I would guess that, there are some different sort of traders, and that is the difference. Some people might buy and try to sell within a few minutes, some people may buy and want to sell that same day, some people may want to buy and sell within a week of it, and some may buy and sell three months later. All of these are traders, just because you hold it for three months doesn't make you a long term holder, those are people who hold for years. This is why I think it's quite important to realize that we are going to deal with something that is different among the traders.
Stop loss used for short term traders that deal within a single day, and long term trader that deals within a month, may not be the same. Long term has a higher chance to keep it holding for a while longer, and I think short term one will not want that, and want a quick profit and if not get out, which is understandable thinking about the situation as well. This is why it's quite important to know what you are doing, sometimes it is not an easy thing to handle, and sometimes it's quite easy to do it all. We should consider how mistakes could even be different among each type of trader, and not the same among all of them.
Stop loss is good for long term too if you know how to use it, not for bitcoin maybe but for some other stuff. Like imagine if you were holding Luna for a long term investment, and you had stop loss at 50%, instead of losing 100% of your money, you end up losing just 50%, and that seems like a better situation if you ask me. That's why it can still be used, but the bigger mistake has always been getting too confident and not worrying about losses and trying to do more and more risky stuff.
People who do a few spot trading, will end up seeing their profits as a way of thinking they can make that even bigger, like go into leverage and all that, which causes a lot of trouble and I think it's honestly not a great way to do it, and I would suggest that people should avoid that all together.
The best thing to do would be just not have that kind of confidence and just think that you are going to slowly and gradually go up, not all together all at the same time. We should assume that it is going to be a very tough deal in the end. If you stop that confidence, but still invest heavily into big name coins, and do the things by the book, without getting cocky and making high leverage deals, you will gain slow by slow and get richer.