Growing up, I learned exclusively in charedi institutions, including eight years in yeshivah gedolah. Now that I have moved into academic Torah study, I am fascinated by the differences between the charedi/ yeshivish/ traditionalist approach to Torah and the academic/ rationalist approach. I do not feel that one or the other is better in absolute terms - rather, each has its advantages and disadvantages. The academic/ rationalist approach is superior in terms of ascertaining the historical reality of what is actually going on in the Chumash/ Nach/ Talmud/ Midrash/ Rishonim. But the charedi/ yeshivish/ traditionalist approach is generally superior in terms of imparting religious devotion. Of course, in some cases, and for some people, the charedi approach is a major turn-off from Judaism. But in general, it is a more inspirational and motivational approach.
This dichotomy is unavoidable. Reaching truth requires intellectual honesty and objectivity; this requires a detached, critical analysis, which harms the reverential experience required for religious inspiration. Whereas those who devote themselves to Torah study with passion often end up unable to evaluate matters objectively.
Which is ultimately more important - reaching historical truth, or attaining religious inspiration and growth? I certainly don't feel qualified to answer that question.