Why it is so important to HODL in crypto!?

[shaman11]

You have likely heard the term HODL thrown around quite a bit, but there really is some serious math to back that up in regards to cryptocurrency investing.
To start with, HODL originated as a misspelling of the word "hold" and it has stuck on pretty well ever since.

It most literally means to:

Hold
On
(for)
Dear
Life
HODL!

In regards to BTC, especially the way it has traded lately, I am sure many out there are wondering if they should just sell the coin and then buy back in when it is near the bottom.

It's a nice thought I know.

However, if you need any more convincing that you probably won't be able to time it correctly, take a look at this chart:


What does this mean exactly?
Basically that chart is saying that each year, on average, if you miss the 9 best days out of the year, you miss all of the gains.

Which means that if you are out of bitcoin waiting to get in, you may miss the 9 best days and miss the majority of the big moves up for the entire year.

Tom Lee, the creator of this model says exactly that:

“The reason ‘buy and hold’, or HODL, makes sense for Bitcoin is that a handful of days each year account for the bulk of gains for Bitcoin."

(Source: https://bitcoinist.com/market-strategist-tom-lee-hodl-bitcoin/)

There you have it, if you are scared right now, just HODL and hope everything turns out alright.

Source: https://bitcoinist.com/market-strategist-tom-lee-hodl-bitcoin/

[jason.romano]

Thank you so much for post. Firstly, I thought someone did a spelling mistaken. Then I saw a lot of people were using this term "HODL" in their post. I really got so confused. Anyway, I would like to say, as the price is in declining stage, holding coins would be the best solution. Afterall, a great risk brings big success

[aoluain]

If anyone cannot trade or read the markets and you believe in the future of BTC
the should hold. If you are good at trading and can read the markets you would
obviously sell at the high point and buy back again at the dip.

[peter0425]

You just need to read this to understand why HODLing is really that important in crypto: 

https://bitcointalk.org/index.php?topic=375643.0

Joking aside, history tell us that is really better to not sell and look at bitcoin investment for long term term. Just look at the early adopters, they didn't care if the coins went down as low as $50-$100 they just continue to hold on it and fast track December 2017 when the price sky rocketed to almost $20K. I'm sure most of the bagholders that time offload some of their stash and became crypto millionaires. So its really important to hold specially for the long haul to maximize your profits.

[PokerStein1]

Hodl is a good action but people need to avoid themself OVERHODL like me because i hodl too much my money was 15x or more and i did not take profit and it is 4x now and i stuck as a hodler waiting for new bull season. If you made good return you need to take some profit. Do not OVERHODL =)

[MakeMoneyBtc]

Exactly as the chart shows there is a limited period of time when the price rapidly increases and gets to new values and no one knows exactly when that period is. Thats why it is very important to just hold your bitcoins and hope that one day the price will start increasing and get you in profit. This scenario happened in the last few years and is likely to happen again this year even though the price is getting lower every day.Anyway you have only two choices and those are sell your bitcoins now and lose some money or risk and wait until the price is going to boom again.

[gesdan]

the price of crypto is not predictable, sometimes in one day the price can change very fast, its not like other trading, like stock and forex. the price is stable, its not like the crypto, you need to hold someday to get big profit, like now the price of bticoin is in the low, you need to hold more time before you sell the bitcoin

[Bervelukan]

It is perfectly true for now that we buy and hold the bitcoin we have to sell it at the peak price we want, and if you are not too much time better you install automatic selling.

[UnlimitedMoneymaker]

Hodl is a good action but people need to avoid themself OVERHODL like me because i hodl too much my money was 15x or more and i did not take profit and it is 4x now and i stuck as a hodler waiting for new bull season. If you made good return you need to take some profit. Do not OVERHODL =)

That's right, that's why it's very important to set specific goals. If you are not a trader and do not mark specific exit prices, then choose the time intervals that you yourself have outlined. For example, after the completion of an important stage of the project road map

[Bitcoinage_official]

Great point. Holding the coins that you believe in is critical to success in this market. However price falls should still be noted, as they may be a sign of some important information.

[shaman11]

the price of crypto is not predictable, sometimes in one day the price can change very fast, its not like other trading, like stock and forex. the price is stable, its not like the crypto, you need to hold someday to get big profit, like now the price of bticoin is in the low, you need to hold more time before you sell the bitcoin

Yes, you are right mate!

[-Sinner-]

The HODL lifestyle is ok just if you don't need money or if you are a really bad trader. But there is no sense to buy a coin and just hope, while you can easy trade this coin thousands of times and earn a lot more.

[NorrisK]

I have friends who tried to daytrade over the past years and they have made less ROI then I did by just HODLing.

If in doubt, this market seems to rewards HODLers in the long run. Yes, you may miss out on some profits, but it will be a lot less stressful in general.

[shaman11]

The HODL lifestyle is ok just if you don't need money or if you are a really bad trader. But there is no sense to buy a coin and just hope, while you can easy trade this coin thousands of times and earn a lot more.

But for trading you need to have a lot of knowledge, you cant do it with luck, but with HODL you must just wait its more eaiser!

[gobingo]

It's a good way, buying and holding for some time waiting to ride.

[TheGodson]

When you sell you don't have to sell everything. A lot of people will say "I sold my bitcoin" or "I'm back in" Why not leave some coins for hodling and other coins for trading/doing what you want with. I know when Bitcoin went up to 19k that it was way too fast and my networth was too high for me to be comfortable with it all being in Bitcoin. I ended up selling 10-15%ish at 18kish and I have no regrets about it.

[Thardz07]

Well, HODLers Keep the HODL in the dips and BUY. Bitcoin has reached the threshold. There might come a time that creation of Bitcoin will cease because Bitcoin mining companies might stop mining. Bitcoin owners might immediately have the value of their Bitcoins.

[MMS2017]

Crypto is the future of us and now it is important to me to hold because of the price is less now a days and i bough this at the higher price so it is not good to me to sell or use my coin for less than the actual value and through holding i can get good amount of margin in the profit. It is really good for me to use this crypto for future payments.

[Skizzewizzie]

If you wish to make the most profits and make a lot of money with bitcoin then buying and holding and waiting for higher prices is your best best.

[rommelzkie]

Nice chart. However there are some saying that past performance does not guarantee future results. Lets just see what will happen when 2018 ends. If bitcoin will reach new ATH or not.

Im hoping that bitcoin will reach the 15,000 price once again.