Advertisement
This long-term, come-what-may approach to crypto investing can help tide you over market crashes. Learn more in the MoneySense Glossary.
HODL, which stands for “hold on for dear life,” is used in crypto investing to describe a long-term, never-sell approach to investing. Although the term possibly first emerged as a misspelling of “hold,” it has taken on a life of its own.
HODL particularly resonates in crypto investing because, during market crashes, crypto prices have fallen well over 80%. So, if you hold crypto coins—like bitcoin (BTC) or ether (ETH), for example—through dramatic declines of that magnitude, you’re said to be HODLing (holding on for dear life) in the hopes of an even more dramatic market recovery.
Example: “When the price of bitcoin fell from over $60,000 to under $20,000 during the crash of 2021–2022, many new crypto investors sold their coins in a panic. On the other hand, many experienced crypto investors continued to HODL their coins and wait for a market recovery.”
Also read
We’ve ranked the best crypto exchanges in Canada.
Newsletter
Share this article Share on Facebook Share on Twitter Share on Linkedin Share on Reddit Share on Email
Practical advice on how to build your retirement savings for employees at mid-career, the self-employed, single parents and more.
Canada’s inflation rate rose to 2% last month, up from 1.6% in September, but a December interest-rate cut is...
Find the best GIC rates in Canada. Plus, everything you need to know about how they work.
Which ETFs should you invest in? Which ones best suit your risk tolerance? What about personal ethics? Check out...
The Trump effect and Trumponomics, Shopify’s huge earnings beat, it’s sunny days for Suncor shareholders and more.
Here’s how to get your free ticket to attend two MoneyShow virtual expos.
The oilsands giant will return all excess cash to shareholders after hitting debt target early.
You started investing in your 20s, and you feel pretty good about doing it. But now what? Consider impact...
Shopify reports third-quarter net income of USD$828 million, and its executives aren’t concerned about how Trump’s election win will...
