Part 3/9:
Despite the euphoric sentiment surrounding Bitcoin, Pinkert stressed the commonality of reversals after parabolic moves. He advised investors to watch for confirmation of highs and to protect against possible downturns, highlighting that as long as Bitcoin remains above $70K, potential growth remains viable.
The Importance of Risk Management
Discussions turned towards the psychological aspects of trading, with Pinkert acknowledging that most traders might not have direct experience with risk management regarding newer asset classes like Bitcoin. He detailed a systematic approach through the "Three Ps" of trading:
Probe - Investigate the market and entry points.
Partials - Take partial profits at strategic moments.