That's not always the case and depending on how long you'll be hodling [long-term/short-term] and the time you'll be cashing out, results may vary.
- IMO, hodling is the safest option but that doesn't automatically equate to having more profits.
Thank you. You are correct and I understand your points.- IMO, hodling is the safest option but that doesn't automatically equate to having more profits.
If you buy Bitcoin, and hold it from 2017 to 2020 or 2020, you get profit.
For the most part, you're right but if someone purchased BTCitcoin in Dec of 2017 and sold everything [after hodling for a few years] on the period I highlighted in 2020, then he/she would be selling those at a loss.I only simplified fact about holding, long term holding. In general, it is better than trading but trading or holding, difference between buy and sell price makes profit or loss. Time decides profit and loss.
I cannot say that holding is the best way, or trading is the best way.
Because everybody has our own conditions and decided to take profits. Trading may best in someone, but not for another. And vice versa about holding.
In different market, hodling and trading will be the better at different market. With bull market, hodling is best but if in days or hours the market is crashing, trading is best. You can trade many times with good profit and with Spot trading. Usually, price does not change 3% to 5% easily in a day, but in crash day, it happens many times. You can get 30% profit in crash day by do 10 trades with 3% of profit for each trade.Because everybody has our own conditions and decided to take profits. Trading may best in someone, but not for another. And vice versa about holding.
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Both trading and investing have their own risks.
It's true. Each person has to choose one in between, trading or hodling.