Never sell for a loss - is a Myth !!

[darewaller]

I think "Never sell for a loss" is a myth and we should always use a stop loss and play safe with a good risk to reward strategy.

In my opinion, it is not a myth but it is all depending on:
1. what asset you are dealing with
2. whether you are trading or investing.

When we are narrow downing, never selling will be possible when we are investing with bitcoins and it is a myth when you are trading bitcoin or any other cryptocurrency except bitcoins.

If you are holding bitcoins and if you happen to buy around ATH then you need to wait around 4 years to meet that you never need to sell for a loss. Hence, it will be possible with bitcoin investments to stay without selling our bitcoins for a loss if we are ready to hold for years.

[TheListener]

Yea never sell in loss it's a good statement because always market not dump we need to hold with patience if we stuck in dump it's a part of trading to liquidit to glitch people t
So hold with patience for great profit

[Shagnasty]

For me, I do not prefer a stop loss, but I also think selling with a loss is better than continuing to lose, I mean I do not use the stop loss button, but I monitor the coin if it continues to fall, I sell 50% and then buy back from the bottom, and so this process can be repeated with each Falling so that you eventually get a low loss rate by buying from the bottom and increasing the amount of coin you own

[Hobo66]

Actually it is a good idea to gain profit by selling at high price but if it is hard for you to make profit then just wait and hold your coin for long term it will absolutely give you more profit. But selling at low price is something consider as bad. If you have fear of losing money and the price get dip then its really good to just keep it and wait for the best time when the price become high then sell it.

[TheUltraElite]

But sometimes we takes wrong decisions and put a trade in wrong area. It means take a trade when there is no opportunity available for making profit. Then book some loss is a good decision my brother. Don't hesitate if you feel your trade goes wrong from your decision.

You would never make a wrong decision of buying if you would stay in bitcoin only and not a single altcoin. But most users will buy some altcoins too so the risk does increase for ending up with an asset that is worthless.

If you have done your background research and believe that the coin you own has no future, then do think about selling it at loss - just be strict about taking this decision, because in case the opposite happens you should not feel bad that you wasted it by selling it at a loss. Most altcoins that have been stagnant for several years now are worthless and safe to cast away.

Losses are there in spot trading but if you are buying safe and at the lower price, you have higher chances of profit and that is the point being made in the OP, dont sell at loss for such bought coins, specially not bitcoin.

[MIner1448]

I think your concept is very loose. After all, even look at bitcoin, which two weeks ago collapsed from 60 thousand dollars to 47 thousand dollars. Many who did not understand that it was the manipulation of the whales, consolidated their losses, thereby giving their hard-earned money to the same manipulators. And the experienced ones left their wallets without movement, because they know that after such manipulations, prices will soon go up.

[perla]

Yes the OP is right, many traders now doesn't follow the rule of the stop loss. When they see that the price is crashing what they are thinking is they can't accept the loss and hoping that it will comeback where in fact that's not how technical analysis works once the market shows sign of up and down trend it cannot be changed and stopping further damage and finding new opportunity to enter a position on the market.

[blockman]

I think your concept is very loose. After all, even look at bitcoin, which two weeks ago collapsed from 60 thousand dollars to 47 thousand dollars.

The lowest after it has hit the second all-time high was $45k IIRC.

Many who did not understand that it was the manipulation of the whales, consolidated their losses, thereby giving their hard-earned money to the same manipulators. And the experienced ones left their wallets without movement, because they know that after such manipulations, prices will soon go up.

It's always manipulation. Whenever there's a pump, we call it manipulation and so be it during the dumps. But if you study the market well and even you're not of a type of expert but you know what to do. You can take advantage of the wave and ride with it.

[Finestream]

I think your concept is very loose. After all, even look at bitcoin, which two weeks ago collapsed from 60 thousand dollars to 47 thousand dollars.

The lowest after it has hit the second all-time high was $45k IIRC.

Many who did not understand that it was the manipulation of the whales, consolidated their losses, thereby giving their hard-earned money to the same manipulators. And the experienced ones left their wallets without movement, because they know that after such manipulations, prices will soon go up.

It's always manipulation. Whenever there's a pump, we call it manipulation and so be it during the dumps. But if you study the market well and even you're not of a type of expert but you know what to do. You can take advantage of the wave and ride with it.

Weak hands are most likely end up losing in time of dumps as they resort into panic selling because they lack the patience to hold their coins. But for those who are used to experience dumps, i know they are confident enough that the market will always recover in time. So they never lose because they tend to hold most of their coins and just patiently wait for the market to be bullish again so they can sell and enjoy their profits. If this will always be the mindset of every investor, losing will not happen often.

[blockman]

Many who did not understand that it was the manipulation of the whales, consolidated their losses, thereby giving their hard-earned money to the same manipulators. And the experienced ones left their wallets without movement, because they know that after such manipulations, prices will soon go up.

It's always manipulation. Whenever there's a pump, we call it manipulation and so be it during the dumps. But if you study the market well and even you're not of a type of expert but you know what to do. You can take advantage of the wave and ride with it.

Weak hands are most likely end up losing in time of dumps as they resort into panic selling because they lack the patience to hold their coins. But for those who are used to experience dumps, i know they are confident enough that the market will always recover in time. So they never lose because they tend to hold most of their coins and just patiently wait for the market to be bullish again so they can sell and enjoy their profits. If this will always be the mindset of every investor, losing will not happen often.

