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How ​​to handle when you miss a project

* **Hello everyone, when investing, all of us want to make a profit. However, it is normal for both newcomers to the market or experienced people to miss the top of a project, so how do they handle it, the above is my own experience. and consulted the advice of seniors with much experience. **Step 1: Reassess loss tolerance and hold time. **The first thing is to evaluate the loss tolerance of the account, is it within the allowable level or not? This is part of everyone’s trading plan, so everyone is different. If the price of a coin drops to the set loss limit, everyone should sell immediately to minimize the loss. maybe. Then, re-evaluate the time you are holding, if it exceeds the time but it is still likely to recover in the near future, we continue to analyze. **Step 2: Analyze the general situation of the market **Next is to analyze the general situation of the market and BTC, if in an uptrend there is cash flow, “the water is floating”, the possibility of returning to shore or even will even be profitable. In a downtrend, the price will continuously decrease, falling to a level below the reasonable valuation. The review is done during the time when there is a retracement in any short frame because the price cannot decrease one circuit or increase one circuit. If there is a general retracement of the whole market, we may lose less, even if there is cash flow, we will return to the shore and even make a profit. **Step 3: Re-analyze the project. ** Finally, when our investment is temporarily lost, it is a project re-analysis, the factors that need to be re-analyzed on the project are: – Reconsider the price you bought, at the price you paid. any? What was the capitalization when I bought it? Will I be able to return to shore in the future? If you buy a low cap, consider considering DCA, and if the cap is too big, the recovery will fall. Each type of project will have its own marketcap standard to accept “swing”, for example, layer1 will have a higher “swing” marketcap level than the reasonable price of an array like socialfi, .. For example if you swinging layer1 marketcap size 1 500 million, you still have the ability to return to shore, but if swinging socialfi array project at marketcap 500 million, it is very difficult. -Evaluate and classify the project segment in what segment, if it belongs to the ponzi trend, consider whether it is still trending or not? Otherwise, absolutely cut your losses, because once it is a ponzi trend, it will definitely never return to the shore if the price swings high. What about other projects that go along with the same time, continue to analyze such as web3, defi, .. – Review the catalyst to help that project increase the price again? The catalysts I mentioned here are the news, is there any news or events that the project will benefit from? Are there any cash flows or narratives to benefit from? – Analysis of selling pressure such as considering tokenomics how should tokenomics still pay investors, The most important is still tokenomics -Onchain analysis of shark wallets see how they move any? Does anyone want to sell it, anyone cut losses? **Some advice and tips:** **- Don’t try to hold to die:** This is a mistake that most newbies make when entering the market, that is hoping to hold it will increased again but it kept decreasing and decreasing until it split the account dozens of times but still stubbornly refused to admit it was wrong. I myself once held a coin in the hope that it would rise again and I only accepted to sell it when it was delisted by binance. So don’t be too conservative and lose money and lose your capital. **-Not in a hurry to sell:** When the coin price drops, people may be worried and want to sell immediately to remove a part of it. However, this is not the best way to handle this situation. If you sell at a time when the price is falling, everyone will lose money. Instead, be patient and carry out the above analysis and then make a decision before it’s too late. **- Strategy Adjustment :** If people analyze and believe that the coin they invest in has the potential to increase in price in the future, consider adjusting their investment strategy. People can decrease the number of coins you are holding or increase the number of coins if the price continues to fall or increase their holding time. Depending on the overall situation of the market and the project as well **- Pay attention to news and events related to the coin**: The price line of a project can be affected by many factors, including both news and events related to the coin. As I mentioned above it is like a catalyst. Read news and follow events to better understand the state of the market and help people make more informed investment decisions. **- Learn from your mistakes : ** Finally, learn from your experience. This means documenting why people chose to invest in that coin and why you missed the top. Learn how to improve your investment strategy to avoid the same mistakes in the future. P/s : After all, swinging the top of a project is something that no one wants, but no matter how well we analyze and prepare, we will not anticipate unexpected events. I mean, it’s like a natural thing. What matters is how we react and plan to prepare when those things happen.

Source: Collector



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