Hypothesis: You are someone who accumulated Bitcoin when the price was $40,000.
Let's assume the high was $126,000 and the low was $60,000.
As a holder, you considered either holding and forgetting about it or trading the 4 year cycle.
Realistically and objectively, it's impossible to sell at exactly $126,000 and then buy back at $60,000, 50% cheaper.
Let's say you sold everything at $100,000 and now, during the drop, you bought back at $70,000. the difference is very small. When Bitcoin is at 500,000, it won't matter whether you bought it at 100,000 or 70,000.
Is it worth it? The possibility of selling and missing out while the price rises, the added stress, the fees for entering and exiting the market, and paying taxes to sell at $100,000 and buy back at $70,000?
Because nobody sells at the exact maximum and buys back at the exact bottom.
I clearly see that the ideal strategy is to hold, saving you commissions, taxes, stress, and on top of that, ensuring you don't miss out on the market when it goes up.
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