According to historical price performance data, holding Bitcoin for the long term has proven to be a profitable endeavor, with hodlers experiencing gains on 88.50% of the asset’s trading days. Out of Bitcoin’s 4,593 days as a tradable asset, just 11.56% were unprofitable for long-term holders. This reinforces the narrative that a hard limit on total supply and seamless global usability are essential to making Bitcoin a store of value.
Understanding Bitcoin’s market cycles is also important, as it can help investors avoid buying the tops and selling the dips. While some traders prefer making daily trades on crypto exchanges for small but consistent profits, others fall into different categories of investment mindsets, including maximalists, hodlers, fomoers, and traders.
The revelation emphasizes the importance of knowing which type of investor you are to determine the best investment strategy. However, with General Bytes’ recent discovery of a security vulnerability that allowed attackers to access users’ hot wallets and gain sensitive information, investors should also prioritize securing their cryptocurrency assets.
