What is stop loss in crypto?

What Is Stop Loss in Crypto?

A stop loss is an order that automatically sells (or closes a position) when the price falls to a level you set. For example, if you buy Bitcoin at Rs 50,00,000 and set a stop at Rs 48,00,000, the exchange will sell when price hits Rs 48,00,000 (or the next available price). It limits your loss if the market drops. In very volatile or illiquid markets, the actual fill can be worse than your stop price (slippage). Use stop losses to enforce discipline; do not move them further away when you are in loss.