Crypto market is one of the most volatile market of the world where pump and dump is part and parcel of the market. Crypto trading is not a one way traffic. Some time you have to bear huge loss during trading.
One of the common issue of investor is getting panic when seeing the price of coin dip down. It is a fact that even an expert trader lose their money in crypto market. There is no need to panic if you are the guy who lose money in trading.
Panic can make you emotional decision. It is important to control your emotion in crypto market. Crypto market doesn't move with emotion. Some investors love to hold their coins. It is again not a wise move. Never lover your coin.
Although crypto investment is pretty risky but your little step will help to make your portfolio relatively safe. I am using the term relatively safe as nothing is safe practice in one of the most volatile market of the world.
You can reduce the risk by diversify your investment in multiple projects. In case if one project fail other may bear your loss. No matter how much project is valuable never invest in single project.
BTC is one of the most popular coin and investors first choice of investment but just imagine people who purchased BTC when it was trading around $68,800. Now the current price of BTC is trading $26,800. Almost coin is 61% down from its all time high worth. That's why it is important to diversify your porfolio.
Beside this you can reduce the risk by apply stop loss. This is a good technique which will make your investment relativey safe.
It is important to remember that expert trader may select the wrong coin. Commiting mistake is common. We can't elimiate mistakes in our decision making. Only thing we can do is to improve our knowledge, skill and get good lesson from each mistakes. It will help us in longer run.
Another mistake people do is not booking a profit. Booking Profit is as important as booking loss. There is no need to become greedy for your coins. Always try to book your profit. Profit is useless if you can't book in time.