Topic: Buy the DIP, and HODL! - page 19. (Read 128946 times)

For me, for the first time, I didn't plan well about investing in Bitcoin, I just bought and held it. But over time I started to plan my accumulation in 2022, 2023 and until now. Sometimes we need a closer approach to Bitcoin and the arrangement of plans can be arranged better if we have found a comfortable strategy in accumulating Bitcoin.

Obviously, monthly income, weekly bonuses from work are one way to organize well where we will allocate how much percentage to buy bitcoin. For me, as long as our income continues to run normally, of course, bitcoin accumulation will run smoothly.

By adjusting the budget or increasing it more as long as the Bitcoin accumulation is still a material that I have to study more deeply. I still haven't been able to increase the budget to be more aggressive because my income is not increasing.

Is this really true well for me I think is not because there are plans you will follow in your Bitcoin investment and it will delay you for example waiting for the dip, and if you are into Bitcoin investment you need to use only your Discretionary income for your Accumulation if you don't and you start using money meant for taxes, electricity, water, food etc you will hit the rock which will lead to you selling of all your Bitcoin .
So planning your Bitcoin investment is very important because if you don't plan well you will fail, we all know that as someone who is into Bitcoin investment is important you have a backup funds it helps prevent dipping hands into your Bitcoin investment.
One of the reasons why we always share ideas here is so we can learn from each other and come up with a good plan on how to follow our investment.

There is nothing in the thread topic that suggests either selling or trading as part of the topic, so from the start of the thread, there has been an assumption of a goal of accumulating bitcoin for the long term, yet initially the thread topic, OP and OP's author was advocating for buying on dips, so that invites the discussion and debate regarding whether buying on the dip is the better of strategies, especially when it comes to newbies, so there has developed considerable consensus that DCA is good for everyone, yet it seems to be even more beneficial for anyone who is in their earliest of times of building up their BTC stack size.  Sure once they get a decent-sized BTC stack size, then it becomes less clear about whether DCA is a preferred approach, so guys have to figure out for themselves, if they think that they might want to gravitate away from a DCA strategy and into a buying on the dip strategy.

So we don't always agree how and when, which seems to be part of our ongoing discussion, apart from the guys coming in here and wanting to include trading and selling into the topic, which seems to be outside of the scope of the thread in a couple of ways.  1) selling is not a good accumulating strategy and 2) selling might come into play after a person has already accumulated a lot of BTC or too much BTC, yet we are not presuming that anyone here has reached such state of over accumulation... There are so many folks who are way early in their BTC accumulation stages, including so many folks who still have not even gotten into bitcoin yet, so they have to start by accumulating bitcoin once they do decide to start.. rather than starting by waiting... waiting is not a good strategy, either, if you don't have much if any BTC, which is the status of the overwhelming majority of the world's population, whether they realize their status or not.


I think that you are correct Salahmu in that there should be goals that are reachable and meaningful and for shorter periods of time, such as 6 months, 2 years, 5 years, and sure there can be longer goals that are 10 years or lifetime goals, but those longer goals hardly mean shit if they are just abstract pie in the sky goals, so it seems way more practical and realistic to consider various stepping stones along the way, including that sometimes if the short term goals might not pan out, then there would be back up ways of reaching the goals, and whether the longer term goals need to be changed or not might not be clear, since sometimes, any of us could get distracted off of our long term goals because our short term goals end up changing, so we might have to consider which part we might need to change or if any kind of temporary diversion is going to still allow for staying on the path, since every day we should be striving to make at least some progress towards our long term goal, whether it is ONLY buying $10 per week of bitcoin or if there may be other ways that we might be making progress to increase our income and/or decrease our expenses or some other things that we might be trying to accomplish to still keep our longer term goals in mind while also making shorter term strives towards continuing to make progress towards the goals and even having some shorter-term intermediary goals... that might involve some strengthening of cashflow management  or might just involve attempting to surround oneself by people who do not cause us too much drama in life... so we can stay focused on our various, short, intermediate and long term goals and hopefully having connections with the various goals with the short term goals being way more achievable yet sometimes needing to change or tweak them along the way.


