Ignoring the Risk-to-Reward Ratio
Crypto example: BTC • ETH • SOL*
Real-life example:
> A trader risks 10 to make 2
> 3 losing trades = wiping out 6 previous wins

Reasons
• Not calculating the ratio
• Focusing only on profit
• Greed

Steps to protect yourself
1- Only enter if the potential reward is at least twice the risk (1:2)
2- Calculate the ratio before entering
3- Stick to a ratio of 1:2 or higher
4- Avoid unfavorable trades
$ETH
$SOL
$CHIP

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