Is holding Bitcoin harder financially or psychologically?

[leonair]

merry Christmas and Happy new year in advance my fellow Bitcointalk's.

Please I will like to hear some opinions from members of this community on this debate, especially from those members who have held Bitcoin for at least two to three cycle. Today myself and three of guys were just having some argument until this particular question  was asked by one of guy, if holding Bitcoin is harder financially or psychologically? And Frankly speaking I and my friend haven't held Bitcoin for one cycle, we are just new to the space. Although many people often say just hold, but in reality holding Bitcoin through volatility is not easy. As we all know people loose money because: they sell in panic during crashes, they overthink short term price action, and finally they loose conviction when narratives change.
So now here is the question, is investing in bitcoin harder because of lack of money or lack of emotional discipline?
And if you have been through a full cycle, what was your biggest psychological challenge?

We spend money in different ways and what we do is we keep money in banks or some financial institutions for the long term but in the case of Bitcoin, if we invest money and hold it, we will get much better profit from it than from any other place. However, we fail to hold Bitcoin for a long time because psychologically we cannot hold it and panic works in us. Financially, I think no one is incapable of holding Bitcoin. It is being unable to control one's own psychological issues. Those who can control their psychological factors can hold Bitcoin for a long time without being very financially strong.

[Cookdata]

There is an emotional stress that comes with holding Bitcoin, it's more like a phase that every holder once pass against. If yibcan master it and be able to handle it, you will care less about Bitcoin price and if the market is going down after a dump.  The first one is always hard, the second one is first one is small and the last one becomes a part of you anytime there is volatility in the market.

Psychology, you will have Bitcoin on your mind if you are holding Bitcoin but this isn't a big deal like that. I have observed that been a holder that brought coin from all time high that does have this and worry about it. There is nobody that panic and worry about Bitcoin market like someone that bought Bitcoin at the top, they can think of market the whole time to make it go backup again, this is holders psychology are affected.

The both doesn't have anything to do with a holder that has dedicated everything about Bitcoin growth. Most often, short term holders of Bitcoin are more disturb about these two than an old person that don't care about what Bitcoin is doing at that time.

[serjent05]

So now here is the question, is investing in bitcoin harder because of lack of money or lack of emotional discipline?
And if you have been through a full cycle, what was your biggest psychological challenge?

It is harder if one lacks money.  No matter how tough one's discipline is, if the situation needs a huge amount of money and there is no option to borrow, then the holder will definitely sell his Bitcoin.  This kind of scenario makes the holder have no options but to sell his holdings.  Unlike a lack of emotional discipline, which has an option.  Remember, in this scenario, there is no need for an emergency fund but the holder just wanted to sell his holdings.  This scenario has options unlike the one that needs an emergency fund and lacks it.

[UVUcoinBull]

It's difficult to keep it while it crossing next and next levels...
but it's nothing compare to BAYC or MAYC when they hits new ATHs records...
It was crazy time.

[red4slash]

Many people always say “buying and selling is easy because the difficult thing is hodl” and this condition really happens and those of us who are in investment for the long term will feel the same way.
Psychological impact is very strong here but when we cannot control it from the start then the longer the worry will always occur so we as much as possible must continue to trust the existing process.

Everything to achieve a good goal will not be easy as well as bitcoin, so this is a process that we must realize from the start to achieve good results.
This is why strong hands are always viewed more highly than those who only seek to secure temporary gains from their investments.

It would be naive to not worry about corrections and reductions in the value of our portfolios but it may pay off for the better especially when you yourself have experienced a cycle before it should not be an excessive panic to feel.

[Maslate]

If you are struggling financially, investing and holding bitcoin will gain no chance, and if ever you managed to buy a small amount, you can't expect to hold it longer successfully since you are certainly in need of money, thus selling it after short term holding may always be the common scenario.

Emotions are stable if financial state is secured, but holding bitcoin under financial circumstances may also turn your emotions unstable and unmanageable.

[freedomgo]

When finances are at risk, the psychological aspect eventually gets affected too. So I would say its both. That is why if you decide to invest in bitcoin, use your extra money, an amount that you can afford to lose. That way, your own savings or emergency funds will not be compromised.

Same goes for holding bitcoin. It takes long stretch of patience, but you can't be patient if your funds are in negative position. Secure a positive amount of funds first, before trying to venture and enter the risky nature of bitcoin investment and hodling.

[Alphakilo]

Holding Bitcoin for long term entails a huge psychological commitment that supercedes the finance one has to invest regularly, because there are so many thought processes involved and even with the abundance of cash flow, the thought of losing a wallet or forgetting a key phrase or getting hacked will always linger.
The worst is having a broker to invest in Bitcoin on our behalf because it would always distract our attention and make us wonder if our funds are safe many of the times.

Even though the financial struggle is real, still the mindset to stay disciplined and employ the right risk management practices will make an investor standout in a crowd of financially capable investors, but with a negative psychology.

[sleepfirefly]

If you are struggling financially, investing and holding bitcoin will gain no chance, and if ever you managed to buy a small amount, you can't expect to hold it longer successfully since you are certainly in need of money, thus selling it after short term holding may always be the common scenario.

