Why do we favor trading #future over holding?
To be more precise, it is short-term trading
As for Hodl, it is essentially still trading, just on a 3-month, 12-month, 1-year, several-year or sometimes a lifetime (and still not sold since the purchase date, I have been involved in that type a lot, the experience is generally very long-lasting)
Being a hodler will be simple if you have a stable source of income and every month after spending lavishly, you still have a lot of money left over and don't know what to do with it
But if you are not too rich and go hodl, you will have to face a few situations:
- when the token price drops too low compared to the price you bought before but you don't have the budget to buy more, leading to the path back to shore not being close
- when there is an emergency need for money, you have to sell some goods while the price is falling
- sometimes hodl for too long and forget how to access the asset again or get hacked / the exchange collapses / etc. (this is a daily meal)
Those are just a few risks, and N is a whole other category
Hodl can be a big win, xx … but it can also mean never seeing the mainland again
In a personal context, we have more than one business activity
If we take the budget from business profits to hodl tokens, there is only a certain limit
Because the cash flow for business activities must be reinvested and rotated regularly
Trading to have more budget for hodl activities will reduce risks. Moreover, whether in a downtrend or uptrend, trading can still generate cash flow (if winning)