Crypto Exchange

Coinbase Stop Loss Strategy in 2023

cropped Jack

By Jack

Update on

Coinbase Stop Loss

Coinbase stop loss is a handy strategy that every crypto enthusiast should know. This article explains this strategy and how it has become useful for crypto investors.

Only on Coinbase Pro can you accomplish the feature of “Stop Loss.” For those of you who already have a Coinbase profile, no additional configuration cost or effort is required.

Switch to the Sell function on Coinbase pro and choose Stop. Set limits and a halt. But you should know that stopping loss has both positive and negative aspects.

Is It Possible to Set Stop Loss Coinbase?

Of course! However, you are supposed to have the Pro version of “Coinbase” to carry out this action. Don’t worry if Coinbase is the only cryptocurrency service you use.

Using the same login credentials you use for Coinbase, you will immediately begin using Coinbase Pro.

Simply navigate to Coinbase Pro using the same login credentials you use for Coinbase. Then, you can try the Coinbase Stop Loss feature.

PS: let’s figure out how to transfer from Trust Wallet to Coinbase.

What Does Coinbase Pro Stop Loss Mean?

Before we move forward, let’s learn what Coinbase Pro stop loss is. Assume that the market goes against you.

A stop-loss will ensure that you do not lose an excessive amount of the money you invested. It is true that the cryptocurrency market is exceptionally volatile.

In that case, we have found that using stop losses to limit our losses is very beneficial. Investing in cryptocurrencies is already risky enough.

Because of that, any actions that can be performed to mitigate losses and secure gains should be considered important.

Besides, if you wonder how to transfer from Coinbase to Trust Wallet, you should check out this guide.

An Example of Stop Loss

You place a stop-loss order at $1500 and purchase one Ethereum at the current price of $1800.

The next day, the cost of an Ethereum token falls to $1200. Because you had a stop loss set at $1500, instead of suffering a loss of $600, you lost $300 only. That is because Coinbase liquidated your ETH at that price and handed you $1500 in USDT.

This means that you reduced your loss from $600 to $300. Your withdrawal from Coinbase will be processed in USD or in whichever fiat currency you have selected for use.

Also, If you wonder, does Chainlink have competitors? Yes, the content here reveals the functionality of Chainlink, how it works, and Chainlink competitors for you in detail.

Are There Any Drawbacks To This Feature?

Continuing with the above-case scenario, let’s imagine that the price of Ethereum dropped below $1,500. And it is dropped for a short period before shooting up to $2,500.

This can happen in a couple of hours when you’re at work. You would be forced to keep your $1,500. On the other hand, another holder would be able to sit on the $2,500 worth of Ethereum.

You shouldn’t think this is weird because things like this do occur very frequently. It is nearly hard to time the market correctly.

Similarly, let’s imagine that Bitcoin’s price soared over $45,000 and climbed all the way up to $80,000. You would be stuck with your $45,000.

On the other hand, other holders will be happily sitting on $80,000 worth of bitcoin. For them, it would be a ride in a luxury car, but for you, it would be something cheaper.

Our opinion is that stopping loss is more effective than taking gains. That’s because the most important thing to remember about investing is to ensure you never lose.

Enabling the “Stop Loss” Feature in Coinbase

If you are a new user, you might be wondering how to enable stop-loss Coinbase. So, this section of our article explains that feature. Let’s go ahead and learn the process.

In addition, normally, you cannot view all your Coinbase transaction history, so if you want to learn how to download them, this guide is just for you.

Step 01:

Before everything else, you are supposed to buy a cryptocurrency of your choice and proceed. Only then will you be able to pick up a stop-loss feature.

So, to start this, you should log into your Coinbase Pro profile and purchase any coin you wish.

How to Buy Cryptocurrency on Coinbase?

If you are new to crypto and Coinbase, you may be wondering how to buy crypto through Coinbase. So, let’s go ahead and learn the process.

In this example, we will explain how to buy a fraction of a bitcoin. That’s because many of you might have heard of it. However, the process is not different when you purchase other coins.

  • Tap on the option called “Get Started.” You can see it on top of the screen.
  • Now, you will be able to see a range of crypto assets to purchase. As per this example, you should select “bitcoin.” However, you may even choose a different coin as per your preference.
  • Now, you should choose the amount. You should remember that you can purchase even fractions of cryptocurrency, so you don’t have to spend a fortune. You may even purchase cryptocurrency worth $5.
  • Now, tap on the option called “Preview Buy.”
  • Please note that Coinbase takes a small percentage of each transaction that takes place through the platform. For instance, approximately 99 cents will be taken off as their commission if you purchase $5 worth of bitcoin. For a transaction of $500, the charge will be around $7.34.
  • Then, you should tap on the option called “Buy Now.”

That’s basically it. You can start trading bitcoins with no problem at all. However, if you want to send bitcoins to someone, you should wait for eight days before that.

Now that you know the process of purchasing Bitcoins. Let’s proceed to Coinbase Pro stop loss.

Step 02:

Then, please go to the option called “Select Market.” Afterward, you should navigate to the trading pair (crypto) you intend to trade. You should do this if you already don’t have a trading pair.

