The problem with withdrawing funds after a day trading is that withdrawal fee is getting bigger. 0.001BTC is as big as a day profit when you only have very little capital to trade. With such fee, an investor with little capital would rather keep the funds on the exchange for the next opportunity that will come. If a trader really wants to keep the safest path while trading, its going to be best to just trade on DEX.
Trading a whole day for 0.001BTC in profit sounds like a waste of time, regardless of how poor or rich someone is. I can't imagine people actually stressing themselves out all day for such a negligible amount
This is like 8 dollars a day
Which produces over 200 dollars a month (then compounding kicks in). I for one wouldn't call that a negligible amount, at least not for the best (or worst) part of the world. Indeed, it depends on how much effort you put into this but if you make a dozen trades daily in a semi-automatic way to earn so much (for example, using a ping-pong or similar strategy), it is not something to sneeze at. In fact, it can be fun and entertaining, so it is not like you make it look (stressing yourself out all day)