Seems there's a mistake in your first sentence because there's no way panic sellers should make sure they lose instead you should say if there is any panic selling ongoing then the seller should make sure he or she isn't in
lost. If the individual can take advantage of the market profitability then I don't see any issue with taking profit and rebuy when the market experience some corrections.

Although holding has always been the best strategy as it has less stress associated with it when comparison to trading and the profitability ratio is way above that of trading. There's 99% chance you would be profitable buying bitcoin now, good and sell back years later