Suba said:

Simply put, we can find two types of investors: short-term and long-term. Although short-term investors are generally also long-term investors, long-term investors are not necessarily short-term investors. Short-term crypto investors or traders often need to be able to exploit and profit from price fluctuations that change every second. Therefore, traders also need analytical skills.

Long-term investments are free; investors simply need to hold them in a wallet for a long period of time. Crypto trading, on the other hand, incurs trading fees, which are charged on each transaction and are subject to income tax deductions.

So, whether short-term or long-term, each investor's risk profile must be tailored to their own advantages and disadvantages.

Click to expand...

Suba said:

Simply put, we can find two types of investors: short-term and long-term. Although short-term investors are generally also long-term investors, long-term investors are not necessarily short-term investors. Short-term crypto investors or traders often need to be able to exploit and profit from price fluctuations that change every second. Therefore, traders also need analytical skills.

Long-term investments are free; investors simply need to hold them in a wallet for a long period of time. Crypto trading, on the other hand, incurs trading fees, which are charged on each transaction and are subject to income tax deductions.

So, whether short-term or long-term, each investor's risk profile must be tailored to their own advantages and disadvantages.

Click to expand...

• Short-term is not just for experts: While it's true that short-term trading requires a lot of analytical skill and attention, many people get into it without fully understanding the risks. That's where things can get dangerous. The analytical skills you mentioned, like using technical indicators and understanding market sentiment, are crucial for success and risk management.
• Long-term isn't "free": You're right that long-term investors don't have to deal with constant trading fees. However, they do have to deal with the mental and emotional costs of riding out huge price swings. The "hodl" strategy (holding on for dear life) is simple in theory but can be very difficult in practice during a bear market.