Trader Eugene: Crypto investors should pay attention to drawdown control, a drawdown of more than 75% requires a reassessment of trading capabilities

Trader Eugene posted on social media, "Making money in the crypto market is one thing, keeping the profits is another. When you plan your exit strategy for this cycle, strive to minimize the drawdown from historical highs after a market turn. For those who claim they can consistently profit in both bull and bear markets, I can only wish you good luck - because that means you have to be among the top 0.01% of traders worldwide. Here are my benchmarks for assessing investment performance - based on percentage drawdown from net worth highs:

0-20%: Your defense is perfectly in place, possibly at the expense of too much upside potential;
20-30%: You're doing well. Able to see signals of a market turn and withdraw timely without significant losses;
30-50%: Decent performance. Although not optimal, ideally you should have made decent profits;
50-75%: You stayed too long and failed to identify key turning points when the cycle ended;
Over 75%: There's a serious problem somewhere; you need to thoroughly assess whether it's suitable for you to continue trading.

Interestingly enough, before starting the next cycle, you'll never know what your actual drawdown will be like. But regardless, planning ahead is always worthwhile."