Altcoin investing vs Altcoin trading

[rkp13]

Do you trade altcoins regularly or buy and hold them? Which is more profitable?

buying and holding is best idea. I want to share my story here.

I bought bunch of Stratis in the start of this year at 6K - 7K Satoshi. Which would be around $0.06 to $0.07 . I was doing short term trade and sold all within week for 30% ROI. I though I am smart trader and generated very good profit. Looking back today after 5 months If I just hold it for few month I could have made 100X now.  Its biggest miss very hard to get another chance.

[1715165013]

1715165013

[Mr. R2712]

I hold and trade with the same coins.  Very risky but I make good profit, for example two days ago I had 60000 XVG, I made some day trades selling them and buying them back cheaper and now I have ~80000. I'm doing this with two other coins and I make 0.01-0.03 BTC / day, but also multiplying their numbers so when they will go up, I'll have more 

[ppc.pt]

Holding is much better because this is clearly an uptrend market, not sideways.

Also I find it very unlikely that you can make more money trading vs holding.

My favourite example is Litecoin. It went from around 4$ to around 20$ and never corrected to previous values. Not even close. Which means that if someone was trading at 4$ must have sold everything at around 5 or 6 ? They will never tell you...

On the other hand someone just holding a bag of Litecoins would have made an insane profit, I mean, still is.

Of corse some people do good trades, but I'd say 99,9% of the real winners are the long term holders.

Hope it helped

[Chase]

This maybe off topic but im just curious and also im new in to this. What is buy and hold? Is this the investing? So what  I do is buy and then hold and then how do you profit?

Buy and hold is a strategy in investing, this how it works Buy and invest while the price is low hold onto them until the price of the said alt coin will increase drastically then sell it to gain huge profit. Of course there is also a risk because not all alt coins tends to be successful. Not all alt coin increases its price so it is a risk. So better study the vision of the alt coin ask inquiry and go if you want to invest or not.

Ahh.. Thank you for the clarification So its like trading the only thing is its in longterm run.

An easy way to think of this is:    
Trading = income   Buy & Hold = investing

Buy and hold is a passive investment strategy, often used by people that don't have the time, desire, or skill to actively manage their holdings. It is usually associated with long term savings goals of 10 - 40 years (not 10 - 40 crypto days - lol). It works best if you choose quality investments, or in the case of cryptocurrency (risky), spending only what you can afford to lose on a particular coin because you believe they will be one of the few that will be here in 10 years.

Keep in mind that only 10% of all legitimate cryptocurrency projects are going to make it, so you may be better off waiting to see if they can deliver on their promises.

The profit in a buy and hold strategy comes in the form of long term, capital gain appreciation that is not taxed until you cash out. You are often taxed at a much better rate, and in some jurisdictions there is no income tax at all on capital gains.

[isen99ono]

I do both, because sometimes after buying an altcoin he is not directly at the pump up the price, so we have to hold him some time and wait for the right time to sell it, maybe I'm not a good trader but I prefer to do both.

[legendbtc]

I do both, because sometimes after buying an altcoin he is not directly at the pump up the price, so we have to hold him some time and wait for the right time to sell it, maybe I'm not a good trader but I prefer to do both.

Both are good but nothing is predictable how the situation works because both are some altcoin investing will take the time to list in the exchanges and whereas when we buy at one price to get profit we have to wait some time in order to make profits.

[Adbitco]

I think buying and holding and buying and selling both are part of trading. Personally, I hold potential coins which have comparatively huge number of supporters and have a team of good devs so I hold them for long term trading and there are other coins which don't stay in the market for a long time I buy them and whenever I see about 10% - 20% increase in their prices I sell them

[isen99ono]

I do both, because sometimes after buying an altcoin he is not directly at the pump up the price, so we have to hold him some time and wait for the right time to sell it, maybe I'm not a good trader but I prefer to do both.

Both are good but nothing is predictable how the situation works because both are some altcoin investing will take the time to list in the exchanges and whereas when we buy at one price to get profit we have to wait some time in order to make profits.

Yes I agree it will be hard to predict when an altcoin will be pumped, which in fact we have to hold it for some time and do not know how long to benefit from the altcoin we hold. We can only hope that the altcoin we run will be at the pump.

[ranman09]

This maybe off topic but im just curious and also im new in to this. What is buy and hold? Is this the investing? So what  I do is buy and then hold and then how do you profit?

