Topic: Buy the DIP, and HODL! - page 119. (Read 122049 times)

Sometimes it is not buying at the right time or right price but DCA strategy was designed to reduce the impact of volatility and eliminate the fear of investing at the wrong price and people wouldn’t have to be worried about the market conditions. Also it was introduced to give everyone the opportunity to invest with the little amount they have and they won’t have to wait until they save up alot of money and if done at regular intervals they would be able to accumulate quite a lot of bitcoin in no time. This strategy is very good because it does not only reduces the risk associated with the investment it also reduces the risk of emotional distress.

This strategy has lots of benefits for investors and makes investing more easy and convenient for everyone.

Hahah.. very funny quote. I equally made some research to find out the place where the exact word was used by you @JJG, but I was able to see it from the link to this my quote. And it was not a direct reply to him but to @as soon as. and the second quote I didn't see. But as the case may be you have already answered the question to what he asked, but I just wan to draw the information closser to you to make it easy for you since you can't find it. And we are here to help each Oder solve problem. It's quit funny the way he quote I presume he doesn't know that much about quoting.

I see that @Justbillywitt is trying to make a point and somewhere along the line maybe he didn't land whe he ought to. And yea surely there are time when we feel we are saying what we think and yet we are not getting it right or may get it right but others see it in Another way. I think what he is trying to say is that DCA strategy is not easy as people think. But what make people think it simple is due to the small fraction they buy weekly and it's not affecting our discretion amount, and if bitcoin price dips we may still have some amount in our discretion to still buy more . But that doesn't mean that DCA strategy or investment strategy is easy.

But in my own opinion DCA may not be as easy as people think, but I know surely it's the easier way of investment compeard to lump sum or buying the dip that is why it is seen as the easier way and not the easiest. because surely most people can not still afford to invest through DCA because of there low source of income or the Level of their discretion. So I may say it's an easier way for investment for those who are willing to invest no matter how small, but may be difficult for those who are not ready or willing to Start.

DCA Strategy - Whether it goes up or down it shouldn't matter because we buy at the right time (weekly/monthly) if you think about market conditions this will usually hinder your DCA a little because you will always think the price will go down/up so this affects DCA which periodically becomes inconsistent. DCA is strageti by buying the average price.

Well I don't think about the market now even if it goes down due to the FUD spread by the media, it doesn't matter at all, the most important goal for the long term 5-10 years is our focus to stay consistent and how to overcome the obstacles in the long run.

DCA can be said to be easy compared to other strategy used in purchasing bitcoin, because DCA allows you to invest or buy bitcoin with amount at your comfort and manages risks (fluctuations). Many investors especially, newbies with long term perspectives align using DCA strategy to accummulate bitcoin because of its effectiveness, regardless of what bitcoin price may be either up or down, it saves you from the stress of monitoringthemarket and buying with chunk of your income. But DCA requires doing it consistent, dedicated and committed to actualized its effectiveness.

It's something that spread like a plague from those Twitter and other social media influencers, trying to inculcate in naive people that there are lines you can draw and ways to read charts that help you to time the market instead of emphasizing that time in the market is what really counts. I remember spending like a couple of weeks years ago following some of these chart gurus in order to see whether any of the crap they are spreading would materialize in the slightest. It didn't. But the dangerous thing is that it does sometimes sound extremely smart and sophisticated. But my take is that when you present someone with 10 different lines you can draw in those charts - lines that are named after some mathematician or so - one of them will hit for sure. Best example was when bitcoin had immense crashes. None of these gurus ever got those crashes right in terms of magnitude. Not even close.

That's why the thread title might be misleading the newcomers because they believe the most important precondition of getting into bitcoin is to identify the DIP first. But no, that would again be timing the market > time in the market, which in the case of bitcoin has proven utterly wrong till this date.

You're somehow beating around the bush and you're not making any difference in your assertion better than what @KeenanEl19 said. Generally, we all know that the reason why most people prefer the use of the DCA method is that it is Simple, convenient, effective, and also universal which means that both the rich and the poor can comfortably use that method.

