What to do when you're stuck during a trade?

"Getting unstuck," as a term in the cryptocurrency world, refers to the price of a coin rising back to the purchase price so that the trader can sell the coin and recover their funds. Learning to get stuck is truly learning to hunt; learning to get unstuck is truly understanding how to trade cryptocurrencies.

Below are some methods to get unstuck, generally categorized into two types.

1. Proactive Unsticking Strategies

1. Cutting Losses

If you realize that the purchase was a serious mistake, especially if you bought at the peak of a previous surge, you must have the determination to cut losses decisively and sell to protect your funds. There are many opportunities in the crypto market; as long as your funds do not suffer significant losses, you can always earn back.

2. Switching Coins

If the coin you hold is stuck and in a weak position with further downside potential, if you accurately assess that another coin has substantial upside potential and a stronger trend, you can decisively switch coins to offset losses from the old coin with profits from the new one.

3. Short Selling

When it's determined that you are deeply stuck and cannot cut losses, and there is further downward potential in the market or a specific coin, you can use a short-selling strategy. Sell the stuck coin first and buy it back at a lower price to effectively reduce your costs.

2. Passive Unsticking Strategies

1. Averaging Down

If the purchase price is not high or you are firmly optimistic about the future market, you can use the averaging down technique. However, ordinary investors can usually only bear one or two rounds of averaging down, so the timing for averaging down is crucial.

2. Waiting

If you are fully invested and deeply stuck, unable to cut losses or add to your position, you can only wait passively. As long as it is your own money, not borrowed or loaned, you should have the patience to wait. Do not act emotionally and rashly throw in the towel, blindly add positions, or easily cut losses haphazardly.