn money from trading. Small mistakes often lead to loss of money. We can learn big lessons from small mistakes because we are never excited while trading.  It can't be. If someone trades with other people's intelligence, he will never be successful. First of all, we have to get a good idea about trading and then we have to start trading.

In this case, it would be the right decision to sell your position in parts. But if the price moves in the opposite direction to your expectations, you need to use a stop loss, which will help you reduce losses, preventing the liquidation of the position.

It is also a human quality to identify one's own mistakes and correct them.  People can prevent themselves from making those mistakes again if they can identify their own mistakes.  Repeated mistakes in trading can cost you everything.  Trading is a very sensitive matter. Small mistakes here can cause huge losses.  So trading should be done very carefully. Every step should be understood.

Stopping losses by applying stop loss is always recommended to avoid large losses. And if market conditions change, we can still have capital to continue trading or choose to stop trading if the market still changes direction.
Traders have difficulty putting aside their egos, so they still force themselves to make big profits. They should realize that if market conditions immediately change direction, they will not be able to make big profits.
And if they can only get a small profit, they should be able to accept it.
There will come a time for them to make big profits again, especially when the prices of those coins start to increase again after the correction is over.

In crypto trading, for some reason, there is an opinion that if these are high-risk assets, then the profit should also be extremely high, but learning to keep the profit is important in trading, perhaps you don’t always need to wait x10 or more.
The worst thing is if a trader allows a case when he stays in a trade for a very long time and eventually waits for his trade to go into a loss again. On the other hand, it makes no sense to exit the trade too early, in this case, the trader may miss out on a large part of the profit. You need to look at the market and act accordingly.

In trading, we don't just learn how to cut losses but also, we must learn how to accept small profits rather than wanting more.
I'd find out that it was not the problem of most traders about their knowledge and skill, and the use of strategies but what went wrong was our uncontrollable greed. Many traders miss their chance to sell their coins for profit because they think that there is more pump coming unfortunately, with the volatility of the market, often we fail and suffer the consequences.

In fact, our main goal is to earn so we take every chance and position our trade on a profiting price, not just for the sake of saving our capital because in the end, we are still losing.

So in doing leverage trades, we can't also be able to use a small amount of capital? If it's also possible then, we can just go with the flow as well, because like you said, we can still learn a valuable lesson with it.

But some can stop doing it, if they think they are not good with it, because a small amount can still stack, and that will still result for a larger amount. Other than trading a small amount, many traders are also not doing a cut loss or a stop loss when they trade on spot. But they just choose to wait for the prices to bounce back. I think for those who are less confident or beginners on it, they can still choose to do it. Only to be safe.

If you study any risk management in trading then you will find that "cutting losses" is included in it.  Cutting losses is not a cowardly attitude, it is a trick commonly used by traders to avoid deeper and more severe losses, usually professional traders use different percentages at what price level they will cut losses while those who do not use risk management in trading will definitely allow the assets they buy to fall deeper in price because they have the wrong strategy and perception, but everything comes back to each person's strategy.  anyway, investors are not the same as traders, investors will definitely hold onto the assets they buy even if the price continues to fall.

have sufficient understanding about crypto trading strategies, how to analyze indicators in the market and various things related to trading, and especially if you master it, then this will be quite a good provision when we start trading. Because after all, tradition is an activity in cryptocurrency that is very high risk, especially if we enter it without any preparation and with very little understanding. Trading requires quite complex thinking and analysis to place positions, manage margins and various other strategies to reduce the risks of losses.

always in fact Is it easy? Of course not. This is certainly not as easy as we thought and hoped when we started trading. As I said above, trading is complex, so even though we understand it, sometimes when we do it directly, it's not as easy as we think. But at least with a good enough understanding we will be able to set up our trading efforts wisely and smartly.

Cutting your losses will create an advantage if you are trading using leverage, that is to limit your losses so you won't lose a huge amount that you can't afford losing. However, if you only trade just a small amount, I think cutting your losses is not that essential. You can trade and lose your small capital, and that's okay. You can still trade again when you're able and capable enough, as despite of your losses, you are also learning as well.