That you can buy with as low as 5% to 10% of your income and it will still work well for you in the long run is the reason why people look at it as an easy method. If you even look at it from a broader point of view, regardless of how small or big your income is, the DCA method reduces the weight of investing too aggressively at a time and helps you to keep buying and you might not even notice you're Buying too much since for every time you buy, the amount that leaves your earning don't actually affect you that much and with time, you will observe that it's not almost part of your routine to spend that amount in buying Bitcoin.

Most newbies tend to have issues at the onset with using a big amount to buy Bitcoin when they do not know much about Bitcoin and you don't expect them to buy aggressively at that early stage even when the market is at a bear and any established investor would normally want to cease such moment, it's going to be easy for them if they are using the DCA method to keep buying with that small fraction of Their earnings until they've grown matured enough to take up some aggressive buys when the need arises.

One great way to make use of the DCA method most easily is to do something like this; let's say you're earning $500 a month and your monthly DCA amount is 10% of your earnings which is $50. The most practical thing to do is to conclude that you're only earning $450 and set all your spending plans to work comfortably with that $450. That way, it's easy for you to do a 5 to 10-year DCA and never feel a single disturbance along the way.

You are literally contradicting your own explanation. How about I tell you that I prefer to use the DCA strategy because it is easy to use?. At least, I don't have to monitor Bitcoin price for an entire 24 hours, to observe when there is a dip(for those who only buy the dip). Bitcoin investments, especially to those who are new to it, shouldn't be explained with too many terminologies and complexity, but rather as smooth and easy as possible. Just as you've pointed out, "the DCA method makes it easier for investors to buy Bitcoin", which depends on their financial capabilities (source of income). It's always a continuous process, that doesn't need too many grammer or math solving to explain.

I agree with what you said because however in this situation, we must be able to separate the concept of trading and investment because after all even though the scope is still the same in the bitcoin area but in the end these two things are clearly different and the concept will definitely be different in terms of treatment so that it cannot be put together between trading and investment.

The problem is that sometimes there are a lot of people who are indeed mixed up in understanding about investing and trading as if this is a similarity which in the end actually makes confusion for yourself.
Therefore, try from now on we should all try to determine our goals in bitcoin because in my opinion it will be more worth it if only one focus is the goal we want to achieve. If it is an investment then focus on investment and vice versa.

I want to correct one impression that you are making here that many people are utilizing the DCA method because it is easy to use. No that's not the case, rather many people are making use of DCA strategy because it is more effective way of investing in bitcoin as it reduces the impact on the capital invested should there be a sudden drop in the market. The DCA method makes the capital outlaw not to reduce drastically when there is a sudden decline in the bitcoin market. This is the more reason why many people are comfortable with using the DCA method of bitcoin investment, not because it is easy. Also the DCA method makes it easier for people to buy bitcoin at their own pace according to their financial level. The truth is there is no method of bitcoin investment that's difficult to use.

Points 1 and 2 actually contradict point 3 if we're talking about long-term investing with DCA as the preferred strategy.
Remember this is DCA and I don't think we have to see how the market conditions are when we have implemented DCA as a strategy that we want to do because after all we only have to buy periodically according to our predetermined ability without thinking too much about the current situation in the market.

In addition, we are also doing this for the long term so the market sentiment that occurs is only a temporary situation that occurs so it does not need to be thought too far because our goal is not short-term. It is not wrong to want to learn that because it can still be useful but this is only useful for you to trade and it is clearly against the long-term investment that wants to be done.

I don't see why there is any need to fuck around with reading charts.

Just figure out your own cashflow (and of course discretionary income) to be able to invest as aggressively as you are able to for one or two cycles or more until reaching some kind of a BTC accumulation target.  Of course there can be ways to learn along the way, but a lot of the learning likely relates to cashflow management rather than figuring out particulars about bitcoin price movements, but yeah sure maybe at some point a person starts to accumulate more and more bitcoin, so maybe strict DCA is not as important anymore, so it can be combined with buying the dip and lump sum investment, or surely if someone already comes to bitcoin with some lump sum investing and/or abilities to front load their BTC investment, then those kinds of folks will have differing options as compared to any newbies that might mostly be relying on DCA strategies to build their bitcoin investment over one or two cycles or more.


