✅ Do's and Dont's list of a typical Cryptomaniac

Hit ❤️ if you follow these rules!

🕯 Mastering Stop Loss & Take Profit

Stop Loss & Take Profit are the simplest yet most crucial and helpful tools in any trader's toolbox.


⛔️ What exactly are they?

Think of Stop Loss and Take Profit as safety nets for your trades: they activate automatically when your loss/profit reach set levels.

• Stop Loss (SL) order comes into play to prevent further losses when the market dips below a certain point.

• Take Profit (TP) order secures your gains when the market peaks.


📝Best risk management advices

There are no hard-and-fast rules for the level at which stops should be placed. It depends on your investing style.

For most traders, setting Stop Loss levels typically hovers around 10% of their trade, while Take Profit tends to sit closer to 20%.

📈 Putting it into practice

Cryptomania uses a simplified version of TP/SL orders: you just need to set the amount you plan to earn and the amount you are ready to lose.

Let's say you're trading ETH and you've entered the market at $100. To secure profits, you might set Take Profit at $20 (20% of $100=$20) so your position will close automatically once that target is hit.

To minimize potential losses, you might want to set a Stop Loss at $10 (10% of $100=$10). So when ETH's price suddenly drops, your position will close automatically, safeguarding you from further loss.

🎓 Now, let's check how well you've absorbed the new knowledge! Apply your newly gained wisdom in the poll below⬇️

What is FUD and how to deal with it

😱 FUD stands for "Fear, Uncertainty, and Doubt”.

It can be seen as the opposite of FOMO — the Fear Of Missing Out. This concept is very common in the cryptocurrency community. When someone mentions FUD, they're typically calling out other investors for their perceived unwarranted negativity.

🌪 FUD is like a storm cloud looming over the market, often fueled by negative rumors or fabricated news. Imagine someone spreading gossip about a company's stock, hoping to drive its price down so they can profit. That's FUD in action.

Take the case with the Huobi exchange, for instance. Analyst Adam Cochran discovered that the exchange had only $63 million in assets against $630 million in liabilities. The whereabouts of the remaining $567 million were unclear. Panic ensued and people started withdrawing their funds, fearing the worst.

How do you handle FUD?

1️⃣ DYOR. Don't just follow the crowd. Take the time to research and verify information from reliable sources. Be smarter! Knowledge is your best defense against fear-induced decisions.
2️⃣ Listen to alternative opinions. Engage in crypto chats and listen to what other enthusiasts and skilled crypto traders have to say. The key is to fact-check and not give in to panic.
3️⃣ Diversify your portfolio. We can’t stress it enough: don't put all your eggs in one basket. This way, if fear and uncertainty strike, you won't risk losing all your capital.

❌ There's no magic button to instantly stop the panic that FUD can induce. The most important thing in dealing with FUD is avoiding rash decisions fueled by fear. Because that’s exactly what this tactic is aimed at.

Keep a cool head and stay calm like a rock. Don’t let those sneaky FUD moves blur your vision.

Are you influenced by FUD?

🔥 — No, I approach crypto with a cool head
👍 — Yes, it's my main trigger

👋 Welcome to the official Cryptomania app channel!

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🤝 Jump in, level up, and have fun. You’re one of us now!

📌 Word of the day: Halving

You've probably heard of “BTC halving”. Let's break it down and see why it's a big deal.

🔍 What Is BTC Halving?

Bitcoin halving is a major event that occurs roughly every 4 years or after every 210,000 blocks, cutting the rate of new bitcoins in half.

💡 Why does BTC Halving happen?

Bitcoin halving reduces the creation of new bitcoins to keep their total number under 21 million. This makes bitcoins more rare over time, potentially increasing their value.

Following the last halving on May 11, 2020, the price of Bitcoin skyrocketed, reaching $60k.

📅 When Is the next BTC Halving?

Mark your calendars! The next Bitcoin halving is set for April 2024, following the last one in May 2020.

✍️ Why is halving important?

The trend suggests that BTC's price reaches a new all-time high with each Halving. However, the pre-Halving rally has gotten smaller and smaller over the years.

Do you believe BTC will hit $100k after the next Halving? Hit 🔥if you feel bullish.

🥋Just like kung fu fighters, each trader has their own unique trading style!

Some traders use fundamental data to win the market, while others focus on chart patterns to battle their way to success.

Here are 4 most common types of trading:

💨 Scalping

Scalpers are short-term traders. Their strategy involves trading frequently opening and closing positions in very short periods of time. Scalpers spend the whole day catching small impulses, aiming to end the day with profit.

Scalping strategy requires high levels of concentration, sharp instincts, and good observation skills.

🔮 Day Trading

Day traders are short-term traders with a trading activity span of one trading day. Unlike Scalpers, it's not necessary for day traders to open many trades: an aim can be executed with just 2-3 orders.

The most important thing is to trade within a single day.

👁 Swing Trading

Swing traders are focused on short- and medium-term gains. The strategy involves trading on timeframes of 4H to 1D. Swing trading doesn't require much time in front of the screen, and a swing trader's deal may last up to several months.

📈 Long-Term Trading

Traders of this type can hold their trading positions for months and even years. A major advantage of this strategy is having a clear plan for buying, averaging, and selling an asset.

🎤 What's your trading style? Share your votes below ⬇️