I will put out a part of the funds for long-term holding, and also use a part of the funds for contracts or leverage. Long-term holding is because you believe in the market. I still think that long-term holding is the most correct approach, but why should I take some speculation? If I hold the currency for a long time, I will become insensitive to the market. I will start not paying attention to the market, not paying attention to the market, not paying attention to the news, not paying attention to new products. This will make me regress, so I will do a good job of fund allocation, long-term holding can go to some DEFI products for financial management, speculators can exercise their sensitivity to the market, and keep pace with the market.
This is basically what keeps anyone going. I have seen people who do only long term investment and that's good, but they end up basically putting it there and forgetting about it and not even checking up what is going on in crypto world, I could ask them what the price of bitcoin is today and they may not end up knowing it. Is this really bad? Not really, if it works for them then it is a good way to make a profit out of crypto world.
However I like crypto way too much to stop checking it out, so what did I do? Most of my investment is in btc-eth-bnb and for very long term, I am not trading them or selling them, I have 2-3 other smaller coins that I invest long term as well but in very small amounts. Whatever is left after those investments goes straight into risky stuff, defi, trading, leverages (rarely) and everything else, even got myself an NFT once.