A crypto exit strategy is a predefined plan for when and how to sell your crypto assets to secure profits, minimize losses, or rebalance your portfolio. It can include setting profit targets, using stop-loss orders, scaling out at key price levels, or exiting based on market conditions. A solid exit plan helps remove emotion from trading and protects gains during volatile swings.
Example:
A trader sets an exit strategy to sell 25% of their Bitcoin holdings at $70K, another 25% at $80K, and the rest if it hits $90K, locking in profits at each level.