Exiting Crypto In The Safest Way (You Need To Get This Right!)

No Bs Crypto

Introduction to Maximizing Cryptocurrency Gains

The speaker discusses a method to absorb the last bit of explosive growth in cryptocurrency without adding significant risk. This involves setting up realistic sell levels and using a plan to maximize gains.

The Problem with Traditional Sell Plans

Traditional sell plans often involve selling a portion of the portfolio at a specific price, but this can be risky if the price does not reach the target. The speaker argues that this approach can lead to missed opportunities for greater gains.

Introduction to Trailing Stop Loss

The speaker introduces the concept of a trailing stop loss, a tool available on most major exchanges. This tool allows for the setting of a target price and a delta (a percentage below the target price). When the price reaches the target, the trailing stop loss is activated, and the sell order is executed when the price falls by the specified delta.

Example of Trailing Stop Loss

The speaker provides an example of how to use a trailing stop loss with Near Protocol. The goal is to sell at an average price of $30, with a maximum sell price of $33. The speaker explains how to set up a trailing stop loss with a delta of 5%, which would sell 12.5% of the portfolio if the price falls by 5%.

Adding a Second Trailing Stop Loss

The speaker discusses adding a second trailing stop loss with a higher delta (10%) to maximize gains. This allows for the potential to sell at an even higher price, while still limiting the risk.

Worst-Case Scenario

The speaker addresses the worst-case scenario, where the price falls significantly, and the trailing stop loss is triggered. Even in this scenario, the losses are relatively small compared to the potential gains.

Conclusion

The speaker encourages viewers to learn about trailing stop losses and how to use them to maximize gains in cryptocurrency trading. The speaker offers to create a further video to help with understanding the concept and provides resources for learning more.

Key Points

  • Trailing stop loss is a tool to maximize gains in cryptocurrency trading
  • It involves setting a target price and a delta (percentage below the target price)
  • The tool allows for the potential to sell at a higher price while limiting risk
  • Even in a worst-case scenario, losses are relatively small compared to potential gains
  • Viewers are encouraged to learn more about trailing stop losses and how to use them.