I would wait till price dips down low again and buy back in. You could easilly double your postion in BTC if you did that. But, that's only if it comes back down. Which, I really think it will. That's the best part about volatility
In order to double your postion at the time you buy back, it means that the price will have to go down with like 50%, and exactly that is something I don't see become reality. That's not a correction anymore, but a massive crash. Also, as you stated, the price will need to come down in order to buy back. If you sell too soon, you'll risk falling behind as the price will likely move up further. Buying back isn't as easy as it may seem. If you time it wrong, you'll end up in a big disappointment. In that regard, for the average person it's better to just keep holding.
I agree. The risk in losing some is higher than safely holding them without doing anything. If getting very rich in this is your target then it would be better to buy more Bitcoin if the price goes down.