Cutting your loss will save you from more losses and this is the reason behind having your stop loss set when you enter a trade. Those individuals trading without stop loss are making a big mistake. The market can be manipulated and your trades takes you into losses as you didn't have a stop loss to cut your losses so you can try again with another trade. Professional traders still use stop loss as they know the importance of having it on your trades.

When you're in losses, don't believe you'll make back your profits. Some times it might happen that way but not all the time as you'll keep losing more due to other individuals coming to see their trades on a losing side and will want to cut their losses by selling therefore their act will push the price of the coin that you bought to fall more. When your trade are not giving you profits, stop the trade and enter the market at another time.

And from there, we need to understand that it's not just always mistake that we must make as a lesson.

Even with our wins, there are also the biggest lessons. We shouldn't also reason out these mistakes to keep it happening because it's not the goal of everyone.

We're here to make profit and definitely cutting losses is significant for one's growth and we won't just be losing forever.

Losing can always be possible with trading most especially if you decide to trade without learning sufficient knowledge and skills prior to trading. A lot of traders only trade just to satisfy their greed, hence they end up trading losing and regretting. And while others are greedy, some chose to trade also just because their peers are into trading. Trading without understanding the rudiments in trading will push you to create wrong decision making which is big NO in trading, otherwise you will only trade putting your capital and time into waste.

It all matters with self realizations on which it would really be just that normal that people would really be having that different approach on things on which there are ones who are really that too mindful about on possible ways and methods that they could really be able mold on and there are ones who are really just that like to be a blind person who cant really make out those realizations and would really be continuing on the things that he do believe for himself to be just that right. Just like i have said that it would really be just that depending on a certain individual on which it would depending whether you could really be able to make adjustments or not.
It would really be just that a normal instinct that you would be avoiding on the things that you have encountered before on which it causes for you to lose up money or fund.

Speaking about into the condition or situation about cutting loses then there are moments or times on which making up such decision would really be that something worth. The question is,
how you would really be able to determine if its the right time or moment? You are the ones who would really be finding for yourself on such action or decision.
People would realy be just that naturally be able to determine on whats worth and whats not basing up into that risks management.

being consistent in the initial position would be better if what you held was bitcoin. it will still rise and it's just a matter of time. To accumulate assets to increase at a cheaper price, carry out gradual purchases or DCA. This will improve the purchase price so that more profits will be made when the price rises again above the initial purchase price. Do it calmly and make sure you have spare money.

Yeah true, checking back on what you did, and realizing you made a mistake is harder than people may imagine. It is not even just about failing to spot what was the reason it went wrong, that is the part that would be the easiest if you look at it carefully enough, the thing that is hardest is that people fail to recognize that they did a mistake and they blame other things eventually.

This is why I believe that we need to end up feeling like that is not going to be too easy, and should consider that as something that would be troublesome. I hope that people could understand that we are going to end up with a good return if we just leave our ego aside is true, that is why you need to consider every loss as your mistake and check it.

Make it a rule to set a stop loss immediately after opening an order, and in this case you do not need to worry about liquidation. But in order for the loss from the stop loss to be minimal, it is necessary to correctly set the level from which you can enter the transaction.

Cutting your losses is more applicable when you are in leverage trading, that way you will limit your losses and prevent you from losing a lot. But if you are trading on an small scale basis, you would not mind cutting your losses since you are just risking an amount that you find convenient to lose, otherwise trading will make you sick since everything will be put into limits.

However, if you are still a beginner trader, I suggest you adopt cutting your losses. Newbies are still bound to lose a lot so having this stop loss will free them from unexpected losing huge amount.

At first ego don't have anything to do with trading, what you will say concerning trading and I agree with you is greediness and its a greedy that makes traders to lose in trading not exactly ego, when you know your objectives in trading I think you will not be greedy to the extent that your greedy will make you to lose in trading.....secondly what causes loss in trading is when you are unable to understand the rudiments of Trading before you venture into it, secondly if we don't want to be getting loss everytime in trading I think what we are suppose to do is to learn very well of the concepts of trading before we venture into it.

