Let's say my SL is 15% away from the current price. That absolutely does not mean I'm risking 15% of my trading capital.
Here's an example:  For a normal trade setup I want to risk 1% of my total account balance BUT my invalidation is 15% away from the current price.
What do I do?
I simply adjust my position size so if/when price hits the stop loss, I only lose 1% of my trading balance. That's it.
There's no need to overcomplicate things.

How do you deal with the volatility of crypto re invalidations?
I could have a 2x long Fartcoin at, say, 0.87
If filled, I’d expect a quick reversal and 10-20% rise
But a wick down to 0.80 wouldn’t surprise me
A SL below 0.8 is too much risk, though
Thoughts?

spock

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crazy how most people speak as if liquidation level = stop-loss
"it's only 2x leverage, should be fine!"