Hi muncuss, apologies if my long explanation made it sound confusing. I was trying to advocate precisely what you've said i.e. diversification with a smart mathematically proven plan. One can reduce the risks associated with a volatile market by building a diverse portfolio that invests a set amount at regular intervals like monthly or weekly rather than trying to predict the best low or high or the best time to enter the market. As far as the compound interest I was referring to the effects of growth compounding as seen with stocks (neither do stocks generate interest!) and using the same strategy.

@preshpr1nce & @Curiosity7 thank you.

This is why managing your time of hold is far more important than just holding on for the ride, for example:

$5000 in, coin goes up 2x, you cash out you now have $10,000, reinvest this, coin goes up 2x you now have $20,000, you are more likely to get 2x twice in a year than you are 4x over a whole year just holding for 12 months.

Sure you could get unlucky, sell for 2x then 1 month later it's up 3-4x, but it's a bit optimistic to hope something will just keep on going up, also how quickly they go up gives an idea too, 100% in a week is viewed a lot different compared to 100% in 2 months for me, the quicker it goes up, the quicker it comes down.

It's better to compound multiple growths over and over than to just hold for 1 large growth, safer in my eyes too.