Risk Management in crypto trading.

Risk management

 No trader wins 100% of the time. You many have a profitable strategy but if you don't have a proper money management plan, you'll end up a loosing trader.While I was learning, I learnt this the hard way..
Majority of successful traders you see have blown accounts due to this before they finally learnt it.
Proper money management plan helps you to protect your profits on loosing streaks and helps you slow the rate at which your account comes to a ruin
Here's a good money management plan you can follow

👉Don't risk more than 5% of your account on any single trade idea. If you are bullish on a particular market and you want to go long on 3 different trades, the total risk in the 3 trades combined should not be more than 5% of your account as they're all a single trade idea.

👉Your risk to reward ratio should be at least 2:1 risk to reward ratio for any given trade.
Do not commit more than 25% of your trade equity for any given market sector.

E.g, if you have a $100 trading account and you trade across different market sectors e.g crypto or fx or stocks, don't commit more than 25$ to just crypto cuz if anything should go wrong with the market sector like as it's happening now with crypto, you'll still have 75% of your total equity to trade with if you loose the 25%