The Truth Behind #美联储回购协议计划 Stop Loss and Take Profit: Why Do Many People Lose Money the More They Control Risk

There's a popular saying in the community—small stop losses paired with high take profits. It sounds perfect, but what’s the result? Most beginners get wiped out by this approach.

Where's the problem?

Small stop losses simply don’t work. Cryptocurrency markets are inherently volatile, and if you set your stop loss too tight, it’s like playing "Minefield" every day. When the price pulls back, it quickly triggers your stop loss. Frequent small losses add up, and your account gets drained before you even get a real chance to profit. Before you know it, your principal is almost gone.

High take profits are also a trap. Setting targets too far away means the market will never reach them. You watch real short-term profit opportunities slip away. In the end, either you get stopped out without reaching your target or you force a partial exit at the worst moment, missing the optimal entry or exit point, and your funds keep depleting.

What should you do instead?

Stop loss should be smart—set it based on current market volatility and your actual risk tolerance, not just aiming for a small number.

Take profit should be realistic—don’t always aim for sky-high gains. Set achievable targets and steadily lock in profits. $BTC $ETH Big coins like this are accumulated step by step.

In short, the core of risk management isn’t about rigidly sticking to a rule but about adjusting flexibly according to market conditions and staying alert. That’s how you can truly survive longer.