Educational Content & Risk Management ๐ง
STOP Being a Liquidity Victim:
3 Risk Management Rules for Altseason ๐ซ๐ฐ
When BTC is choppy, altcoins are violently volatile. This is where most traders get liquidated.
๐จ The Binance Square algorithm values educational content that helps users trade smarterโnot harder. โ ๏ธ
โ ๏ธ Rule 1:
The 2% Portfolio Limit ๐ค
Never risk more than 2% of your total trading portfolio on a single trade. If you have \$10,000, your maximum loss on any one trade should be \$200. This simple rule ensures that no single LUNA moment can wipe you out. โ๏ธ
๐ Rule 2:
Set Your Stop-Loss Before You Buy ๐ฏ
Your entry is secondary to your exit plan. Before you click the "Buy" button, know exactly where your Stop-Loss (S/L) is. A good S/L is placed at a logical level... Emotion-based trading is for amateurs.
๐ Rule 3:
Take Profits in Tiers (DCA Out) ๐
Don't wait for the absolute top. Use a Dollar-Cost Average (DCA) Out strategy:
Target 1 (T1): Take 50\% profit at 1.5x return. Move S/L to breakeven.
Target 2 (T2): Take 30\% profit at 2.5x return.
Target 3 (T3): Let the final 20\% ride for the maximum gain.
This guarantees you never lose money and always secure gains. โ๏ธ
#RiskManagement #CryptoTips #LearntoEarn #tradingStrategy #dyor


