We see alot of people holding on the the coins they invest in, either they are afraid to loose out on future gains, or waiting for a rainy day when they can cash out, does this not effect the market with so many coins not being traded, causing the fluctuated trade movements, with people mass selling when the market starts to fluctuate?
Nop, the holders coins doesn't affect the market, until they decide to sell... remember there is only a % of the coin on the exchanger, and that % is what gives the price, but if you want to buy all the btc then you will have tu bump the price to the moon with that small % of coins from the exchangers, in that moment holders will feel secure to sell because the price will be ridiculous .