Daytrading vs Holding

[Lakai01]

No one is denying that day trading is highly profitable
-snip-

No, trading is fundamentally not profitable, certainly not for Jon Doe. In German-speaking countries, for example, there is an obligation for brokers to state how many of their customers lose money through their platforms. It is not uncommon for this to be well over 70%, so more than 2/3 of traders actually lose money.

Of course, trading CAN be very lucrative, but for the majority it is quite simply that they should rather keep their hands off it.

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[tulusikhlas]

depending on you feel confident and comfortable in HOLD or DAY?
Everyone has their own trading style. but if I can give advice then HOLD is the best way. You don't have to check market prices every day, you don't have to worry about panicking all the time. all you need to do when you become a HOLDER is to buy and store them for you to take at a later date.

[Issa56]

Seriously I really believe in holding but that those not mean that day trading is not also good. I just believe depending on the kind of pattern that works for you seriously you don't have to follow what people say you just have to do your research first and knows what works for you. I really believe sometimes I really believe trading might go side way so you don't have choice than to hold but to me I really prefer buying and holding a coin for a good profit in future.

[DoublerHunter]

depending on you feel confident and comfortable in HOLD or DAY?
Everyone has their own trading style. but if I can give advice then HOLD is the best way. You don't have to check market prices every day, you don't have to worry about panicking all the time. all you need to do when you become a HOLDER is to buy and store them for you to take at a later date.

^ No, that does not depend on what your confidant, you cant increase your potential profit if the market was drastically down and the market was in a bearish situation. I prefer to hold during the market down because even your strategy is scalping in trading will probably not work. Holding or trading are depend on the market situation, you can do trading when you see the market is in the bullish situation and hold when the market becomes in a bear position and probably that is the best choice at all.

[Lanatsa]

Depends on someones capacity because not all would really be having the same skill and knowledge on dealing off with the market which means it would really vary on each one.

Some people do choose on holding instead of making daytrades which is actually that true that this isn't something simple that everybody could really able to handle out.

You are the only ones who could really make judgement and find out for yourself if this kind of trading technique or path would really suit out your capability.

[Distinctin]

Depends on someones capacity because not all would really be having the same skill and knowledge on dealing off with the market which means it would really vary on each one.

Some people do choose on holding instead of making daytrades which is actually that true that this isn't something simple that everybody could really able to handle out.

You are the only ones who could really make judgement and find out for yourself if this kind of trading technique or path would really suit out your capability.

It is a matter of choice and some would just like to make themselves easy and holding seems to be appropriate for these kinds of people. Traders are risk-takers, however, not all had survived, and even in holding because of some reason, it was their choice either.

I do try trading and holding, but what I'd find out that I wasn't good at trading...maybe because of limited knowledge and skill as the biggest factors that could affect the result and I would not recommend this to the community if you just like me. Because when we do trading, be sure that we are fully back-up with knowledge, otherwise, everything will be gone.

[CryptopreneurBrainboss]

Day trading on this current situation is very stressful to be honest because market still unpredictable and most of the coin are still struggling.

The best traders are known during the bearish seasons I guess since the bullish seasons makes every trader look good. During that season, the sentiment in the air makes you feel you know what you're doing. Any project can give you massive gains in matter of hours or days but that's not so in the bearish season which is why we see less of traders in the season and more or hodlers holding believe there are greener days ahead.

No doubt hodling is the easiest to do especially if you're not convinced of yourself been able to outsmart the market in a period when everyone is on the panic. But if I were a trader then I best believe this bearish period is the best time to use in perfecting my technique and putting my prediction accuracy to the test.

[Kong Hey Pakboy]

This too being pitted agains each other is a bit nonsensical to me bbecause they have a different timeframe, daytrading is on the short-term side of things while hodling is on the long-term side so they don't really meet halfway and they are basically different. They are both good it just depends on what your goal is, if it's short or long term that is.

[ultrloa]

Depends on someones capacity because not all would really be having the same skill and knowledge on dealing off with the market which means it would really vary on each one.

Some people do choose on holding instead of making daytrades which is actually that true that this isn't something simple that everybody could really able to handle out.

You are the only ones who could really make judgement and find out for yourself if this kind of trading technique or path would really suit out your capability.

It is a matter of choice and some would just like to make themselves easy and holding seems to be appropriate for these kinds of people. Traders are risk-takers, however, not all had survived, and even in holding because of some reason, it was their choice either.

