Experts Recommend Long-Term Holding Strategy for BTC

Analysis shows that the annual returns of Bitcoin (BTC) are concentrated on a very few trading days. Since 2010, analysis of Bitcoin prices has revealed that missing key days during a bull market often results in annual returns turning into losses. Experts explain that a strategy of staying in the market longer is more advantageous than short-term trading. This year, Bitcoin has dropped about 9% since the beginning of the year, but if we exclude the five days with the highest returns, the loss rate increases to about 36%. Andre Dragosh, head of research at Bitwise Europe, stated that Bitcoin generates most of its performance on a handful of days, making it difficult to time market entry. He added that the probability of being in a loss state when holding Bitcoin for more than three years drops to below 1%. Adam Hims, head of Tesseract Group, mentioned instances where Bitcoin surged after a sharp decline, explaining that it is challenging to avoid downturns while capturing rebounds. Daily volatility is decreasing in the long term, and over the past four years, the highest daily increase during the year has reduced to 9-12%. Paul Howard, senior director at Wincent OTC desk, warned that liquidity issues could arise during large fund transactions.

This content is provided for general informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online promotions, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets. Crypto assets are highly volatile and may result in loss. The availability of WEEX services, products, and related events may vary by region. You are responsible for ensuring that your participation is in accordance with applicable local laws and regulations.