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#RECENT WITH DOUBTS TO INVEST HOLDING IS YOURS, WHAT IS IT? AND HOW DO I WIN?
WHAT IS HOLDING? Hodling refers to buying cryptocurrencies and holding them long-term, waiting to sell them when their price rises to make a profit. Although it is the simplest, most passive, and lowest-risk strategy, it does not mean that it is not profitable.
Why invest for the long term? Cryptocurrencies generally increase over time. Look at Bitcoin, which rises significantly every four years with each halving. There is a direct correlation between Bitcoin and altcoins, so patience is key.
As you gain more knowledge and experience, you can consider riskier strategies or combine them. The main goal is to obtain capital gains: buy low and sell high. If the price drops, you only lose if you sell; the idea is to hold on until it rises again.
WAYS TO HOLD There are several ways to do it. The simplest is to make a strong initial investment and wait (buy-and-hold). But there are more interesting strategies:
Dollar Cost Averaging (: Periodically buying similar amounts, regardless of the price. This allows you to average the overall cost.
Buy the dip ): Similar to the previous one, but you buy when the coin drops by a specific percentage, expecting its recovery.
These strategies are good, but if you are a beginner, you should be cautious and understand how far a coin can fall before buying, due to high volatility.
DISADVANTAGES OF DOLLAR-COST AVERAGING The possibility of buying with large discounts is reduced. In bull markets, you will have less profit than if you had bought everything at once. It also takes time to invest all your capital if it is substantial.
Hodling means to accumulate, regardless of the strategy you choose. The important thing is to keep your assets. We, humans, always want more and more.
If you are a beginner, start with the basics and gradually develop your knowledge to become a profitable trader.