#HODLTradingStrategy

The #HOLDTradingStrategy (or HODL Strategy as it is often written in the crypto world) is one of the simplest and most famous investment strategies in digital currencies, based on the principle:

Buy and Hold for the long term, regardless of market fluctuations. The word HODL is a misspelling of the word HOLD made by someone in a Bitcoin forum in 2013, which then became a common term referring to "holding the digital currency and not selling it even if its value temporarily decreases." The idea is to buy cryptocurrencies that you believe will grow in the future and hold them for a long time without trying to time the market.

The goal is to benefit from the significant price increase over time.

The target audience is investors who do not have the time or sufficient experience in day trading. Bitcoin is a living example:

In 2012: its price was < 10 dollars.

In 2021: it reached ~69,000 dollars.

Those who held it during this period made huge profits.

The market is very volatile:

Many investors lose when trying to time the market (buying and selling continuously).

HODLing outperforms active trading in many cases over the long term.