I too have been doing the daily watering thing, however I have not done it differently, so can't comment on it being better or not. I do slack on watering my veggies daily, but they're tiny, so every couple of days is plenty even though they're in solo cups. Think in terms of scale when you see my micro hempy. It's top heavy, so I have to be really careful to not let it fall over, especially when it dries out. This has to be watered daily or it would die.
I would transplant to a one gallon bucket.