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Crypto Terms:  Letter B
Jul 07, 2023 |
updated: Apr 02, 2024

What is Bag-Holder?

Bag-Holder Meaning:
Bag-Holder - is often an investor who holds his bag of coins for an extended length of time despite the fact that the assets are performing badly.
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Let's find out Bag-Holder meaning, definition in crypto, what is Bag-Holder, and all other detailed facts.

A bag is a crypto slang that refers to a large number of specific coins held by one individual. There isn’t a specific amount though that makes coins a “bag”, however, it surely is above-average.

A bag-holder is usually an investor that keeps his bag of coins for a long period of time despite the market dropdown. Probably with hopes that their bag will have greater value in the future.

Bag-holders can even keep their assets if the price goes to absolute zero. They might not follow the market performance or lack interest and time to do that, even though their assets operate very badly. It’s a normal phenomenon that occurs in the crypto industry.

Furthermore, this method of hodling poorly performing assets can be referred to as the “disposition effect”.

The urban dictionary reveals that the term came from the Great Depression when people in soup lines had all of their possessions in potato bags. Now, it’s also used as an acronym for “Hold On for Dear Life.”

There have been several reports of significant growth in crypto investing among persons with no prior knowledge of this asset class. However, if their investment is little, they tend to lose interest. The same thing happened in the well-known cases where people bought Bitcoin a long time ago and then forgot about it.

Having no idea that they might’ve become millionaires.