š How to preserve capital when the market is red?
A red market is not a sentence, but an opportunity to preserve and even multiply capital if you act wisely.
š” 7 tips for survival during a downturn:
1ļøā£ Stablecoins ā your shield
Keep a portion in USDT/USDC/FDUSD. On Binance, you can put it in Simple Earn and earn % even during a downturn.
2ļøā£ Stop-loss = insurance
Set stop-loss on trades to avoid significant losses.
3ļøā£ Diversification
Don't keep everything in one coin. Better to spread among top assets and sectors.
4ļøā£ Less leverage
20x leverage during a downturn = quick liquidation. Better to use 1ā3x or none at all.
5ļøā£ Hedging
You can open a small short on futures to offset declines on the spot.
6ļøā£ Part in fiat
If you expect a prolonged decline, convert part to USD/EUR/UAH in your balance or withdraw it.
7ļøā£ Earn ā your friend
Locked Staking and Savings on stablecoins provide 3ā8% annual returns without volatility risk.
š Conclusion: A red market is a test of discipline. Those who preserve capital will be able to buy assets at the bottom and benefit from the recovery.
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