These are good points too, which largely is similar to my points in regards to the importance of focusing on personal financial management matters rather than getting distracted into questions about BTC prices, especially in the earliest years of building the BTC stack size.


First of all your chart is focusing on pretty short term BTC price dynamics, which are largely irrelevant - unless you are fucking around with trading.

In other words, I would not characterize the latest as necessarily a fast recovery since yeah, we had a pretty deep correction that ended up playing out around 11 days ago.. that  brought us from the mid-$60ks to around $53,500-ish.. but that decline had started a bit prior 11 days ago, and surely a decent number of BTC HODLers might have gotten shook out of their coins based on various market dynamics including proposals that Germany's dumbass supposed selling of coins and MTGOX release of coins and blah blah blah was going to continue to bring the BTC price down into to the $40ks or whatever might have been a buying price target, so in stead of buying BTC in the past week or two, dumb-assed weak hands and ill-informed folks were selling BTC rather than buying.. so yeah, sorry for your loss..  you dumb twats.. and your hope to buy back BTC lower (and you might never be satisfied), which surely we are seeing might not be within reasonable BTC price direction expectations.... but who knows?  Maybe you will get lucky if you continue to wait for the dip?  maybe? maybe not?

I am not claiming to know which way BTC prices are going, yet I am claiming that anyone who is new to bitcoin or even in bitcoin less than 4 years, should not be fucking around with short-term price predictions that may or may not come true, but instead focusing on accumulating bitcoin, unless they had already front-loaded their BTC investment sufficiently and adequately to already be prepared for UP, just in case such UP might end up happening sooner than expected...

And sure, the point is always to be prepared for up, and one of the best (if not the only) way to prepare for up is to not only have bitcoin but to have enough bitcoin.. .and ONLY you can figure out how much bitcoin is enough bitcoin, and one of the best (if not the best ways) to make sure that you have enough bitcoin is to buy it. buy it regularly, continuously and persistently.. especially if you are in the first cycle of your bitcoin journey, and selling bitcoin is not a good strategy towards making sure that you have enough bitcoin... #justsaying (or should I say, #justrepeating?)


You suck when it comes to quoting.

I found your first quote (so I fixed it to show it was from me). and I think that your second quote is from me too.. but it is not easy to figure out where that is and I hate wasting time trying to find from where you got it. 

yes.. attempting to trade BTC and trying to read charts is more difficult than figuring out various strategies to invest in BTC (and BTC accumulation strategies).  You can proclaim trading and reading charts is not complex, but if the end results are that you are not really advantaging yourself (and maybe you are losing money by trying to fuck around with trading), then why not suggest that it is complex rather than trying to imply that trading BTC might be something that newbies might want to consider as an alternative.. yeah, newbies can do whatever they like, including employing dumb strategies that involve trying to trade an investible asset, such as bitcoin.. that is not smart, but yeah, anyone can do it.

Well well well,your narrative is more of a Traders perspective, besides because price pump doesn't mean you project or attach emotions to that, this thread have being talking about long term view also DCAing which i believe you can't justify with just a pump, saying those who DCA at that price level are happy shows you trynna view it like they traded it from that price level.
DCAing is a continuous way of accumulating Bitcoin of which wether we accept or not results gonna be random.

Let Bitcoiners and Investors learn to move and accept the market not being emotionally attached because of a pump which relatively affect them when there is also a dump.

This thread of more of informative opinions with a long term view of the Market as we invest and not Price tracking or Trading narratives.

judging by their lack of review and 1K+ download on play store
I still can't really find what's special about it.
Can't even find it on Github.

I wouldn't say it's that complex
But just not really compulsory or necessary.
Just have the mindset that as you are buying under $100K you buying cheap
But don't forget there's nothing in this world that ain't associated with an element of risk.

