If you're new to crypto trading, many people often get confused about concepts like Entry, Stop Loss, or Take Profit. Today, I will explain these terms in the simplest way possible.

Entry is simply the point where you decide to buy or sell. If you enter at 50 USDT and close the position also at 50 USDT, that's break-even — no profit, no loss.

But the important thing is to know how to protect yourself. Stop Loss (SL) is the tool to minimize losses. When placing a buy order, the Stop Loss should be below the Entry, and when selling, it should be above the Entry. A tip is not to set the SL too close to the Entry because the market often fluctuates strongly, which can wipe out your order and then come back.

If Stop Loss is a way to protect against losses, then Take Profit (TP) is how you lock in profits when you're winning. What is TP in crypto? It’s the automatic level where your position is closed to secure profits. When buying, TP should be higher than Entry; when selling, it should be lower than Entry. Many veteran traders often set TP higher than SL relative to Entry, so winning trades can offset losing ones.

The great thing about pre-setting SL and TP is that it frees your mind. No need to constantly watch the screen, no stress waiting. You just need to set acceptable stop-loss and take-profit levels, usually around 0.5 – 1% of your account, which is safe.

However, there are risks. Sometimes, the market moves strongly, wipes out the SL, and then comes back. Or worse, you enter a good position, hit TP early, and the price continues to go further. But still, ignoring SL is extremely dangerous, especially in Futures trading — you can lose your entire account in an instant.

What I’ve learned is that earning small but consistently is always better. When you're ready to trade professionally, Take Profit and Stop Loss are two essential orders. They help save time, reduce psychological pressure, and most importantly, help you survive longer in this market. Understanding what TP in coin trading is and how to use it correctly is the first step to becoming a good trader.