The trigger
A stop condition watches a venue-defined reference price. Reaching it activates an instruction; it is not itself a completed trade.
Stryx Learn / controls
Stop-loss vs trailing stop in crypto
Both controls can submit an exit instruction after a price condition is met. They differ in how that condition is maintained, and neither guarantees the trigger price, the fill price or protection from loss.
Trigger versus execution
The fill
The resulting order must still reach the venue and find liquidity. Its eventual fill can differ from the trigger because of spread, slippage, delay or order type.
Fixed stop-loss and trailing stop
Fixed stop-loss
A fixed stop keeps a chosen trigger unless the user replaces or cancels it. It can cap intended downside from a reference entry, but fast markets can execute beyond that level.
Trailing stop
A trailing stop recalculates its trigger as a favorable reference price moves, using a configured distance. It can follow favorable movement, but it does not lock in profit and can trigger during ordinary volatility.
Worked comparison
Suppose a long position is entered at $100. A fixed stop configured at $92 continues to trigger at $92. A trailing stop configured 8% below a supported reference begins near $92; if that reference rises to $120, the maintained trigger may rise near $110.40. If price gaps from $112 to $106, the trailing condition can activate but the available fill may be around $106 or worse. Exact trigger rules, reference prices and order handling depend on the venue and selected workflow.
Why protection can fail
Gaps and volatility
Price can cross a trigger without trading at it. Sharp reversals can also activate a close before a longer trend resumes.
Liquidity and rejection
Thin books can worsen execution. Balance, precision, minimum-size or venue rules can partially fill or reject an order.
Runtime or venue downtime
Client-managed or delegated workflows can depend on a running service, fresh data, authorization and venue access. A venue-native instruction has different dependencies, but remains subject to venue availability and execution rules.
Choosing and monitoring a control
Match the control to the intent
Use a fixed level when the invalidation price should remain stable. Consider a trailing distance when the intended exit should move with favorable prices and the supported workflow exposes that control.
Reconcile live state
Confirm the instruction exists at the venue or in the applicable runtime, review its reference and size, and compare it with the current position. A control can reduce intended loss without eliminating market, liquidity or execution risk.