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HODLometer – was it better to HODL or trade?

34 pointsby mkrnalmost 7 years ago

8 comments

crazygringoalmost 7 years ago
Sure it shows the algorithm beats a hold strategy in 8&#x2F;10 instances...<p>...but the &quot;hodlometer.com&quot; domain was registered 3 days ago.<p>It&#x27;s trivial to develop an algorithm by cherry-picking parameters that will give any desired results for historical data.<p>But there&#x27;s vast research on how it&#x27;s impossible to predict&#x2F;beat the market like this in reality [1], and this site is obviously designed to prey on the uneducated and naive.<p>[1] For a good intro, see chapter 5 of &quot;A Random Walk Down Wall Street&quot; which talks about &quot;technical analysis&quot;, which is exactly what HODLometer is doing -- <a href="https:&#x2F;&#x2F;www.amazon.com&#x2F;gp&#x2F;product&#x2F;0393352242" rel="nofollow">https:&#x2F;&#x2F;www.amazon.com&#x2F;gp&#x2F;product&#x2F;0393352242</a>
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davidmurdochalmost 7 years ago
I don&#x27;t understand. I know what [hf]odl mean. Can anyone tell me what these charts and conclusions are trying to communicate here?<p>edit: I mistakenly assumed the HN would the understand the regex of &quot;[hf]odl&quot; was just a clever way of saying hodl&#x2F;fodl. No need for more comments explaining those terms.
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fanzhangalmost 7 years ago
The philosophy behind HODL is that you need to hold for 5-10 years plus in order for the strategy to work. The 1-year timespan in the graphs on the site are way too short.<p>If you want to cherry pick a point to &quot;disprove&quot; HODL, just look at the fact that in November 2013 Bitcoin traded at an eye-watering $950+, and then for 2.5 years beat a steady retreat to $400.<p>At this point, bitcoin can taper down to $3K in value till 2020 and we would not have seen anything new in terms of relative price movement over a fix timespan.<p>For those who have watched bitcoin for a while, 2018 is just 2014 all over again, except this time a lot more people are paying attention.
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paulsutteralmost 7 years ago
Taxes would kill any benefits of trading. Plus, never believe random backtesting you see on the Internet.
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thisisitalmost 7 years ago
&gt; FODL is selling your Bitcoin for a <i>stablecoin such as USDT (Tether) or TUSD</i><p>USDT? I don&#x27;t think that is a good advice. Maybe a better one will be to sell BTC in exchange for a HODL coin instead?
AviationAtomalmost 7 years ago
So if everyone follows this guidance then it would more or less work like a pump and dump?
dannywalmost 7 years ago
Would love more details on how the algorithm works, and your thought process behind it (e.g. what other indicators you&#x27;ve looked at, why). You don&#x27;t have to disclose your secret sauce, but it would give me a lot more trust.<p>Backtested returns are not reliable.
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foldablealmost 7 years ago
IOTA is too unpredictable for this algorithm