Anyone in crypto space right now and who has been active will agree with me that one of the vital parts of what makes cryptocurrency trend and go viral is the fact that it volatile and this has made the whole blockchain interesting, I mean the fact that one can easily turn some penny into a huge amount of money within a short timeframe makes it attract people from all over the world aside from sending value.
While the volatile nature of crypto space remains attractive and lucrative, it still remains the nightmare to many and hence the need to always ensure safety from the what makes crypto tradable. In the bid to achieve the purpose of trying to grow one's asset without having to expose it to volatility risk, several risk control measures have been set up which include stop loss, but that is not 100% sure to guard users from the price fluctuations, and hence the need of savings and getting returns high amounts of APR and this mimics the bank savings with, but here with higher rewards, if a person saves $1m, he could end the year with a good sum by just holding his asset, while a trader could turn little amount to huge one, it could go at that same rate too, so which one would you prefer as a trader and why
Trading is good, but I prefer to hold because it is something I have always wanted to do. I know holding requires a lot of sacrifices, such as having multiple sources of income, setting aside emergency funds, and taking your eyes off your assets to allow them to grow more quickly, which I don't think I will have any issues with that. Both holding and trading are risky, but it all depends on the individual's financial status and experience. In my opinion, bitcoin should be used for holding and altcoins for trading. When you contemplate how investors benefit from holding bitcoin , it something you will love to imitate, but in trading, no matter how expert you are, trading will still prove you wrong because of its high level of risk. I always regard trading as a gamble.
I don't think I'll have mind for trading because it's something that is frustrating if you're not used to it, and I can't frustrate myself because I need urgent cash. One thing that I hate about trading is that you can be a millionaire today and tomorrow you'll be indigent, but in holding, I've never heard that scenario before because all you need is basic knowledge and it's something you have to do with your peace of mind and won't waste your time unless you're a newbie who is thinking of how to get rich quick.