This is split between your personal choice and your financial capacity since you cannot do the long term hodl if they are short in budget thats why mostly traders at this side doesn't do any hodling and always grab the opportunity to short trades then try to make their capital even more bigger. But its really good to hold especially we are now experiencing some bad dumps and we can get a opportunity to buy again while the price is so cheap.

[Desmong]

Okay so people keep saying holding is more important and things like its better because if you hold, you pay less in taxes because of long term capital gains as oppose to short term which makes sense.


However, what if the crypto or stock increases like 50% or even double in a few days time or weeks time etc?  Yea so you are paying a lot in taxes if you trade... but if you wait for a year or longer, now you could have no gains or just 5% gain.  Whereas you trade for a few days and make 50%... sure you pay a lot in short term capital gains... but if after a year, the gain is only 5%, well you made more trading than holding.


Thoughts on this for trading whether crypto or stocks?  Doesn't it make a ton of sense to daytrade crypto since you could make a lot in roi where even if you daytrade, well paying the taxes in short term gains would earn you lot more money than holding it long term when the gains could be completely gone by then?  Or if there are gains, well you might get just a 5% gain and long term and pay long term capital gains... but if its short term and 50% or even double that... well the amount you keep after taxes is much more than that 5% long term gain?  Of course ideal situation is big percentage gain and long term gain but of course that is hard.

Why do people always interested in making profits not considering that the way it might be easier to make profits is also the same way to lose or even blow account. The op is only considering the profits that could be made when one trade without bothering about loses which is impossible as a trader.

Both trading and holding requires risks which the investor or trader have to put in consideration before attempting to enter the market. Trading is never easy and it requires a lot of efforts and studying of the previous and present market conditions in order to place a winning trades. Also investing just like holding a particular asset requires risks and patience for a longer period of time to make good profits sometimes.

[adzino]

The tax you are talking about varies from country to country. It's not the same everywhere. I have heard there are some countries where crypto isn't taxed at all. Again, there are countries where if you hold for a certain period of time, you don't have to pay any taxes.
Day trading requires skills, knowledge and a lot of work. You need to keep yourself updated with the market every moment. The risk over here is high. If you don't cut losses, you might end up losing a lot. But in case of holding, the risk is minimum as long as you can keep holding till you reach your profit goal. You just have to invest, hold and forget about it until you are ready to sell.

[SirLancelot]

I think it depends on everyone’s capability. The day trading you’re scared of doing, there are people who are doing and they will always choose it over HODL-ing. You are scared of the big taxes that will come from the short term profit, but these people are not afraid of it, because they can handle it by covering up. So, it’s totally different for everyone.For me, HODL is the key, and it’s what I have been relying on for long.

And also because I don’t have the time to be studying the market and being in front of my computer always. So you just have to stick with the method that’s working for you. Though it wouldn’t be bad to learn other things, because the more you learn, the more you grow.

[perryxi2]

Holding potential coins when the price is low is the best method for those who do not have the ability to trade on a daily basis, or do not have the skills. As for daily trading on the platforms, it requires you to have good analytical skills, along with reliable sources, so you can be successful.

[barbara44]

However, what if the crypto or stock increases like 50% or even double in a few days time or weeks time etc?  Yea so you are paying a lot in taxes if you trade... but if you wait for a year or longer, now you could have no gains or just 5% gain.  Whereas you trade for a few days and make 50%... sure you pay a lot in short term capital gains... but if after a year, the gain is only 5%, well you made more trading than holding.

Absolutely true but look this happens in pump and dump coins and you expect overall growth in good altcoins and Bitcoin of course. I mean if a coin jumps high and then comes down back, it is usually part of the pump or dump scheme or there is just a bull and bear run going on one after the other. Problem is that most of the traders will lose in trading while if they manage to just hold, they can at least guarantee small profits.

You can absolutely earn more in day-trading than holding but chances are that you won't sell at the peak every time and buy at the bottom which makes it hard for a regular trader to maintain consistency, whereas in holding you just don't have to stress all this.

Thoughts on this for trading whether crypto or stocks?

I think the better option for investing has to be stocks since you may hold for a long time and for day-trading cryptocurrencies are the best option because of the continuous fluctuations. But that, if you have appropriate knowledge because I have tried it multiple times and day-trading isn't as easy as it might sound.

[fullhdpixel]

depending on you feel confident and comfortable in HOLD or DAY?
Everyone has their own trading style. but if I can give advice then HOLD is the best way. You don't have to check market prices every day, you don't have to worry about panicking all the time. all you need to do when you become a HOLDER is to buy and store them for you to take at a later date.