Yeah, they really are likely to lose since they have a weak hands. They're likely to sell at the times that they panic and they won't acknowledge that the dump normally happens.
Those who has experienced, they won't be moved by a small dip or even a correction. Because there's always the plan that they have whenever the approach goes as expected or unexpected.

[K4C]

Absolutely right because according the situation of myth is that it's definitely go to the moon in few time so anyone how gain experience in crypto trading so they definitely cannot sell there myth in loss so anyone who hold myth and they are think they are in loss so cannot sell a token because the situation said that the myth is in few time gain a high position.

[Pasa32]

It depends on the time if you are holding for the long term then if it goes 50% down, you will have a chance to DCA. This holding is better than selling. But if you are a short term trader then never sell for a loss is not good choice. You must put stop loss.

[Dragonfund]

The context of never sell in loss is different from it actual meaning.
When they say never sell in loss is usually mean a long term holder should not panic and sell all his holding because he/she thinks market is falling, if the holder can patiently wait, the market will bounce back and superseded the entry price of the buyer.
The concept of stop-loss is for short term her and daily traders who always want to minimize their loss and maximize profits. They are the first who always sell off especially when there is maeket crash.

[Munir575]

Having a stop loss is standard practice when trading in any traditional market because the recovery may take some time. However, in the cryptocurrency market, the market can go either way and recover in a short period of time, so I never dare to put a stop loss; however, if you're aware that a major correction is underway, you can sell your coins and wait for something to happen.

[so98nn]

That’s because you are looking after the safe play strategy here. Its not profitable either if bot loosing any money. That is why stop loss is invented. You can keep doing trading in your sleep also if the market is open and in case of crypto currencies its 24*7 open market so it is much much needed instrument. With this strategy you can “save your losses” but you cant profit from this strategy if market is considered to be going down!! So its not myth at all. If you gonna be good holder then definitely it will profit in the bullish future.

[jossiel]

Having a stop loss is standard practice when trading in any traditional market because the recovery may take some time. However, in the cryptocurrency market, the market can go either way and recover in a short period of time, so I never dare to put a stop loss; however, if you're aware that a major correction is underway, you can sell your coins and wait for something to happen.

If you're an active trader, you do need to have a stop loss. You don't see what's about to happen in split seconds. If you're in spot or margin, having a stop loss is very important.

Specially, if you're into margin trading. Having no stop loss will make you loss all that you've got there as funded.

That's why for active traders, it's one of the important things to remember. But for holders and investors, this won't matter that much and we'll not sell at loss.

[Poker Player]

I have heard many people say that never sell for a loss but what does it actually mean ?

Assuming you have bought a coin at $10 and the price goes down to $9 but you don't sell.
You could have placed a stop loss at $9 but you take "Never sell at a loss" so seriously that you decide to not put a stop loss.
The price goes down to $8 but you are too good at HODL. Suddenly the market crashes and the price goes down to $5.
You could have limited your losses at $9 but now your portfolio is down by 50%.
Now the price has to go 100% so that you breakeven with no loss no profit whereas you could have bought back at $5 and gained potential profits using a stop loss.

That is not the worst-case scenario. The worst is when it goes to 0, which I don't think happens with Bitcoin, but with shitcoins and company shares it does happen. I go long term with Bitcoin and I don't sell, but there are situations when you have to consider it.

If you're an active trader, you do need to have a stop loss. You don't see what's about to happen in split seconds. If you're in spot or margin, having a stop loss is very important.

Specially, if you're into margin trading. Having no stop loss will make you loss all that you've got there as funded.

The problem with stop losses is that when there is a big market downturn they are useless and leveraged positions are cascaded and liquidated, as we are sick and tired of seeing.

[sklopan]

It is necessary to understand and soberly assess the situation that has developed in the market. Sometimes it's better to sell with minimal losses than to wait for something incomprehensible...

[virasisog]

That is not the worst-case scenario. The worst is when it goes to 0, which I don't think happens with Bitcoin, but with shitcoins and company shares, it does happen. I go long-term with Bitcoin and I don't sell, but there are situations when you have to consider it.

As long as you've invested in Bitcoin, holding will always be the best choice even when the market is crashing. Be bothered when you're holding a nonpotential coin and it's losing its value. Bitcoin will always be worth investing in the long term but in shitcoins, you have to grab the chance of selling once the price strikes high because most of the weak coins pump once and dump continuously until the project dies.

[stomachgrowls]

That is not the worst-case scenario. The worst is when it goes to 0, which I don't think happens with Bitcoin, but with shitcoins and company shares, it does happen. I go long-term with Bitcoin and I don't sell, but there are situations when you have to consider it.

As long as you've invested in Bitcoin, holding will always be the best choice even when the market is crashing. Be bothered when you're holding a nonpotential coin and it's losing its value. Bitcoin will always be worth investing in the long term but in shitcoins, you have to grab the chance of selling once the price strikes high because most of the weak coins pump once and dump continuously until the project dies.

We know that not all people would really be having that kind of level of patience on which they could really afford on waiting for too long before they would see the profits that they could make on their

investment which simply means that they would really be tending to deal with their investment on a short term manner which do implies on making short term kind of action which would really be needing nor getting involved those cut losses kind of acts or something in correlated.

Sell for a loss and its relevant for short term traders but if you do really go for long term then i dont really see for any problem yet it do really fits out
on anything specially if you do go for long term holds but we know that not all does have the same rule or style.