July 21, 2024

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10 Important Lessons I've Learned While Trading Crypto

10 Important Lessons I've Learned While Trading Crypto

10 Important Lessons I’ve Learned While Trading Crypto

10 Important Lessons I've Learned While Trading Crypto

10 Important Lessons I’ve Learned While Trading Crypto

Here are the 10 most important lessons I learned over the past 4 years

You Don’t Need Leverage

Leverage trading is without doubt one of the most common reasons why traders go broke.

Let’s say you have the perfect setup and you overleverage

You simply won’t be able to handle the PNL swings and are either going to get chopped or close at a loss

Don’t Revenge Trade

I used to let my emotions dictate my trades and this has costed me well over 7 figures.

One trade closed at a loss, oh well let’s jump straight into another one. Instead of reducing risk a common trait is to risk more.

This is gambling not trading.

Don’t Overtrade

During the 2021 bull market I can with a hand on my heart say I overtraded. I overtraded a lot.

I would get outperformed by normies that sat on positions and did nothing.

Now I only do high/mid timeframe swing positions with no micromanaging.

Less is more.

Understand When To Risk Less and When To Risk More

During bull markets you can get away with doing a lot of dumb things, you should still learn when to risk less or more

This takes years to master, however during bull keep it simple: buy every retrace till it does not work

Your Network is Your Networth

If you have no friends to discuss and exchange information you are missing out

In a space where insider information is everywhere it would be silly not to network

Surround yourself with people more successful than you.

I still have a mentor

Understand Your Edge and Then Stick To It

If you are good at finding newly listed low cap coins then stick to that.

If you are good at doing fundamental analysis, then stick to that.

If you are good at helping projects, then stick to that.

Play your edge and win

Build a Reputation and Don’t Trust People Blindly

I always try to do my own due diligence

I have been fooled over by people I considered friends and that has costed me reputation and money before

and ofc I have shilled coins that went to 0 many times over the years

Let Winners Run and Cut Losses Quickly

I would proceed to try and find lagging altcoins in the same sector/with the same narrative that haven’t pumped yet and buy these.

Don’t Fight The Trend

Early during the 2020 run-up I would try to constantly look for local tops and short entries.

I would hedge then unhedge and then hedge and unhedge again.

If the trend is up don’t fight it. Look for longs and buy retraces until it does not work.

Find The Right People To Get Information

Your feed should be full of crypto nothing else.I keep my follow list short.

That’s it,

Learn from my mistakes. It will save you a lot of stress, money and time.

Disclaimer: I am not a financial advisor, and this article is for informational purposes only. Please consult a qualified financial professional before making any investment decisions.

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Crypto Mistakes to Avoid Beware of in 2024.
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Crypto Mistakes to Avoid Beware of in 2024.
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