Yeah, I agree still I have seen guys who are able to squeeze smaller amounts every now and then and they make more money than a HODLer would make. It requires skills and some basic knowledge of reading charts though.

 The only negative aspect of holding is that you do nothing and get too passive. I mean if you have an enormous amount of capital to block then maybe you can invest because indeed still BTC is one of the best investment options but not a small trader can afford to block big amounts and avoid being fazed by the price drops that happen every day. As someone who has a smaller capital, I have to agree with OP and others that trading is not a bad idea, you have to put efforts and time into your trading but it is well worth rather than blocking your money and doing nothing.

[Fredomago]

I think it depends on everyone’s capability. The day trading you’re scared of doing, there are people who are doing and they will always choose it over HODL-ing. You are scared of the big taxes that will come from the short term profit, but these people are not afraid of it, because they can handle it by covering up. So, it’s totally different for everyone.For me, HODL is the key, and it’s what I have been relying on for long.

And also because I don’t have the time to be studying the market and being in front of my computer always. So you just have to stick with the method that’s working for you. Though it wouldn’t be bad to learn other things, because the more you learn, the more you grow.

The market is wide and there are many traders and investors inside, there are people who are willing to gamble and take the risk in a short period of time, those who knows and understand what they are doing, they are willing to work it out and ride with the current trend, rinsing over the market trying to find the best asset to buy then sell when the value rises up even in a small profits.

Remember that short trade is also part of the system, there are experience traders who managed to create good system to keep gaining from this volatile industry.

[iv4n]

Trading is not for everyone! Trading requires some set of skills, you need to know what you are doing if you wish to be profitable in the long run!
Holding is for people who earn some cash and they wish to put part of it on a side... if you don't earn enough for your monthly needs, there's no way you can hold anything valuable on a side!

There is no special answer to this question that works for all! Simply many of us are in totally different situations, with different capabilities/skills/bankrolls/goals/... we are different! So searching for an answer that works for you is a must... research something, try it and practice it, learn about it and you will know what is what, and what is the best for you!

[Lordhermes]

Not every coin held is liable for good profit and so you have to perform due research on the coin to hodl, moreover, day trading requires studying of charts daily wich sometimes I don't think everyone loves that a lot, holding gives investors that free mind that no matter the time.

Remember that short trade is also part of the system, there are experience traders who managed to create good system to keep gaining from this volatile industry.

This is exactly for those that had experience in day trading, no matter the condition of the market, they still uses the opportunity to get as much gain as they want, I will advise every investor to consider the best option for them, if day trading is convenient for them, then that's better.,if holding is appropriate, consider that.

[OgNasty]

I read about a decade long study on brokerage accounts to determine who the best performing account managers were.  Granted I am not sure how legit the study was or even if it was real, but I believe it...  Anyway, the study showed how different types of investors fair against each other to determine who the best class of investor was...

In the study they found that the best performing brokerage accounts were as a group the accounts where the owners had passed away.  The second best performing group, those who had forgotten about their brokerage accounts.

Make no mistake, there are bad day traders and lucky day traders.  Good day traders don't exist.  Trying to be one is like sticking an ice cream cone to your forehead and trying to be a unicorn. 

[GeorgeJohn]

Not every coin held is liable for good profit and so you have to perform due research on the coin to hodl, moreover, day trading requires studying of charts daily wich sometimes I don't think everyone loves that a lot, holding gives investors that free mind that no matter the time.

Remember that short trade is also part of the system, there are experience traders who managed to create good system to keep gaining from this volatile industry.

This is exactly for those that had experience in day trading, no matter the condition of the market, they still uses the opportunity to get as much gain as they want, I will advise every investor to consider the best option for them, if day trading is convenient for them, then that's better.,if holding is appropriate, consider that.

Daytrading has no business with holding or investing in a particular coin. They'll have different aims and patterns in making profits in the market with different levels of risks which are involved. Trading a particular coin requires higher risks than when compared to holding which can generate profits after a longer period of time. Trading generate immediate profits likewise loses too.

Daytrading is the act of buying and selling of a particular asset in order to make profit. This type of trading involves entering into a market either buying or selling for couples of hours inorder to make a significant profit. Trades do not exceed a day interval.

Holding just like investing in a particular coin requires patience and time in order to make significant profit. This involves buying a coin be it Bitcoin or altcoin, and leaving it for long interval for it to appreciate before selling it back to the market to make a significant profit. The type of coin that is being hold determine the profit one will make from it. Some altcoins can give more than 1000% interest of initial capital.