#HODLTradingStrategy **Explanation of the HODL Strategy on Binance
"**HODL**" (a term that originated from a misspelling of "Hold") is a simple **long-term** investment strategy in the cryptocurrency market:
1. **Buying:** You purchase a certain asset (like Bitcoin or Ethereum) on the Binance platform.
2. **Holding:** You keep this asset in your Binance wallet (or a more secure external wallet) for a long period (years).
3. **Ignoring:** You completely ignore **short-term** price fluctuations (sharp declines or rapid rises) and panic-inducing market news.
4. **Selling (in the future):** You aim to sell it only after achieving significant long-term gains, based on your belief that its intrinsic value will increase.
**Hypothesis:** Confidence in the growth of the cryptocurrency's intrinsic value over time despite fluctuations.
**Key:** **Patience** and **emotional discipline** and not reacting to daily market fluctuations. It is the opposite of active trading.