Emotions are stable if financial state is secured, but holding bitcoin under financial circumstances may also turn your emotions unstable and unmanageable.

one can say that being financially stable leads to being mentally stable as well and vice versa and one can’t exist without the other we can try but it will be a huge ask and it requires conscious effort

[GUORY00]

Holding Bitcoin for long term entails a huge psychological commitment that supercedes the finance one has to invest regularly, because there are so many thought processes involved and even with the abundance of cash flow, the thought of losing a wallet or forgetting a key phrase or getting hacked will always linger.
The worst is having a broker to invest in Bitcoin on our behalf because it would always distract our attention and make us wonder if our funds are safe many of the times.

Even though the financial struggle is real, still the mindset to stay disciplined and employ the right risk management practices will make an investor standout in a crowd of financially capable investors, but with a negative psychology.

A negative psychology will definitely lead to panic selling at the worst time, i have seen people with millions of dollars sell at the bottom just because they couldnt sleep at night

[MusicLand]

I think the financial part is harder for us newbies because we dont have extra cash to buy the dips when things get scary

[fuguebtc]

We spend money in different ways and what we do is we keep money in banks or some financial institutions for the long term but in the case of Bitcoin, if we invest money and hold it, we will get much better profit from it than from any other place. However, we fail to hold Bitcoin for a long time because psychologically we cannot hold it and panic works in us. Financially, I think no one is incapable of holding Bitcoin. It is being unable to control one's own psychological issues. Those who can control their psychological factors can hold Bitcoin for a long time without being very financially strong.

However, financial situation has a significant impact on our mindset.If you have a good income and stable finances, you will certainly feel more comfortable spending money. Conversely, if you don't have a good income and your finances are unstable, you will feel insecure every time you spend money. Therefore, in my opinion, financial factors have a significant influence on our decision to hold Bitcoin.

Like institutions or large investors, why are they able to buy bitcoin at high prices and hold it for years without being overly concerned about the market? Not only are they experienced investors, but they also have substantial capital. That gives them a much more stable mindset compared to retail investors.

[Tinubu]

I think it's way harder psychologically to hold Bitcoin...the money part ain't really that hard tho...you might only consider the fact that there are other things you could've just done with your money..

But based on the psychological aspect,it can be very hard....as you watch your money fluctuate in price (via Bitcoin's volatility)...and people might also talk.. because they might think you made the wrong choice at the moment..and that can lead to you being mentally unstable (until you sell)..

So i don't think the hard part isn't having the money to buy Bitcoin...but rather, staying calm (psychologically) while you own it....

[God Of Thunder]

So i don't think the hard part isn't having the money to buy Bitcoin...but rather, staying calm (psychologically) while you own it....

Yep, and that is possible when you become a crypto veteran. I think I started panicking every time the crypto market fluctuated. However, since I began to familiarize myself with market movements, I came to understand that it is a standard occurrence, and I should not panic. I sold crypto at a loss multiple times due to panic. However, I then started to hold tight, and I am still holding some altcoins that lost 95% of their value. Imagine what kind of holder I would become that I lost everything in value, but I haven't sold a penny since then. Yeah, psychologically, it is hard to hold your crypto. But you will learn that eventually, once you become mature.

[MusaMohamed]

Yep, and that is possible when you become a crypto veteran. I think I started panicking every time the crypto market fluctuated. However, since I began to familiarize myself with market movements, I came to understand that it is a standard occurrence, and I should not panic. I sold crypto at a loss multiple times due to panic. However, I then started to hold tight, and I am still holding some altcoins that lost 95% of their value. Imagine what kind of holder I would become that I lost everything in value, but I haven't sold a penny since then. Yeah, psychologically, it is hard to hold your crypto. But you will learn that eventually, once you become mature.

Everyone join this cryptocurrency market has to touch altcoins somehow and some times as altcoins have their great attraction to newbies in this market. Who don't love money and don't like very promising high ROIs from altcoins and that's main reasons people fell to altcoins.

With time, money spent in the market into Bitcoin and altcoins, people will get different ROIs from Bitcoin and altcoin holdings, then they will self-learn facts about Bitcoin and altcoins. They will realize that Bitcoin is safer for their money, and it also brings better ROI than altcoins that mostly bring negative ROIs and severe losses for altcoin holders.

[Rustam Meraj]

To most individuals, Bitcoin is more difficult to hold than to own. Money will only decide how much you can buy, but it is feelings that decide whether you can continue holding. Most individuals do not fail because they do not have money but because they are unable to deal with fear, boredom and doubt when prices are falling or changing slowly.
Crashes cause panic, long sideways markets cause annoyance and rallies cause greed. It is also more difficult due to social pressure since when Bitcoin is down people attack you and when it is up people call you lucky. New investors are advised to invest only what they can emotionally manage, ignore short term price changes, understand reason why they own Bitcoin, and accept price swings. So, it is money that will get you into Bitcoin but it is discipline and patience that will help you to hold on.

[AprilioMP]

So now here is the question, is investing in bitcoin harder because of lack of money or lack of emotional discipline?
And if you have been through a full cycle, what was your biggest psychological challenge?

The main obstacle lies in the level of financial stability between needs and desires for investment. Financial difficulties will affect any investment. If finances become a serious obstacle to investment, change the term investment to saving. If you can set aside $200 from your fixed income each month, that $200 is earmarked for buying Bitcoin. Assume that every month you save $200 in Bitcoin, and when the time comes, you will enjoy the results. Even being able to sustain this for five years will make you feel as though five years is a very short time to endure.