It does feel bad and exploitable to fold, but if not folding really is better, I don't think it's by much.

At the stakes I play at, I'd rather miss value here and there than have to play 1000+ extra hands to recover a lost buy-in. You can call me a risk averse weak tight nit all you want, because that's how I play, but there is a rationale behind it. I consciously choose a low variance style, probably sacrificing some winrate in the process, for bankroll management and volume reasons.