Now, you can see the amount of cryptocurrency you own. You can see that next to the ticker of the crypto. For instance, it says ETH for Ethereum and BTC for Bitcoin.

Select Market
navigate to the trading pair (crypto)

Step 03:

Then, you should go to the left-hand side of the screen to see your “Order Form.” Beneath the Order Form, you are supposed to choose the option called “Sell” to proceed. Well, you shouldn’t fret, as this step doesn’t sell your cryptocurrency.

In fact, we explain how to set the conditions so you can prevent a loss. You can then select the option called “Stop.” It should be selected from options “Market, Limit, and Stop.”

Enabling the "Stop Loss" Feature in Coinbase
  • Many individuals tend to get confused at this stage. Interestingly, all these commands are located under the option “Sell.”
    • Stop price
    • Amount
    • And “Limit Price” are those options.

Stop Price

  • This is the price at which you are expecting to trigger the action of stopping the loss.  


  • This, in fact, is the amount of respective cryptocurrency you intend to sell. In fact, it will happen when the cryptocurrency’s value hits the predefined “stop-loss” mark. Well, the Limit Price is the extremely low price at which you intend to sell your crypto.

Limit Price

  • This value should be lower compared to the value of the “Stop Price.” That’s because the Coinbase platform might not have adequate time to get the order completed before something worse happens.

That’s exactly why we want to set the Limit Price at least around 0.5% lower than to Stop Price. That will guarantee that the respective crypto will sell once the “Stop Price” action is triggered.

Step 04:

Simply type in the “Stop Price” at which you want your cryptocurrency to sell itself automatically. For this instance, Bitcoin’s current price is approximately $29,700.

So, place a Stop Price function at $25,500 if Bitcoin’s price drops below $25k. We are taking this action because of a strong positive feeling.

We feel that if Bitcoin’s price breaks below the support level of $25,000, it will continue to plummet.


If the Stop Amount is hit, you will be prompted to input the quantity of the cryptocurrency you wish to sell inside the Amount field.

As an illustration, I will just include a very modest amount of Bitcoin here. Press the “Max” button if you would like to perform the Stop Loss function for all of your holdings.

The following step is to establish a Limit Price that’s 0.5 percent to 2 percent than the Stop Price. For the purpose of this demonstration, we will enter a value between $24,990 and $24225 for our Stop Price of $25,500.

Place Sell Order Example

Step 05:

Click the button labeled “Place Sell Order.” And, if the price of cryptocurrency decreases unexpectedly in the near future, you can grin.

That’s because you can see the rest of the world implode, and you should settle for what you have.

Be sure to pay attention to the market with good awareness. Then, search for potential purchasing opportunities in the event that your stop-loss order is triggered.

Place Sell Order


Q: What is the recommended approach to determine the stop price for a stop loss order on Coinbase?

A: When determining the stop price for a stop loss order, it is essential to consider both technical and fundamental analysis. Technical analysis involves studying price charts, support and resistance levels, and other indicators to identify potential stop levels. Fundamental analysis, on the other hand, examines the underlying factors driving the cryptocurrency’s price. By combining both approaches, traders can make more informed decisions when setting the stop price.

Q: How frequently should I review and adjust my stop loss orders on Coinbase?

A: It is recommended to regularly review and adjust your stop loss orders based on market conditions and your trading strategy. Markets can be highly dynamic, and what may be an appropriate stop loss level today may not be tomorrow. Stay updated with market trends and news to make informed adjustments to your stop loss orders when necessary.

Q: Can I use trailing stop orders to lock in profits while allowing for potential upside?

A: Yes, trailing stop orders can be an effective tool to secure profits while still allowing for potential upside. By setting a trailing stop percentage or dollar value, you can let your profits ride as long as the market moves in your favor. However, if the market reverses and reaches the trailing stop level, your stop loss order will trigger and protect your accumulated profits.

Q: Does Coinbase charge any additional fees for using stop loss orders?

A: Coinbase may charge fees for executing stop loss orders, depending on your trading volume and the specific order type used. It is recommended to review Coinbase’s fee structure and trading terms to understand the applicable fees for stop loss orders.

Q: Can I place stop loss orders on Coinbase’s mobile app?

A: Yes, Coinbase’s mobile app provides full functionality for placing stop loss orders. You can easily set up and manage your stop loss orders on the go, ensuring that your positions are protected even when you’re not at your computer.

Q: What are some best practices for implementing a successful stop loss strategy on Coinbase?

A: To implement a successful stop loss strategy on Coinbase, consider the following best practices:

  • Set realistic stop loss levels based on your risk tolerance and market analysis.
  • Regularly review and adjust your stop loss orders to align with changing market conditions.
  • Avoid setting stop loss levels too close to the current market price, as it may result in premature stop-outs.
  • Diversify your portfolio to minimize the impact of a single cryptocurrency’s price movement.
  • Keep emotions in check and stick to your predetermined stop loss strategy.


That’s basically about Coinbase stop loss. You can use this strategy to prevent experiencing huge losses.

As a novice trader, in particular, this feature is very handy for you as it safeguards your funds.

cropped Jack

Ten years of experience in information and computer technology. Passionate about electronic devices, smartphones, computers, and modern technology.

You May Also Like: