I've noticed that many beginners in crypto make the same mistake — they just buy a coin and wait for it to grow. Then they get stuck in a trade for weeks or even months. That's why it's important to understand that profit isn't just a desire to earn, but a specific profit target that you set before entering the position.



Profit is essentially your exit guideline. When you buy a coin, you should заранее calculate at what price you'll achieve the desired profit and exit the trade. It sounds simple, but this is what separates successful traders from those who just hold losses in hopes of a rebound.

How to calculate? The formula is straightforward. The target price equals the entry price multiplied by (1 + the desired profit percentage divided by 100). Don't worry — in practice, this is very quick.

Let's take a real example. Bought a coin at 1.000 USDT, want 0.5% profit. Target price = 1.000 × 1.005 = 1.005 USDT. Place a sell order and wait. Another example: entry at 0.328, need 0.6% profit. Calculation: 0.328 × 1.006 = 0.330. That's it.

But here's the catch — profit isn't just a number you pick out of thin air. There are practical limits. If you don't want to hang around in the coin, aim for 0.3–0.6%. For volatile assets, 0.7–1.0% is acceptable. Above 1.5% is already high risk of not reaching it, especially if the market isn't in the best shape.

Why is accuracy important? Because the exchange charges a fee. About 0.1% on entry and 0.1% on exit — totaling 0.2%. That means your profit should be at least more than 0.2%, otherwise you'll just cover the fees and break even. If you set a target of 0.5%, after fees, your net profit will be approximately 0.3%.

A common mistake among beginners is setting too small a profit, less than 0.2%, which is completely eaten up by fees. Or, on the other hand, setting it too high — waiting and waiting, but the price never reaches it, and you stay in the red for several days.

My advice: always calculate your profit before the trade. Don't guess — use the formula. It's better to make five trades of 0.5% each than one trade of 5% that you won't reach. Trading is math, not intuition. Discipline in calculations is what distinguishes steady income from gambling.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
Add a comment
Add a comment
No comments
  • Pin