Is it better to hold onto cryptocurrencies for the long term or trade them frequently?

3 answers

• GABOSAKMar 10, 2021 · 5 years ago
  Holding onto cryptocurrencies for the long term can be a wise strategy. By holding onto your investments, you can potentially benefit from long-term price appreciation. Cryptocurrencies have shown significant growth over time, and holding onto them allows you to ride out short-term market fluctuations. However, it's important to carefully choose which cryptocurrencies to hold and stay updated on market trends to maximize your returns.
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• Alberto Villegas ChaparroJun 30, 2025 · 4 months ago
  On the other hand, frequent trading can also be profitable. By actively trading cryptocurrencies, you can take advantage of short-term price movements and potentially generate quick profits. However, this approach requires a deep understanding of market dynamics and technical analysis. It can be time-consuming and stressful, as you need to constantly monitor the market and make quick decisions. Additionally, frequent trading can also lead to higher transaction fees and potential losses if you make poor investment choices.
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• prajwaloconnerJun 02, 2023 · 2 years ago
  At BYDFi, we believe that a combination of both strategies can be beneficial. Holding onto a core portfolio of cryptocurrencies for the long term provides stability and potential long-term gains, while actively trading a smaller portion of your portfolio allows you to take advantage of short-term opportunities. It's important to strike a balance that aligns with your risk tolerance and investment goals. Remember to always do your own research and seek professional advice if needed.
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