Is SGOV a bad option for holding cash intended for high frequency cash inflows/outflows?

My cash inflows and outflows occur multiple times a week. I'm currently using SGOV to park my cash inflows due to its higher yield compared to FDLXX (Fidelity Treasury Only Money Market Mutual Fund, 7-day yield is 3.91%). However, my frequent buy/sell transactions in SGOV resulted in $1,000 of wash sale losses in 2024, preventing me from claiming these losses for tax purposes.

Considering my cash flow pattern and the resulting wash sale implications, would switching to FDLXX be more advantageous, despite its lower yield? I pick FDLXX because I live in a state with high income tax rate.

Are there other factors that might still make SGOV a better choice, even with the wash sale issues? I've considered a strategy of liquidating my SGOV holdings the day before the ex-dividend date (peak price) and repurchasing them the day after (lowest price).

Ultimately, I'm seeking advice on whether SGOV is a suitable option for managing cash with such high buy/sell frequency, given the complexities of wash sales. Any insights would be greatly appreciated 🙏.