Yes, it's always a better idea to receive the critique and be better from every trading you did. It's always a good thing to try another day and evaluate your trading result so you can avoid to fall to the same mistake again. Don't brute force your strategy if it's ended up making you lose so much, admit that you are wrong sometimes is a step to be better.

And move on to other asset if you don't want to feel regret and chasing your losses. It's a bad idea.

Of course, because emotions become one of our biggest enemies when we trade or mean involved in the world of trading, it is always a big problem when the results at the end of the session are not as desired or mean the strategy they use misses so they end up losing, but that's natural because after all this is trading where risk always cannot be avoided completely.

It is not easy and even very difficult for most traders to be able to manage their own emotions when such situations are happening and most of those who do not have any management and planning on their trading engagements and that is why many end up with a large amount of losses that eventually make them give up and fail. So the most important point is that management and self-control really need to be emphasized for prevention when you are in such situations.

Simply because, greed is greater in trading. We always hope to see bitcoin price consistently grows even when we already know that trading is heading into a negative position that would only make us incur losses. A lot of traders lose not because they’re not good and reliable traders, but because they follow their greed over what is right in trading.

Setting stop loss is the key. Once you are certain with it, then it’s easier for you to shift your trades so you won’t end up losing a huge amount of capital. Trading may be profitable but always know that it won’t be happening all the time.

therefore trade when you are ready. not only with your capital, but you also have to be ready emotionally.
There are many trading methods that can be used to reduce the risk of loss. When we decide to exit a trade at a loss, it can also be a good or bad choice. everything must be planned from the start of trading. that we already have limits to exit with a profit, or limits to exit with a loss. or even we have to be consistent to stay in position.

You are right there mate. It’s hard to resort into cut loss when your emotions are against on it. Most of the  time, our emotions control our decisions that’s why we lose consistently in the process. Cutting our losses is a big decision that will change the outcome of our trades, but if we think our trades will not head into positivity, hence we should go cutting our losses. And we can only do that if we can manage our emotions as well so that the outcome of our decision will not be compromised.

Totally agree, learned that lesson a long time ago and I'm grateful that I have learned it early on. Stubbornness will only lead to you missing out on the opportunities to get the profits when a certain crypto passes a really good price maybe even with bitcoin it's bad to just hodl and not take any profit. Never hold on to the bag for too long especially if it's not bitcoin, you might never see another price peak on that crypto again so you've lost your chances.
Same thing happened to me but thankfully I was able to sell it because it got a second wind of some sort. I guess we have to learn about this stuff the hard way along the way.

Isn't that what you call regret, OP? The part where you were supposed to cut your losses but instead decided to HODL your position and then got liquidated? I think a lot of the members here have this kind of experience unless they are keen on reading about the experiences of the traders. There are a lot of people who would be in favor of it and could continue to be. It's just being strong and being consistent with how you handle your positions because in the end, you can never be 100%. You would always get losses and wins, hopefully, you would always win so you could be positive. That's just what I think.

It cannot be a general rule for all your trading, as what is constant in trading is that it is variable. Sometimes the stop loss order is an order to achieve a certain loss and then the price rises. Therefore, determine the level of risk, which must be different for each cryptocurrency, and from there decide which currencies in which the loss should be stopped and what. These are the currencies that must be waited until a profit is achieved, and they are the currencies that are impossible to reach zero or continue to decline.

Doesnt matter on how you would really be making yourself that handles on the market on which this is something that would really be that depending into you. There are ones who do make out those realizations and there are ones who dont really able to survive and become that impulsive and to those who do able to survive and able to sustain are the ones who would really be able to make themselves that profitable but of course loses
wont really be that something that can be avoided. Speaking about cutting losses then there are really moments on which you would really be needing to cut loses unless if you are dealing with
those coins or projects on which it is really just that worthy on holding up for long term then it wont really be that a problem or an issue.

