Principles of the HODL Strategy:
Long-Term View: Ignore short-term price movements.
Emotional Discipline: Don't panic sell during market dips.
Belief in Fundamentals: Confidence that the project/crypto will succeed in the long run (e.g., Bitcoin, Ethereum, Memecoins).
HODL vs Active Trading:
Aspect HODL Strategy Active Trading
Time Commitment Low High
Risk Lower (if held long-term) Higher (due to frequent trades)
Skill Level Beginner-friendly Requires market knowledge
Goal Long-term gain Short-term profit