Bitcoin Forum

Is 'Buy and Hold' the Best Bitcoin Investment Strategy?

You are basically believing that the price will increase infinitely by using that strategy, buying at all time high can be risky regardless of what people try to tell because no one knows when the next crash will come.

If that is the case, yes, for some if you do not know how to trade, you may want to buy in a lower price and just keep it for long term.

It means that one or the other day crash will occur? So according to it will be the end of Bitcoin. So if the people know that Bitcoin is risky investment scheme then why are taking such risks?

Strategy must be in accordance with the circumstances because all conditions must be in accordance with the circumstances, when appropriate circumstances then the results we get will be satisfactory. So there is no standard rule and it is a normal thing to do the selling and buying. Holding is one of the alternatives that must be done, when there is a chance then immediately make a decision. lest we make a decision late and we do not get anything.

It seems to me that the price will grow 5 more years. Now you can buy and hold BTC. Fear nothing.
But nothing can grow forever, remember this. Read about the cryptocurrency for a couple of years and you will understand when it will be necessary to withdraw money.
Good luck!

best for who?

there are lots of different strategies to trade bitcoin. some are even highly profitable when you think about it but that doesn't mean anyone who uses these strategies will make profit.

for example there are a lot of people who short bitcoin and some make a lot of profit from it since the drops are sometimes as big as -30%. but there are also a lot others who lose a lot of money (millions of dollar even) when they try it.

this strategy (HODL) is more suitable for those who are not traders, don't have time for it or don't understand it. they just buy bitcoin as a long term investment and wait on it for a rise.

Yes this is good strategy because if u don't know much about trading then it's best thing
you just buy and hold ,you make money automatic without any stress.
But my advice is buy as much as Ethereum coins. Ethereum has a lots of potential to give 3 to 4x profit in next 6 months.Good luck

In my opinion, buying and holdingbitcoin is not that effective anymore due to the reasons that its value is higher than usual unless bitcoin could double its value today. The reasons many investors became rich in buying and holding bitcoin is because that they bought bitcoin much earlier.

I think the buy and hold strategy only works for people who are not familiar or comfortable with trading as it is a less risky way to earn however, since the market may become unpredictable, doing such strategy may not always work in your favor. Also, the buy and hold method, as safe as it is, may only work if the odds are in your favor like the case last time for some people who forfot that they have bitcoins and years or just months later, they found out that their money tripled even without them doing nothing. If it works like that all the time, I might just give it a shot! 😉

It is one of the best strategy i think because those who have holded their bitcoin since the price was small has gained a big profit.

No, there is better "Buy few months after bubble bursts and sell it when it's bubble". Buy when there is not bubble. When there is, sell it. Trading is not investing. Think of Bitcoin and forex trading as pretty demanding and high-risk alternative of buying food cheap and selling it expensive.

I think thats the only strategy we are looking at to create a step by step wealth really. Im sure that there is no difference between what you are speaking and the swing trading that we do in the day trades with only addition of the time! Thats the thing which ultimately gives us more window for profiting from the buy entry point.

Just imagine yourself in 2011 when the price of bitcoin was ~350 USD and if you would have bought them at that rate then your investment could have turned out to be ~ 13,000 USD. Now tell me the reason why one won't choose the Buy and Hold strategy for the bitcoin (even with alt coins too).

yes, buy and hold is the way to go.
you may take some profit should you need the cash.
one can never time the market accurately so just let the value of your coins grow. sit back and relax.

And trade a part of them.

I can't say it's the best, what is the best for me couldn't be for you. I would say it's the safest strategy available. Some people mix the hold strategy with trading, others prefer to invest their BTCs on the internet to maximize the earnings and receive passive income. Each one of these activities have their risks, so you must be aware about them before trying to make extra profit. Probably you are a newbie, so just hold for now...

It's just like you buy gold in the form of bars, or antique objects, where you store, and wait for higher prices to sell them.

But sometimes, when the price has gone up and is sure to go up again, you will hesitate to sell it, because to buy it will also be distress one day, unless there is a significant price reduction, for example as rumors circulating about the government of a particular country [miners BTC most] will ban the mining. At that time BTC down quite a lot, but rose again.
When it comes down it's a good thing to buy again, but this is rare.

regards,
me

If you believe that the price will ultimately increase and you are happy to put your investment to one side for a few years then yes that would be suited to you, there are other things you can do with bitcoin and crypto investment wise but if you are looking to simply invest and spend little time then you are probably doing the right thing, just make sure you secure your wallet and do not lose it.

Yes, it is. buy and hold strategy worked for me. although it might not work for you or anyone else who buys now. it would be better if you bought altcoins as well bitcoin, this way you'd be safer and diversified.

Because it can go both ways.
In my opinion, it will always be depending on how people trust bitcoin as a commodity or store value. Once that someone says withdraw, everyone will sell and prices will crash. Of someone says hodl because it will rise up, many will invest and prices will be going down.
That is why many are taking risks, volaliy is unpredictable especially this past few weeks and today.

Yes because I do this strategy and that is the real reason why you are investing. We are always waiting for the price to rise up to get our profit even it took so long, and we are investing because there is a word called ROI.

While I see what you are saying, this same comment could have been made 3-4 months ago when bitcoin price was in the low thousands. A lot of people thought that would be close to the peak and it would be difficult to see returns like 50-100%. I'm not saying that bitcoin will or won't double in value again in the next 4 months, but what I'm saying is a lot of traditional trading strategies and trading norms do not hold true for bitcoin at the moment.

Well, one thing is for sure. No one who has held bitcoin for more than a month has lost money. Ever.

We should always put in our minds that the higher the risk, the higher the return. The basic investment rule. Well then bitcoin can be manage in other different techniques. But is it the best bitcoin investment strategy isbto buy and hold? For my opinion it is a yes. Because as what we all know, as of today. Bitcoins apprasing price is too high for trading, you buy and sell bitcoin. Rather than buying it at its lowest price and hold it. Its better to trade other cryptocurrencies while its price are affordable. Just like shares in a company, taking the risk is the best way of investing. Not knowing what bad or good will happen, the thing is its price will surely increase and you will gain with that.

It seems to me that the price will grow 5 more years. Now you can buy and hold BTC. Fear nothing.
But nothing can grow forever, remember this. Read about the cryptocurrency for a couple of years and you will understand when it will be necessary to withdraw money

I would say buying at the right price is more important rather than just buying recklessly irrespective of the market situation. When it comes to the wild market like Bitcoin, I would prefer systematic investment plan while buying that will help me to grab the opportunities in the normal as well as during the market dips. While holding, I do try to spend at least 50% and save/invest remaining part as I believe that movement is a growth.