Buying Bitcoin weekly is not a bad idea because buying weekly helps you achieve more Bitcoin, but as a newbie to Bitcoin investment you must use DCAing strategy and buy bitcoin efficiently every week.
However your points are scored 2/3 because as a newbie to Bitcoin investment you don't need the 3rd point or study any market or understand any thing from it, as long as you have known how to buy and send you shouldn't have any connections with the market at all unless you are a trader. As a newbie to Bitcoin investment, no need for you to price the important thing to do is make more money and keep on accumulating, if you continue to study the market, you can't understand it all because everyday price changes (if it doesn't go up it dips) so there is no need to keep an eye on Bitcoin price. Besides, a newbie to Bitcoin investment will be skeptical to buy Bitcoin ones he/she sees Bitcoin dipping not know that it's the best opportunity for him/her to continue buying.
The reason why I said a Bitcoin newbie needs to know how to buy and how to send is because when they buys from and exchange then need to send it to the wallet that they are using to hold their Bitcoin.

Source

Let's stop arguing for a moment, we see that bitcoin is back up to $63k it is a very fast price reversal by bitcoin after experiencing a price drop to below $55k.

Congratulations to some people who may do DCA at that price level will be very happy for you, yesterday was scared because it had a lot of market fud that affected bitcoin to decline, Holder is winner and DCA is always a very sharp sword to get prosperity with bitcoin.
Maybe it will be a DIP to reverse the bull market again.

I disagree with you on this last point of yours because for one to be able to know how to speculate and read charts is very complex for a newbie who plans to only buy bitcoin regularly with DCA and hodli for a very long period of time. That will be a waste of time and it will make him feel that investing in bitcoin is very difficult whereas it is not and investing in bitcoin is just like saving part of you discretionary income in the bank weekly so that you can use the money after a very long time to buy an important thing that you desire to have but don't have the money to buy it once.

A brand new investor only needs to figure out how much from his discretionary income he can use to buy bitcoin constantly that he can do without so that he can continue buying every week with DCA without thinking twice because it does not affect his monthly expenses. Newbies are only buying always and DCA strategy does not care about the market movement or the price of bitcoin at that moment because it is irrelevant and not needful.

Investing in bitcoin for a long term and hodli very easy for a newbie to get started immediately because it is not trading. Their emergency funds is what newbies should also focus on building to the size of 3-6 months to avoid an unexpected emergency chattering their bitcoin investment.

Some how you going off the concept of this thread we are not talking about how to trade Bitcoin at low price here rather how an investor can accumulate more and more Bitcoin and hodl for longer time and not to trade.
And also I don't think there is any need trying to monitor or time the market before accumulating Bitcoin for it will make you not to accumulate enough Bitcoin because you want to accumulate Bitcoin when it is dip, but with your DCA strategy you are already in the market for it will help you to accumulate more Bitcoin in different price level and hodl either weekly or monthly as long as your discretionary income is readily available which will also help you not to sell out your Bitcoin hodling in a short time.

But as for those who will take it as a challenge that they need to go through the normal learning procedures in other for them to achieve anything they have put in place as plan towards their intention for an investment in bitcoin, then they will always have an upper edge in what they do, in bitcoin investment, we don't do things as we want, but instead follows some rules and guides towards achieving the best result in them.


That's a good idea for the newbies to accumulate by buying every week, but just in addition on this JayJuanGee, newbies have to consider some factors in other for them to be able to achieve this same target to buy and accumulate on a weekly basis.

1. Understand the way the use of DCA purchasing pattern works perfectly.
2. Afford to take the risk on any investment they made and also give enough time for it to mature after investment.
3. Study and understand the market seasons, entry points, how to hold and the ways to speculate and read on the market price and the price chart.

Of course, newbies can do whatever they like, including figuring out if they are able to invest into bitcoin every week or if they have to manage their cashflows in a different kind of way.