There are really people who cant really be able to assess on what are t he right actions on that should be made because it would really be pointless if we do make use of SL
when we do have plans for long term. It would really be just that good if you do touch up yourself with futures.

it's hard to cut loss when the position is going against the trader, because the psychology is in this way first we tend to hold losing trade in hope. and take profit when our position is in little profit because of fear.
so keeping emotion aside while trading is very important. also if a trader realizes that he is wrong in that trade then he need to close the trade. but sometimes it get in profit after going toward the stoploss.
when i trade i don't have "ego" or something because I mostly hold for losing trade in hope of a reversal.

It not trading as gambling.
I said I see trading as gambling because only you are against the world most smartest, wealthiest people and the market volatility which makes it more complex for an ordinary trader to thrive in the market. I believe this is the reason why the stats of traders that quit trading along these lines are many traders who keep trading and making a profit.
If you perceive my point you'll that it's just like gambling where the player is playing against a supercomputer machine.
I am glad you also said it's not easy but it's something that impossible. Nevertheless, the possibility of it is small if the market is in bear and there's a high chance of the possibility when the market is in the bull run.

The truth is that following discipline in trading will help us minimize the risk of liquidating all assets and leave opportunities to recover losses, but honestly most people experience the feeling of daydreaming. The amount of capital may be enough to make them re-establish everything. Only when we receive the liquidation notice email do we see the mistake. Yep, the money will continue, I also had a long time to follow the trend and persist in the bear market period, I also had to pay a lot for that stupidity, and when it changed direction, I also was no more capital to continue. So learning how to manage capital and follow a clear strategy, whether the profits are low or large, requires being ready for loss, and we still have a chance to continue.

Trading as gambling? It would really just that matter on how you do treat it up on the first place, because if you do have that kind of mindset on which trading is gambling then this is something on what you are currently
doing. There are people who do changed up their lives because of trading on which they could having that another source of income aside from their main jobs. Yes, its not that easy but its not something that impossible
or simply it can be attained and it would really be just that basing on how well you do make out your own trades and this is something that would really differ into each trader because not all would really be
successful into this field but doesnt mean that you wont really be trying it out. Someones success will really be determined on how well they do deal up with things and get engaged into it.

On trading, you would really be able to witness all the possible scenarios that you could really be able to encounter. Your instinct and common sense would really be telling you
that you should really be that needing to adjust and adapt accordingly for you to be able to sustain on the things that you are currently dealing with.
It is really just that usual or casual stuff that you would be needing to do.

This will depends on how you're confident about your technical analysis and what kind of position you entered in trading.

Though in general, I definitely agree that you need to cut losses in order to prevent your capital from being liquidated too much. Receiving a love letter from your exchanger is pretty depressing and frustrating especially if you're a newbie and chasing your losses instead of stopping for a while and do some research about what you did wrong.

What kind of trading are you doing here in crypto trading? I usually only do spot trading because this is also where I feel comfortable. Although it is correct that you know how much you can lose in trading,.

The important thing is that whether we make a profit or not, we must learn something from the actual trading we do here in the crypto space. It's a big thing because we have a lesson in trading, and we should never stop learning, as most people say here on the forum platform.

Of course, many traders intuitively understand that they need to cut losses. But no one tells them how to do this. These tips are pretty banal, but it’s surprising how many traders there are who don’t follow these banal tips. For example, it is undesirable to use leverage greater than x3-x5. But it is better not to use a leverage greater than x3. Even if you use x3 leverage, this means something that not all beginners know about. It is enough for the market to move against you by a 30% drawdown of your position for your position to be liquidated. Well, or your stop will be triggered, which you put much further than the liquidation value. But in this case, with large leverage, the stop loss will often be triggered and your deposit will slowly bleed out.

Does OP trade futures? If it is liquidated, the OP is still immature in determining take profit and stop loss levels. Take profit and stoploss are important instruments in future trading that cannot be separated.

Pro traders also really pay attention to SL and TP. And they always use it, so that there are no big losses resulting in liquidation, hopefully what OP experienced can be a lesson and OP can carry out better and more mature analysis and trading in the future.

what do you mean by installing SL? of course installing SL is an important thing in trading because it is your end point before you lose all your money because it is liquidated, and your message notification is only Margin Call, hahaha LOL

just as important as you put TP on your position, because the price fluctuations in the market easily fall after reaching a certain price, so it is important to put TP too, and this is a form of discipline so that you do not have greedy thoughts or profits that are achieved. using SL as a form that you cut your losses or keep your funds from being completely liquidated.

