Before thinking of investing in any sector what one considers is how long you are willing to hold. Let's take the history down to how investment all began. Moving from the era of Real estate to stocks to metals to oil blocks and now digital assets we would agree those who made it big in all this investment options were those who had the patience to hold.
This kept me wondering why one would even think of investing if they don't have the patient to hold. If you can't develop the hold attitude then the best option is to do a physical business where you can monitor your profit and see them come in regularly. If it must be crypto then you must be willing to hold and wait
I agree with you. Aside from equipping yourself knowledge and skills necessary for investment, it is also needed to assess yourself how long you are planning to hold and wait for your funds to mature. It is really necessary to ask yourself this thing because it could define how would your investment run the moment you decided to dive into it. Some prefer to hold for the short term only as they have limited resources and have the time to manage and monitor their funds. These people who prefer this kind of short term investment have the skills needed in order for their money to cycle up in most possible ways. Some just like to have and receive their profit easily and then repeat the flow to generate income. This is a good thing especially if you have minimal starting capital. Buy and sell or trading for the short term could get your profit that you could use as an additional capital the next time and so on. Meanwhile, there are also people who want to invest for the long term. These people who prefer to hold for the long term are mostly established in life and have the resources they need in order for them to live and get by without the fund they invested. These people invested mostly are their spares and extra money that they want to grow and make profit in the long run instead of just having it and make it sleep inside the banks or their safety vaults. Both investors have their role in the economy and in the market. It's just really up to us how we want and who we want to be in terms of investing.
If you are in it for the short term, then you should definitely invest in knowledge first because trading is a tough task. Most especially if you will do it everyday. It could be tiring and burdensome because it requires a lot of critical thinking skills as well as technical analysis that could either make or break your trade. If you are in it for the long term, you don't have to worry much and just do your part to patiently hold and wait for the right time to withdraw and until you are already satisfied with your profit. You shouldn't be easily shaken by the sudden dips most especially if you know it to yourself that you invested in a good coin. To all types of investors out there, i hope all is well with you and may this year and the coming years will be prosperous to all of us. Let's always do our own research and invest what we can only afford to lose to avoid regrets later.