You seem to be showing why it is better to have various intermediate goals that are reachable along the way, so that you don't have to do everything at once.

I have some procrastination problems (personal issues) too, and sometimes I really cannot get myself  to do certain things, yet I also know that if there are ways to break the larger project into smaller parts then it can become more achievable to do the various chunks.. or to say each day, I am going to spend 1 hour doing x, so then it becomes easier to reach the goal by the end of the week or the month because some progress was made every day or maybe every other day... something regular to make progress.


There is a problem if there is ONLY one back up, and so people need to consider how they are going to deal with matters, and let's say that your house burns down?  Is your back up and your wallet in the same place?  We cannot secure as much if we have faulty backup systems, and yeah, it can be difficult for some people, including maybe more difficulties if a person is moving locations and he might have all of his valuables in one place.. so there need to be systems that account for possible things that could go wrong if everything is in one place.. and surely the point about if any time anyone might have had seen the seed, then they might have made a copy of it, taken a picture or some kind of way of noting the seed.


Sometimes a person may have created a budget and he is executing his BTC investment plan, and maybe 6-12 months down the road, he realizes that he made some mistakes in his budget.  One of the great things about making a plan is that there likely would be various cushions built into the plan and if mistakes are made, then the mistakes can be addressed along the way in order to make the plan stronger at the later point down the road... versus someone who had not planned very well, then that person gets themselves into a pickle since he had not planned very well and probably did not include any kind of financial and/or psychological cushion in regards to whatever he had been doing...so planning and tweaking along the way are great things for anyone in their earliest years of investing, and it can take a bit of time to really get used to following the plan and adjusting it along the way and reaching various goals along the way, too.

It is careless of an investor not to include budget while starting up his investment, implementing this will serve as a precaution for consistency and enough reason why to keep the investment rolling. Everyone wants to invest in Bitcoin and earn profits but just a few are willing to subdue their funds as capital into their investment journey without a second thought of cutting off. Creating a budget is more like a predicted goal, you don't create a budget that is beyond once source of income, it should be in line with what the investor has to offer, close check from earnings, to expenses and what is left after every bills being sorted.

No way can drafting a budget make anyone reluctant, from where you started and total destination creates the impact of being more productive knowing that there is a target to be reached. An investor who chooses to be reluctant after setting a budget did so based on his personal regards and nothing else to explain.

You don't even have to wait till you buy bitcoin and store in your wallet first, before you will write down the seed phrase. To me it is not a safe practice. You should write your seed phrase down the moment you are setting up your wallet after downloading it from your app store. I think this is the best practice and in your own interest. Because the moment you have stored bitcoin in your wallet anything can happen. So it's safer to have the seed already written down, before proceeding to deposit your bitcoin in the wallet.

Regarding where you mentioned about laminating the paper where your seed phrase was written. It is better to keep the paper in it's original form than taking it to a computer center for lamination. Because when you take it there, there is a high possibility that a third party who is doing the laminating for you, is definitely going to see what you have written down. And once your seed phrase has come in contact with a third party, just know that your funds are not safe. Just look for a good place and store your seed phrase. Just make sure you don't keep it where termite will eat it up. If you keep your house and your surroundings very clean, termites and rodents won't come close. Try as much as possible to make sure that no third party come in contact your your seed phrase.

I wish you the very best of luck in your Bitcoin quest, and you know what, Bitcoin got you. I've never seen an asset that is as reliable as Bitcoin, that's the truth, so no one bets in favour of Bitcoin and loses in the end. But those who bet against Bitcoin will always find themselves to blame, it can only delay but will surely happen.

By virtue, anyhow you plan your investment in Bitcoin is not the issue, just continue to have that stash of it until your joy is full. The DCA approach is good but some are just buying when they have extra money regardless of the price, they use it as their means of "savings" instead of wasting their money in bank accounts. That was what I did between 2022 and 2023, and today, I tell you that I am very happy with the decision.