But it needs to be seen also contained in the trend of price movements, some moments rarely after almost reaching the SL area that we determine the price goes back up and even more beyond one's expectations.

Of course, this is not possible if we want bigger profits, so we have to use large amounts of capital in the trading that we will do. The more capital we use in trading, the greater the profits we will get in trading if we can choose the type of crypto. which has the potential to make a profit.
Yes, you said it very right, when trading it is very important to be careful about the risk of loss in trading and we also have to be able to deal with it so as not to experience losses in trading and when we have a lot of experience in trading of course we will be able to anticipate losses that might occur.

I agree with what was said about the majority of us being among the 10% and I believe the reason is that crypto traders are involved trader trading against the rich and smartest people in the world. This is why I placed a high priority on the crypto I choose to deal with, the type of trading choose, and the trading platform I use since the market is full of ups and downs. The best practice will always be going for things that already minimize the chance of making losses.
Another thing I do is that I don't day trade and I guess it is because I see trading as gambling.

I agree as it looks like the same mistake I have made in the past, especially when we see our trade is losing but still we just see it liquidating just because either our ego or emotions takes the lead as instead of losing a percentage of our capital we end up liquidating everything. But, experts don't make this mistake they set SL and TP and adhere to their protocols that's why they cut down on losses.

But we need to select the right coins because trading is not for all because of one choose to leverage with shit coins or coins like USTC or LUNC then regardless of strategy they can lose everything in a blink

Cut losses like strategic war retreats. Not defeat, but wisdom. I've seen traders stick to lost positions, hope blinding them. Like gambling, right? The hope that the folowing roll will change fortunes. Trading is a contest of wits and strategy, not a casino. You share many experiences, including mine. Holding onto a failing trade against hope is risky. Trading requires respect, prudence, and a clear brain, like any high-stakes game. Knowing when to fold, regroup, and recover is key. Basically, we must be brutally honest with ourselves. Admitting we're wrong is sensible and necessary for market survival. Humitity and smart thinking distinguish great traders.

If you want to cut your losses, you can use the stop loss feature on the exchange. That will prevent your losses and you can start trading again. Yes, it can save your capital so you don't experience big losses.

Stop loss is often used in futures trading to avoid losses. But stop loss is also used in spot trading so you don't have to wait for the price to decline before you close the trade with a big loss.

But usually, what causes traders to experience losses is that they are often late in closing their trades when they have already made a profit. They think the price can continue to rise higher even though the price can quickly reverse direction. And that causes them not to make a profit and instead suffer a loss.

Saving capital from trading seems impossible. this is trade. If you have a lot of capital, the profits you get will also be greater. This applies to all of us traders. I think it is more appropriate to say reduce the risk of loss in the title of this thread. OK, if it's a risk then of course you have to experience it and how each person handles it is different. So there's no need to worry because we will all definitely find it with the many experiences we have.

If a trader relies only on luck or something similar in trading and does not act on the market, then liquidation is only a matter of time. Beginner traders should start with spot trading, but even this will not save you from mistakes if you just rely on luck. There will be bad trades in trading, no one can avoid this, but you are right that you need to avoid big losses, it is better to exit early with small losses than to be stuck in a trade for a long time and miss out on many other profitable trades.

Simply put, this is the science of capital and risk management. you are right this is necessary. It's just that before that, I believe we must first learn to control our emotions, this is even more important because with controlled emotions our decisions will definitely be very wise. we become less anxious about taking any risks. We can always accept the results, usually this method is successful in achieving profits according to the target, this depends on how we can control it all. Be careful with greed, it is very dangerous for our assets.

That's very true especially if the "trader" chooses to trade low-liquidity shitcoins. The usual situation that happens is, it goes down to your stop-loss, you close the trade, then it surges 3x mere moments later leaving you with a loss and a lot of frustration.

