Look, the moment the market drops like this in such violent fashion, it’s not just numbers turning red… it’s actually a direct test of your nerves. The difference between the one who keeps playing and the one who wakes up to find their account completely wiped, isn’t intelligence or luck—it’s the ability to manage risk when everyone is losing their footing in the chaos.
How do you manage your account and handle risk?
Position Sizing: Before you think about profit, think about how much you’re willing to lose. The golden rule is that you shouldn’t risk more than 1% to 3% of your total capital on any single trade, so that if your stop-loss hits, you’re still standing on your feet.
Stop-Loss Orders: Set the exit point in advance based on your conditions and technical analysis—not on the hope that the market “might come back.” A stop-loss protects you from a small loss turning into a disaster.
Full Avoidance of Leverage: Trading on margin during violent red candles is outright suicide; liquidation happens in seconds and your account is gone.
Gradual Buying (DCA): Instead of going in with the full amount at a point you expect is the bottom, split your entry across different support levels. When the market drops, it won’t give you a clear bottom on the first try.
Cash and Liquidity (Stablecoins): A part of your portfolio should always be assumed to be USDT or USDC. When everything drops, liquidity is what gives you the freedom to move and seize opportunities.
Psychology and mental behavior:
Close the screen: Selling out of panic (Panic Selling) is the biggest trap. When you feel emotions are driving you, step away from the phone and lock the app.
Review the reasons: Ask yourself—Is this drop a natural correction and a shakeout of liquidity, or has the project itself ended and its fundamentals changed?
Clean up the portfolio: These times are an opportunity to get rid of meme coins and unclear/ambiguous assets, and rebalance toward assets with liquidity and strong “market depth” like Bitcoin and Ethereum.
DEXEUSDTPerp2.08-6.55%
ONGUSDTPerp0.09042-17.29%
BTCUSDTPerp78,822.5+0.18%