Having a target when investing in bitcoin is actually not a problem. Because in essence, this target is just something that will motivate us to be more focused in investing in Bitcoin. So even if this target is very difficult to achieve, in my opinion it doesn't matter, because at least it can continue to motivate us. Because in my personal opinion, having a target is a good thing, and the results are a matter of later concern. In fact, in my personal opinion, bitcoin investors who don't have a target can be said to be not good either. Because in essence, the characteristics of a serious investor with one of their investment assets, such as bitcoin, are that this person must have a plan or target. Because if you don't have a target, I think it will feel empty and maybe in the end you won't be too enthusiastic about investing in Bitcoin. So having a target of wanting to own 1 or 2 bitcoins, I don't think is a problem. Maybe the problem is people who don't invest in bitcoin, just kidding.

You are absolutely right and I think I get your point and of course this doesn't only happen in Bitcoin investment even in some other investment and activities, I have once set target on something that by the end of the month this where I want to reach in this..., but as days goes by I began to feel reluctant and weak reason because even if I don't achieve it that set date I will still achieve it sooner or later and to a point it was more like an procrastinating not even because I was lazy or not determined but because i believe I can still get to that set target so I have to stop and just do it in a normal way and then I start making progress. I'm not saying that setting a target is not good but sometimes it's not good  it can make one reluctant or procrastinate thereby making one to lose some opportunity as a result of not completing a set target on time.

It's not how much that you can use to buy bitcoin every week for you to reach your bitcoin target is the problem, but the amount of your discretionary income is what matters because that's what you can only use to invest in bitcoin for a long-term and hodli.

You should know that we are all different from each other and our income and responsibilities also differs. This is why it's good that anyone investing in bitcoin should invest with an amount based on his own capacity and not overdo it so that he can continue buying regularly with DCA overtime. The amount that you are using to DCA does not really matters as long as that's the highest you can afford that will not affect your finance, what matters is your consistent and persistent buy for a very long time as the investor wants because your long-term time duration might not be the same with mine.

Also I don't see the plan of targeting to buy one bitcoin, and when it has been achieved, you increase it to two bitcoin and continue your accumulation journey, instead of just saying that you will accumulate for only 8-10 years, so after 8 years what next. What if your bitcoin portfolio is not yet up to your satisfaction, won't you continue to accumulate when you have the money to keep your bitcoin accumulation ongoing.

Let's put it into practical now. A new investor is investing on bitcoin with $100 every week
100 X 52 = 5200
In ten years = 5200 X 10 = $52000

Bitcoin currently is at 95k+, which your 10 years savings in bitcoin is not up to one bitcoin because one bitcoin is 95k+ and when your own ten years will come to reality in future bitcoin price will be higher than $95k+.

Yeah it is of the nature of every investors to dream big about their future accomplishment, so setting a reasonable target is good way to start the process but not every target is encouraged, so actually I would say that having a set target of 2 Bitcoin to achieve in all of his life does not sound like a target because the conviction will be very low and as the time goes you will start losing interest because of the belief that you still have a good number of years ahead of you to meet up and from such mindset other things will come in play and occupy your mind from thinking about your investment, meanwhile as we normally talk about few years targets is better because it gives us the discipline that whatever thing we do we have something very important to reach out and that idea will now be installed on our head.

having a goal of accumulating up to one bitcoin which could be your fuck you region is not a bad idea and even though at the start it might appear difficult and might look like something that will take too long to get to most especially if the amount you are using for your DCA is not much, with consistency and proper planning, you can easily actualized your goal. simple question like, how much should be my DCA  amount if a want accumulate up to one or two bitcoin in a certain number of years will help you effectively pan your accumulation amount and staying disciplined will quickly take you to the goal you have set for your self.

i might not totally agree with you that while investing in  bitcoin you should just set up a plan of accumulating 2 bitcoin and use the whole of your life in getting to that planned figure. setting an 8 or ten years plan will make things a bit clearer so you are able to accumulate your bitcoin realistically and not have to remain accumulating for too long. note that it is not by how long you have been accumulating bitcoin that really matters, if you can use less number of years in reaching your goal, it will be better than DCAing so small an amount such that it will take you too long too reach your goal.

