I am curious how people here make the decision to stop trusting a system.
Many strategies do not fail immediately. They slowly degrade, spend long time in drawdown, or only work in very specific market conditions. On paper the metrics can still look acceptable, but trading it feels increasingly uncomfortable.
From your experience
what is the signal that makes you say this is no longer tradable
is it drawdown duration
change in volatility regime
execution slippage
or something more subjective like loss of confidence
I am especially interested in how people distinguish temporary underperformance from a broken edge.
Looking for real experiences rather than theoretical answers.
At what point do you decide a crypto strategy is not tradable anymore?
byu/Legitimate-Tailor672 inCryptoMarkets
Posted by Legitimate-Tailor672
2 Comments
For me it’s when the why breaks, not just the PnL. If market structure or volatility changes so the edge no longer makes sense, I pause. Drawdowns happen, broken logic is the red flag.
I just double down until I’m in profit lol. 100% works everytime