Buy and hold is a strategy in investing, this how it works Buy and invest while the price is low hold onto them until the price of the said alt coin will increase drastically then sell it to gain huge profit. Of course there is also a risk because not all alt coins tends to be successful. Not all alt coin increases its price so it is a risk. So better study the vision of the alt coin ask inquiry and go if you want to invest or not.

Ahh.. Thank you for the clarification So its like trading the only thing is its in longterm run.

An easy way to think of this is:    
Trading = income   Buy & Hold = investing

Buy and hold is a passive investment strategy, often used by people that don't have the time, desire, or skill to actively manage their holdings. It is usually associated with long term savings goals of 10 - 40 years (not 10 - 40 crypto days - lol). It works best if you choose quality investments, or in the case of cryptocurrency (risky), spending only what you can afford to lose on a particular coin because you believe they will be one of the few that will be here in 10 years.

Keep in mind that only 10% of all legitimate cryptocurrency projects are going to make it, so you may be better off waiting to see if they can deliver on their promises.

The profit in a buy and hold strategy comes in the form of long term, capital gain appreciation that is not taxed until you cash out. You are often taxed at a much better rate, and in some jurisdictions there is no income tax at all on capital gains.

And this being said we can do both, invest a part we can acquire to lose and trade some to acompany you while waiting. Nice idea 

[finaleshot2016]

trading and investing of altcoins attempt to have profit in market but i highly prefer to invest altcoins. we all know the law of supply and demand and the time will come in when the value of altcoins will grow thus it is a full time job because it process goes fast. but investing is too risky, lets always expect that someday it will be a scam so dont hold it longer.

[adzino]

Do you trade altcoins regularly or buy and hold them? Which is more profitable?

Do trading if you want to make short profits in short time. Buy and hold coins if you want to make huge profit but will take longer time. Short time profit has lower risks than holding. If you hold huge amount of coins and price drops badly you will suffer big.
And try splitting your investments on different coins. Lower chances of huge loss.

[Dua]

I more prefer to trade and holding altcoins to make some profit everyday. Investing money on ICO or etc have big chance to get a loss.

[didzi]

Do you trade altcoins regularly or buy and hold them? Which is more profitable?

both are good,, make a research for some crypto, then make investments for longterm periode
and do daily trade with some technical analys to make a daily profit, but some times we need to cut loss, to buy on deeper price
i always do that,, 

[okbit]

I invest in coins that have a demonstrated longterm use case in the real world. And there are only a handful of those in my opinion. All the rest are just pump & dump. But if you are a nimble trader you can make alot of money trading those short term.

[TKeenan]

Most of the time it's really unpredictable. I've bought into a few altcoins and got burnt, pretty bad (basically lost everything on them, still hold them but they're worthless). I've also passed on a few projects (mainly because of getting burnt on those altcoins). One of them? Ethereum. Yeah, regret that but hindsight is 20/20 lol.

[V1saya]

Generally crypto market right now is looking bullish. Crypto market is still very low and will continue its uptrend with more and more people are getting enlightened. So I can say it will be better to look for coins with high potential based on their technology and platforms and consider holding it long term.

[kryptqnick]

Do you trade altcoins regularly or buy and hold them? Which is more profitable?

buying and holding is best idea. I want to share my story here.

I bought bunch of Stratis in the start of this year at 6K - 7K Satoshi. Which would be around $0.06 to $0.07 . I was doing short term trade and sold all within week for 30% ROI. I though I am smart trader and generated very good profit. Looking back today after 5 months If I just hold it for few month I could have made 100X now.  Its biggest miss very hard to get another chance.

Holding is more profitable if the coin is good and if you are keeping it safe. However, I'd say it is only potentially profitable at all whereas trading is more or less actually profitable. Why? If one invested in a coin and it keeps growing in price then all one sees is just numbers. Nobody withdraws when the currency's still going up. Now, the problem is that this person sort of earns the money, but, as he/she doesn't withdraw anything, this also leads to think that it is hard to call it earning. As for trading, I guess people do withdraw money regularly from time to time, for trading is like work.

[coolstory]

In long and middle term, altcoin investing. In short term, altcoin trading if you can really handle that.

[lofegs]

I prefer investing/hodling.

But sometimes it changes. If I see a good opportunity I can go for short term investing/trading.
But it all depends your flexibility, the targets and the people. There is lots of variations 

[bitbob82]

I more prefer to trade and holding altcoins to make some profit everyday. Investing money on ICO or etc have big chance to get a loss.

no one can predict both about trading or investment. you have to take the risky and i will suggest you to invest in altcoin, but need to do study first where you are going to invest you money, because there are so many coin which are dead and investing their mean just wasting money and time.