I have been accumulating bitcoin for a while now, and I know that reserve funds can be used to buy the dip anytime it happens, but there can be a case where a new investor in bitcoin investment will not have reserve funds immediately when he starts his bitcoin investment because he will be building his emergency funds, reserve funds, and floats along his accumulation journey, which will not be a wise move for him to start buying the dip aggressively with his reserve funds since he hasn't built it up to 3 months. In this case, the only way an investor can accumulate bitcoin aggressively without getting off the game, partially or permanently, is when he uses the money that is not meant for his daily expenses, which can come from a lottery win or when he gets a bonus or extra payment from his place of work.

You’re right!
The thread’s subject does suggest an idea of timing the market and waiting for a dip before, although while the other part of the subject says “And HODL” (which of course kinda frowns against selling) the whole topic still sounds kinda misleading.
But the discussion on this particular has indeed evolved and organically shifted towards considering a more appropriate approach and strategy for Bitcoin accumulation in the long term, which is the Strategy of Consistent Buying using the DCA approach. 

If you ask me, I feel this shift in focus of the thread is quite an innovative and positive move/development, because it provided us the opportunity to explore different and several other strategies, p make certain comparisons as well as putting certain things into consideration in order to identify a more appropriate strategy for Long term Bitcoin accumulation and HODLing, thereby learning even more and beyond what the Topic talks about with the aid, knowledge and analysis of experts and professionals amongst us, helping us to build a more secure and solid Portfolio.

By focusing on accumulation approach, we’ve been able to explore other vast topics like the concepts of the Dollar Cost Averaging which of course so many of us never knew about, we’ve also been able to discuss the importance and benefits of having an emergency and other backup funds too.

You’re absolutely right that introducing trading or selling into this discuss could serve as a major distraction from the main theme of the discussion which of course is long term accumulation. Rather than deviating from the discussion, it’ll be more beneficial to maintain our focus on long term accumulation as this would potentially help us to provide a more valuable insight and guide to those who are also seeking after building a solid Bitcoin portfolio in the long term.

There is no such thing as a perfect technical analysis and yes failure in trading will always exist exactly because there is no such thing as perfect analysis on short-term trends. Investment, if you follow a plan thoroughly, requires the least effort in regards to transactions itself. However, if someone decides to stick to an asset long-term for some reason and gobble up a lot of it because they think it is promising, then studying that asset and keeping up with information and available learning material would be the effort required. But it is less stressful. Learning about a subject that you are interested in without having to act nonstop on what you've just read 10 minutes ago is a whole lot more relaxing than these trading things.

And by the way, I don't know how much people know about trading in markets in times like these, but you should be aware that you are mostly competing with AI and algorithms/bots. Some traders will still claim they can generate an alpha, but real trading is probably mostly taking place in an automated fashion. You'd rather make a fundamental decision and a purchase plan or if you are someone who has an information edge over everyone else, well then trading might be for you, but I assume that most of those talking about trading do not have an information edge over everyone else.

Regarding, such an information edge does probably not even exist anymore because what is it that could give you an edge? Perhaps US legislation making a big move towards embracing bitcoin, but then these types of news had their wear and tear over the years similar to the Chinese "banning bitcoin", close to nothing would happen anymore. I'd rather not waste my time with trading and technical esoteric guru analysis.

My goal is to be able to get the bitcoin using the DCA method, no matter how long it takes me but even if the price of bitcoin Increases I will continue to accumulate anyway, I don't care, seeing that the money in fiat increases there are Emotions , but more emotions seeing that the satoshis grow, and that is what many should see that a bitcoin is that, a btcoin, which is the goal, I hope this can be done for more, but I'm sure that if I make 1 btc then I will continue to make the 2nd, that's the idea , that's the purpose of this.

