To invest in the crypto world, first you need to master the jargon. Otherwise, listening to others chat can easily leave you confused and more vulnerable to being cut. Today, let's go through some commonly used terms in the crypto space.

**Position-Related**
What is a position? It’s the proportion of your invested funds relative to your total capital. Full position means putting all your money in at once, which carries the highest risk. Conversely, reducing your position means selling some coins; completely clearing your position means selling everything. Holding a heavy position in a certain coin indicates a strong bet, while a light position means a smaller stake. Building a position is your initial purchase, and adding to it is averaging up.

**Risk Control**
The two most critical strategies are take profit and stop loss. Take profit means cashing out immediately once your expected gains are reached—don’t be greedy. Stop loss involves cutting losses decisively once they reach a certain level to control damage. Many beginners stumble because they don’t understand these two tactics.

**Market Judgment**
In a bull market, prices rise steadily, and the outlook is positive; in a bear market, the opposite happens, with prices remaining low. Bullish (long) traders are optimistic and buy expecting appreciation. Bearish (short) traders expect prices to fall and sell, then buy back at a lower price.

**Price Fluctuations**
A rebound occurs when prices fall too quickly and then naturally bounce back for adjustment. Consolidation is sideways movement with small fluctuations. The most annoying is a slow decline—gradual sliding down, like a soft knife cutting meat. A plunge (waterfall) is truly frightening—a sharp, cliff-like drop in a short period.

**Trading Traps**
Getting trapped means buying in and then the price drops, locking you in. Missing the boat is the opposite—selling and then the price rises, watching your profits fly away. Both situations are common in crypto, and maintaining the right mindset is very important.