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Trader Eugene: Crypto investors should focus on drawdown control, and a drawdown of over 75% requires a reassessment of trading ability

ChainCatcher message, trader Eugene posted on social media, "Making money in the crypto market is one thing, but holding onto profits is another. When planning your exit strategy for this cycle, you should focus on minimizing the drawdown from historical highs after the market turns. For those who say they can consistently profit in both bull and bear markets, I can only wish you good luck ------ because that means you have to become one of the top 0.01% of traders in the world. Here are the indicators I use to measure investment performance ------ the percentage drawdown from the new net worth high:0-20%: Your defense is perfectly in place, but you may have overdone it at the cost of sacrificing too much upside potential;20-30%: You performed well. You were able to see the signals of market turn and exit in time, with minimal losses;30-50%: The performance is okay. While not the best, ideally you should have already made a decent profit;50-75%: You stayed too long and failed to identify the key turning point at the end of the cycle;75%: There is a serious problem at some point, and you need to comprehensively assess whether you are fit to continue trading.Interestingly, you will never know the true extent of the drawdown before the next cycle begins. But in any case, it's worth planning ahead."
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