The bull market is in full swing: how to trade safely and profitably

Risk Management: 5 Steps

1. Diversification of the portfolio. Spread your assets among Bitcoin, Ether, stablecoins, and other promising tokens. This will help reduce risks associated with the volatility of individual assets.
2. Avoiding excessive leverage. While this method can significantly increase profits, the risks also increase substantially. Do not count on an amount larger than you are prepared to lose.
3. Stop-loss ordersA stop-loss is an automatic trading order that allows investors to limit their potential losses if the price of an asset begins to decrease. By setting a stop-loss, traders set a specific price at which the asset will be automatically sold.. Setting automatic sales can help limit losses during sudden market downturns.
4. Rebalancing the portfolio. Regularly assess your assets and redistribute them to maintain the desired level of risk.
5. Partial profit-taking. Withdraw part of the profit to protect earnings while staying in the market if it continues to grow.

DYOR — The Best Tool

In a consistently growing market, it’s easy to get swept up in popular projects, but not all will live up to expectations. Conducting your own research (Do Your Own Research) is a must.

1. Research the team and technology: transparency, real use cases, and a roadmap are important markers of a strong project.
2. Check the tokenomics: pay attention to the utility of the token, distribution mechanisms, and issuance.
3. Evaluate the risks: even the most promising projects have their weaknesses.
4. Join the community: active and constructive community interaction indicates trust in the project.

Source: Binance