A Loss is a decrease in capital, typically from investment.
Loss in finance and investing means a decrease in the value of an investment. In the context of cryptocurrencies, a loss occurs when a cryptocurrency part is sold for a price that is lower than the price at which it was bought. This could happen due to a wide variety of factors, including market volatility, a bearish market trend, or simply a bad investment decision. It's crucial for investors to be aware of their risk tolerance levels and to implement risk management strategies to minimize potential losses.
If a trader bought a Bitcoin for $50,000 and sold it for $40,000, they would incur a loss of $10,000.