Crypto Blunders That Can Wreck Your Portfolio

Market dips are a part of the game, but keeping cash or assets that are easy to liquidate helps you stay afloat. On February 6, Bitcoin and Ethereum took a nosedive. A lot of traders got wiped out because they went overboard with leverage or panicked. I managed to avoid that. How come? I keep my risk in check: just 1 to 2 futures trades at a time. I adhere to my risk-reward ratio. No exceptions allowed. I also hedge with low-risk, passive income options (like a 6% APR yield). With this strategy, even if the market takes a hit, I’m not in a position where I have to sell at rock bottom. I remain flexible and ready to jump in when prices bounce back. Now BTC is at $70K, ETH is at $2,100, and I’m still trading while others are dealing with the aftermath of liquidations. So I'm wondering, how do you guys shield yourselves when the market turns?

I think this topic should belong to trading discussion so far you are referring to trading and trading asset liquidation. I saw a post yesterday on this forum that impatient traders will lose money for the patient traders. This topic is also similar because it is still about to be patient but many traders want fast money, that triggers them to risk higher and lose faster. It is better for some people not to trade because they will always be greedy, not following their own trading rules but be making mistakes. Any trader that make mistakes for 6 months should just stop trading.

Ma best strategy during the market flip is converting everything into the stable, then becomes a yield hunter. there are plenties of defi strategy that can let us to get yield. So this is really tempting when we get decent passive income combined with zero risk to face impermanent lose. However, i'm now actively yielding on the CEX(Binance). You mentioned 6% yield on Bitget, which is very small. Why don't stick to Binance with 15% APY ++++.   That's the reason i dislike Bitget.

IMO, the thread should be trashed, look at the OP's feedback and then we will realise the real intention behind this thread. Unfortunately, these users are getting away with not posting anything in the texts but add image with the name of BG on it and makes it looks like a valid one. Hope mods will delete these kinds of threads too.

Sometimes the OP actually does present a good topic but uses his or her Bitget shilling to ruin the whole thing, and this type of thread will continue to exist. I doubt if mods will get it deleted; the OP knows exactly how to publish shilling content which won't appear as if he or she is breaking any of the forum rules. The best thing to do is to add the dude to your ignore list if you are tired of seeing the BG promotion.

That is good if you're not panicking when the market drops a lot. You're one of the many traders and holders that don't panic because you know what you're doing. Nothing. There's no protection or such but by doing nothing, you can protect yourself from doing bad things and mistakes. Avoiding them by having nothing to do is also a good one if you've experienced or you just let that fear you have to pass on.

BG shills are all over the crypto communities, telegram groups, bitcointalk, altcointalk, reddit and any place where users can post their contents and they are getting more creative too. In altcoinstalk there is zero tolerance towards these kind of shillers but here we have slightly different approach from mods so these shillers are getting away with that...

Are you talking about when it flips to big bull cycle or are you reacting to all changes (even small ones)? And are you trying to swing trade this year even though you know it's eventually going lower? Personally i sold everything and i am not buying any alts this year. I was pretty confident at the top that i could short this to the ground, but i chickened out as i rather keep what i own and not play with it. After all, that saves me some free time and i don't have to be on the edge with markets this year. I can just sit down and look how different coins behave here and take notes.

Staying away will help our mental health to not be affected by it that much. So, if you're so emotional and you can't help yourself going away from the market at the moment temporary. What you can do is to find yourself not checking the charts often. Because that's one trigger for your thoughts to play some things there to make you feel bad and push to take some actions even it means that you don't have to do anything.

Overleveraging is a mistake often made by traders. They think they can make quick profits when in fact they will only end up as liquidity providers in the market. As a result many of them claim that they lost money solely because of market conditions. But they should realize that it was their own mistake, where they dared to take high risks and even as a result they were liquidated. When it comes to trading altcoins spot trading itself is already a high risk by considering that many altcoins also drop significantly when the value of Bitcoin declines. Everyone should be aware that trading is full of speculation. And no one can predict with great accuracy the future movements of altcoins. I personally believe that everyone should know a lot about the risks involved in trading so as not to make wrong decisions that could damage their portfolio.

Unfortunately people who see the "potential" wins, they end up making this mistake. In this world, there is a possibility that you can risk just a thousand dollars and can make 20k dollars or more with just a single correct decision and they think that will be possible for every single attempt. But, what they are not realizing that even an inch towards the wrong direction and it's all gone. So you have to be right very quickly and at right time precisely or you are going to be completely gone and they do not realize that which causes them to lose a lot of money. Taking calculated risk and trying to be consistent rather than being lucky kind of strategy will work in long run. One success cannot guarantee you more similar success but you may keep trying for being successful and if not, quitting with minimal loss and then looking for another new opportunity will help to sustain.

You follow the RRR it is good habit for trading but in reality many times the market structure does not move according to the RRR especially on high volatility days. So I personally look at not only the RRR but also market sentiment and volume and macro news because sometimes even if the technical setup is good a news driven move can change the entire plan.

I’m not a fan of trading, I would prefer a situation where I have to make an investment instead of buying and trading bitcoin or whatever assets you’re talking about, I would be more happy holding Bitcoin for a long term, the situation we are having with Bitcoin right now, provide a situation to keep buying more and stacking more and more for the future, I’m really not a fan of altcoins but I could possibly give Etherum some chance in my blockchain of cryptocurrency investment. I think it will be more better to go with something preferable and sustainable in terms of making investments in altcoins, but honestly speaking I think Etherum is an asset that is close to Bitcoin, but if the market conditions that we are having now is sustainable, then it would be more preferred to keep buying bitcoin instead of holding back our investments, just keep buying more and holding its as simple as that.