Trapped during the trading process, how to break free? 💹💹💹
Breaking free, as a term in the cryptocurrency world, refers to selling the cryptocurrency when its price rebounds to near the buying price, thereby recovering the funds. Learning to trap is learning to hunt; learning to break free is truly understanding how to trade cryptocurrencies.
Now, let me introduce the methods for breaking free, which are generally divided into two types.
1. Active Break Free Strategies
Cutting Losses: If you find out that your purchase was a serious mistake, especially if you bought at the peak of a previous surge, then you must have the courage to cut your losses immediately; this is how you can ensure the safety of your funds. There are plenty of opportunities in the cryptocurrency market. As long as your funds haven’t suffered too much loss, you can always make back your money.
Switching Coins: If the cryptocurrency you hold is trapped and in a weak position with further downside potential, and if you can accurately determine that another coin has a greater potential for price increase and a stronger trend, then decisively switch coins, using the profits from the new coin to offset the losses from the old one.
Short Selling: When you're sure that you're deeply trapped and can't cut losses, and there’s still potential for further declines in the market or a specific coin, you can adopt short selling. Sell the trapped coin first, and then buy it back when the price reaches a lower position, effectively reducing costs.
2. Passive Break Free Strategies
Averaging Down: When your buying price is not high or you are firmly optimistic about the future market, you can use the averaging down technique. However, ordinary investors’ funds can usually only withstand one or two instances of averaging down, so the timing for averaging down is crucial. 👗👇
Lying Flat: When you are deeply trapped with full holdings and cannot cut losses or add to your position, the only option is to wait passively. As long as this money is yours, not borrowed or loaned, you can afford to be patient. 👉👉BNB0098
Absolutely avoid being emotional, breaking everything, blindly adding to your position, or carelessly cutting losses.
Being trapped is not really terrifying; sometimes, not being trapped means not making profits, and being trapped can potentially lead to significant gains. So, do not simply regard being trapped as a disaster; if handled properly, it can completely transform into an opportunity.