We have frequently talked about consistency, and surely I like the idea of buying bitcoin every week, especially for newbies, since buying every week will help to reinforce the commitment towards bitcoin accumulation, even though surely anyone who has irregular and/or erratic income and expenses might have to plan a bit better than another person who might get paid more regularly and a person who might have more regular expense levels. 

We have described these kinds of examples in the past, and I personally believe that anyone starting out investing into bitcoin should be attempting to project out their income and their expenses so that they can have decently good ideas regarding how much extra money that they are going to have on a monthly basis and then they can figure out an amount that they can invest into bitcoin every week based on what they deem to be their discretionary (or disposable) income, and if they practice for several months or even for half of a year, they will get better at figuring out how much of a cash cushion that they have and how much they need in order to retain some level of comfort in terms of not getting too stressed about if they might be overinvesting into bitcoin or underinvesting into bitcoin in terms of their own individual particulars.

Practice will surely help in terms of figuring out cashflow particulars, so even a person who might determine that he has around $200 per week of discretionary income that he could use to buy bitcoin, he might be better off to just dollar cost average with around $100 per week while he is getting used to it and to make sure that he is not making any mistakes in his calculations, because some newbies might come into bitcoin by being either too aggressive or not aggressive enough, so they can try to figure out some kind of strategy that helps to keep them investing and attempting to be consistently investing every week for a whole 4 year cycle and then to reassess their situation from there.

Surely some guys will come to bitcoin and they might have what they have calculated to be right around their $200 per week of discretionary income, but they also might have some other funds that they are able to invest into bitcoin, and maybe that amount could be several hundred or several thousands of dollars that they could invest into bitcoin right away or they could figure out some strategy to use that extra money, whether it is $1,000, $6,000, $12,000 or some other amount... and they can choose between 1) DCA, 2) lump sum (buying right away) and/or 3) buying on the dip.  So a person with extra money has more options regarding choices, and sometimes dividing amongst the three options will give some sense of feeling of balance, yet those are discretionary kinds of choices, which means that guys are not going to choose the same - and sometimes their perception of short-term BTC price direction might affect how they choose - which may or may not end up being good for a newbie to place too much importance in terms of trying to predict short term BTC price movements, but still so there could be ways to set up a system that is somewhat neutral to ideas of short term BTC price movements - but still building an investment portfolio can take a decently long time, whether the newbie has a lump sum to invest (which allows more front-loading of the investment) or if the newbie might ONLY be stuck with DCA and perhaps a couple of times a year having some extra income coming in...

and anyone who is already in the practice of buying bitcoin and has BTC accumulation systems in place will have more ideas what to do with any extra money that he might get through the year and even through his first whole cycle in bitcoin... so a kind of consistency is just keeping bitcoin in mind and trying to practice bitcoin on at least a weekly basis in order to hep to reinforce the mindset of consistently buying and thinking about bitcoin and reinforcing their commitment to bitcoin accumulation for at least a whole cycle and perhaps some guys will be accumulating bitcoin for 2-3 cycles or more, depending on their individual circumstances, yet consistency may well help to get through the bitcoin accumulation stage more quickly, yet each of us may well be confined by our own circumstances that cannot be rushed, even if our consistently buying bitcoin might help us to identify if their might be ways to increase our abilities to invest in bitcoin by increasing our discretionary income by perhaps increasing our income and/or reducing our expenses.

You are absolutely right here, consistency is very important to a successful investment, especially when it comes to using the DCA strategy and holding. I have seen situations where investors fail to leave certain habits which make them quite slot in accumulating Bitcoin and it affects their consistency. This week they tried to DCA and the next week they failed. The danger of this is that they get to meet their target for a long time. And nobody knows what the price of Bitcoin will be today or tomorrow or in the future. That is why reaching your target as planned is important; only consistency can help you.

Consistency does not only include staying true to the investment but also staying true to providing the capital for your DCA every week. Most people do not work in a fixed contract or have a job. They have skills or talents that provide them the capital to invest consistently. If they feel weak to work if they get hired, they might not have enough money to invest that week so that is why consistency involves in everything.