Risk: High Volatility
Cryptocurrency trading risks are primarily associated with their high volatility. It’s not uncommon to witness price fluctuations of 50% to 100% for a low-cap altcoin in a single day during more volatile periods.
Measures to Reduce Risks : Implement a risk management strategy
Avoid leveraging positions.
Invest no more than 1% of your portfolio in a low-cap cryptocurrency.
Maintain stablecoins in your portfolio.