Hodl approach for a long time will become a great strategy to make profit without taking the risk. Not every time hodl approach will help you to make profit but most of the times it will help you to generate profit.
Some think its a guaranteed thing but sadly its not, like you mentioned the hODL approach will help you most times to generate a steady and good profit.
Well for me it is a good thing to prevent the loss in your money. It will not increase your money while you are holding but if a lot of people will do hodl approach the supply will become limited. Due to this the price will begin to rise/pump again.
Hodl approach is the best way to keep your money when the market is at bad state.