I agree that price manipulation is obvious here and that it is more profitable than hodling.

But I do not agree that investing for a long is a bad idea.  Some people do not have time and skills for daytrading. These people have regular jobs. Their income is above average, because they are considering where to invest. They can choose promising coin(s), and come back after one year to see what has happened. If they made good choise bitcoin story will repeat and they leave much richer.