Risk management in crypto trading refers to identifying, assessing, and prioritizing risks associated with trading crypto assets and implementing strategies to mitigate or minimize those risks. It encompasses a range of techniques and practices aimed at protecting capital, preserving profits, and managing exposure to potential losses. Given the inherent volatility and uncertainty of the crypto market, failure to implement robust risk management strategies can lead to catastrophic consequences for traders. In fact, traders are vulnerable to significant losses, margin calls, and emotional stress without adequate risk management measures, undermining their long-term success and sustainability in the market. Moreover, effective risk management is not just about protecting against downside risk; it is also about seizing opportunities and maximizing returns within acceptable risk parameters. By carefully managing risk exposure and capital allocation, traders can optimize their risk-adjusted returns and achieve m…