There's probably only 50% of the 10% of profitable traders that truly make money consistently to be a semi-professional bedroom trader. Some of us either become part of the 10% ourselves or lose all of our money.

but it's not always applicable. For example, cutting your loss too early is not good because, because of that, you lose an opportunity to earn, or, let's say, instead of cutting loss, there is what we call "stop loss." That's why it is there, so a trader doesn't need to monitor the trade frequently. So if you want a minimal loss, then set the stop loss to an amount that you can afford to lose, but it will also disrupt the analysis and strategy in the trade.

Although it may seem like an option or choice to minimise the loss, the feeling of losing money from a trade that you didn't look into until the end is painful, so if a trader can't wait until the trade ends, whether to take profit or stop loss, then it's better to not do a trade when unsure; don't enter the market if you know you can't see the trade until the end.

Losses at the start of trading are very normal to experience. but what's good is that you realize your mistakes and try not to repeat them. because the problem for beginners is their ignorance of the right momentum. so they feel very confident in the trading plan they carry out without making the best plan to overcome when their plan does not match expectations.
now you have good control. and you share it. Hopefully, other newbies to trading will be more careful and less impulsive.

Well everyone have done on that phase. Of course being greedy is something we must learn to conquer. A lot of people lack discipline they need to suppress that attitude and we cant blame them since its really a greediness behaviour sometimes eating us. But once we knew how to exit and be contended with the profits then its no problem at all.

Learn about Stop loss order, Stop limit order.
Practice with these order types when you open your trading positions.

What is a stop limit order
One of the best weapons in trading, stop loss order
What's difference between stop loss order and stop limit order

I can relate to this also, because with stop loss, will help you to protect your capital, if you have enough capital you can still trade in the future.
So for me, even if you just cut loss and multiple stop losses triggered and your trade were losses, just stick with your plan and later on when you make some profits, for sure you will make some profits then some of your losses will be covered.

Stop loss is not always the answer to everything in trading when it comes to saving one's capital or investment because the type of cryptocurrency and the type of trading you choose for your trading are also important cause they are what will determine your decision.
There are  situations whereby the moment the trader chooses to stop loss or close the deal is when the market will reverse.

Trading is not very easy; it's something that makes traders reason very fast and act accordingly. Most of the time, even those who are seen as professional traders would still lose their trades. So, I will not say it's ego if a trader chooses not to quickly cut short their losses; it could still happen in a way that after cutting short the trade, the price will still move in the direction that you have actually predicted.

Trading requires one to have a great trading skill, learn and keep learning about the best trading tools and ethics, which will help the trader to keep developing some good trading strategies that can help them win the markets. At least it will minimize the rate of loss they would have.

@OP, In essence, what I am saying is that some people are still very new and inexperienced in trading, and it's not their fault that they run into losses. Even the moment you think you have made the right decision, the market can still become volatile and go contrary to what you believed would have happened. The market is not controlled by anyone.

Cut your losses or always use stop-loss when you're in leverage trade. People tend to focus on longevity sometimes and that's not a bad thing but in trading you learn to take profit as early as possible as long as you have set your targets considering it's a volatile market, it could go the other way around in just a minute.

It is actually important to cut losses. Because like me, I don't do cut loss before and I am just watching the value of that purchased crypto before when I was still new sinking on its value. When it's like you have noticed a 5%-10% of losses you've incurring with that project, it's better to cut the losses and just accept it. You've learned that project isn't going to be the one that you'll make money and that's why divert it somewhere else where you can make more money, that's how it should go.

Learning how to do a cut loss is important. Doing a cut loss is not easy given that you are willing to gave up the hope that you can get back the loss you have on that certain trade or asset. It is a situational move that can either bring you satisfaction or regret in selling your asset or stopping your trade a loss. There are many traders who are doing YOLO's and not doing cut loss or even setting up stop loss on their trades, I found that newbies are the one who are in that situation.

We should learn how to cut loss, even experience traders are cutting their losses at some extent of their trades to save their remaining capital.

