Risk management is not one metric. It is a stack. If one layer fails, another should catch it. For crypto, the core stack should include liquidity depth, spread behavior, trend stability, and concentration in your own portfolio.
Liquidity is first because execution quality determines realized PnL. You can be directionally right and still lose if you trade into thin books. Use rolling liquidity snapshots and compare your expected order size to typical venue depth.
Next comes volatility regime. High volatility can create opportunity, but it also widens error bars on entries and stop placement. If a token shifts from orderly to chaotic conditions, strategy settings should adapt immediately.
Finally, portfolio-level risk matters more than token-level confidence. If your top positions all co-move, your downside is concentrated even when each trade looked reasonable on its own.