What you should do depends on how much you lost. During a situation like this, you should only do one or the other: sell right now or wait a little bit and sell later. DO NOT turn it into a "long term investment" and keep your money in there for a long time, not knowing when or what price to sell, hoping the situation changes.
For a volatile asset like this, any thing over 15-20% is a big loss, meaning it will probably be better to sell and take the hit now rather than wait it out. Sometimes it's worth it to wait a few candles on a smaller time frame to see if it starts bouncing back. At that point, you could wait a little while and sell for a slightly smaller loss. (There is an interview in the Stock Market Wizards book [classic] that talks about this). If you wait, and the price drops further, just get out. Move on to the next trade.
Right now, it looks like it's bouncing back. I recommend to wait and see where it goes. You could use my stop loss line and sell out there for a safe play to prevent even more catastrophic losses.
See my next post for details about how I got back in and where I placed my stop loss.
Let me know if you have any other questions. :)
MuMPiTz
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@fortunex, First of, thanks a lot for the detailed respones, I'll go with your strategy! At this point, where would you recommend setting the stop loss order?
MuMPiTz
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@fortunex, ah I see you've given the answere in your new post: 0.00009035
thanks bro!
MuMPiTz
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@fortunex oh by the way, i forgot to ask, when do you suggest selling? Its recovering a little but you suggested not to turn into a long term investment at this point
fortunex
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@MuMPiTz, depends on your current position, what price did you buy in at?
MuMPiTz
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@fortunex, bought in while ago already when it was at 1.18$. I just have no trading skills and no experience so I wonder how far it will recover. What do you think?