What you think as a large capital can be a small capital for someone. Let us say a trader has $100000, he trades with $10000. When he wants to start trade, he use $1000, if he is losing, he increase the margin until it is 1x that will make it $10000. After that, he still go 2x which is the final. That is 20x leverage with low risk. Stop loss is also not needed with this scenario.

Maybe because I'm not a trader who trades with large capital so I rarely use stop losses.
Using the stop loss feature in trading with large capital is very helpful in setting a good pattern for our capital.
On Bitcoin, long-term targets are not for short-term trading.

Btw, this is a good experience. For beginners who still don't understand how to trade, you can practice it.
Day-to-day trading requires a smart mind in implementing strategies with planned patterns and avoiding exiting the trading strategy.

I have always regarded stop loss feature as one crucial thing when trading. But of course, if you are just trading on a minimal amount, I don't think you'll still resort into using stop loss. You can control easily your funds when you are doing average trading, that's the advantage when you are trading on your own risk. However, if you set bigger capital in trading like leverage trading, the high risk to lose is always there. But maybe if you don't sell, you will never end up with a literal loss.

Trading is a mental and emotional skill. If you think you'll easily faint, don't dare to trade or else you will never have successful days when trading. Trading needs a wise and smart move, hence traders should always focus on positivity and not on negative thoughts.

Stubbornness in trading often has negative results. The trader’s insistence on following the same strategy and insisting on his mistake will have bad consequences. Therefore, it is better to stop at a certain point and re-evaluate the situation rather than persist in making mistakes.

This happened to me more than one coin that I saw falling, but I was determined to hold it because I thought it would rise again, but unfortunately it continued to fall and I continued to lose. If I had stopped at a certain point, I would have avoided many losses.

These are individual experiences, and in the long run that is what matters, if they liquidate your order it is because you did not fund more funds and that is a decision, the issue is not that they liquidate you 10 times, the issue is that you make a correct management of those operations, that is, they liquidate you 10 times, but on the 11th your other position corrects and you can be recovering.

In trading, success is measured by always having 100 new opportunities after something didn't go well.  Losing is part of the process of making profits.

Not all positions will be successful and even less so in the futures market (e.g.)

This is a common practice on trading which you can automatically do using the stop loss feature. Only dumb trader doesn’t use stop loss especially on crypto which price swing is always too frequent to happened.

It’s not really a big deal to stop loss if you knew how to trade properly because you typically set it on a price which is the sign when the trend doesn’t go your predicted outcome.

It also depends on the type of asset you're buying.

Nascent altcoins built and maintained by good developers might give the investor some long-term probability that the investment will gain a good ROI, despite its flaws. But a shitcoin, that's very volatile and unpredictable, that definitely needs a stop-loss. The problem is where do you place the stop-loss if it's very volatile? You could be stopped out if placed too near the average price entry, and taking a larger loss if it's too wide.

The best decision = HODL, or take a long-term investment in the best cryptocurrency. Bitcoin.

If you are using leverage, you can open a position and set take profit and stop loss. But if you use averaging, that may not come your mind. Using stop loss depends on the type of trader that you are.

If a trader is using high leverage, liquidation of trading fund is common to those kinds of traders. Also the type of coins you are trading is very important.

There was a time I closed a position because I was running at loss, but the market later reversed. There were re times I got liquidated in the past because I use high leverage and because I traded shit coins. Stop loss is good, but it also has its disadvantage.

Learn to cut your loss, yes I mean it, the are so many rules and skills in trading which in other to succeed in trading you must utilize to the maximum, and one one them is learn to cut your loss if it's obvious that holding your position will do more harm tham good.
Most traders have fail to understand that in trading it's very important to keep your ego aside and admit when you are wrong, cut your loss early so that you can try again .
I have seen so many traders watch there their position run into liquidation because they were stubborn or they believe that it can still reverse to their favour, when it obvious that their is no hope.

In my early days in trading I have my own terrible experience of failing to cut my loss early because I believe that their is still hope, but I learned the hard way when I got liquidated.
You wouldn't know how important this decision is, until you have been liquidated.
Learn to admit that you are wrong, cut your loss, restrategize and have a go at it again.