In the context of this thread we are not talking about trading or selling bitcoin in order to accumulate more bitcoin. Selling is not a good strategy to accumulate more bitcoin.

Sure the title of the OP might be misleading, since it has a concept of buying bitcoin on the dip, which implies that there might be some advantages to identifying the dip or even to wait for the dip rather than buying regularly.  So there is plenty to talk about in this thread in regards to the various ways to accumulate bitcoin, and trading and selling bitcoin seems to be outside of the scope of what we have been talking about in this thread or should be talking about in this thread since if we start to talk about trading and/or selling then we get diverted from the main ideas of accumulating bitcoin for the long term, and what tactics and strategies might be effective for accumulating bitcoin.   

Holding can mean don't sell when the BTC price goes up, but it also could mean don't sell when the BTC price goes down, and one of the practices that I like to advocate, especially for newbies, is buying BTC all of the time and no matter what, yet there surely could be times where we are not able to buy anymore bitcoin because we ran out of money and we have to wait for our next paycheck to come before we are able to buy more bitcoin, which would be another opportunity to just HODL through such period in which we don't have enough money to continue to buy BTC.

If we really work through the ideas of how much BTC any of us might be able to accumulate, there are many of us who will realize that it is likely going to take 10-20 years or longer to really build up an investment portfolio, unless such person has already gotten some kind of an investment head start or they are able to draw from other sources, such as having a very strong income relative to their expenses.  So if someone identifies that he wants to accumulate bitcoin and get to a certain level of BTC accumulation, then the best ways to accumulate bitcoin have to do with ongoing, persistent, consistent and even aggressive buying of bitcoin without going overboard, and selling does not seem to have any place in the logic of actually striving to accumulate bitcoin, and personally, I doubt that there is any need to sell any bitcoin prior to reaching a status of overaccumulation (absent the times that someone might want to spend and replace his bitcoin in order to support the spending bitcoin infrastructure). 

You must not win a lottery before you can buy aggressively at the dip, because people that buys at the dip will prepare themselves for it. This is where reserve funds comes in play. When you are DCAing, it's good that you set up a reserve funds to buy at the dip, so that it wouldn't affect you financially, but use the opportunity of the dip to add more bitcoin to your portfolio. When it's bad to buy at the dip is when the investor is a new investor, and he is not DCAing but choose to wait for the dip, when no one knows if the dip will come or not.

However, if you are not prepared for the dip, and you decided to DCA aggressively because you want to buy more bitcoin with funds that is not your discretionary income, you will end up selling your bitcoin when your needs arises putting you at loss, if the price goes dipper and stay for a while. It's good we plan very well, so that we don't be a hindrance to the growth of out bitcoin portfolio through our own actions.

It is not our intention to say that trading is bad but I think there is only one reason why trading is not for everyone, and that is the psychological aspect involved. I have seen my close friends lose their mental control while trading, even though they are very skilled and tactical in trading. But Bitcoin attracts me a lot, so despite not having proper knowledge, I bought some Bitcoin. And now I want to enrich my Bitcoin knowledge base. I am getting a lot of wise opinions and advice from this thread. And persistence is very important to me. Because in my childhood my grandfather used to say, give time to whatever you desire, persist one day you will succeed. Thank you for your kind words.

Even with good knowledge in trading, you are not certain of becoming successful in trading, so trading bitcoin for short-term profit is a bad idea. Since trading comes with a lot of emotional damage, it is better to invest in bitcoin for the long term so that you will not regret when you sell your bitcoin too early for short-term profit and the price keeps going high.

Buying the dip aggressively is not bad, but you have to make sure that if you are doing that, it will not stop you from sorting out your daily expenses, which might get you off the game, partially or permanently. Buying the dip aggressively is best done when you win a lottery or when you receive a bonus payment at the place of your work, and you use the money to buy the dip aggressively since the money is not allocated to solve your daily expenses.

Delaying can be very risky, which is maybe why some individuals haven't yet purchased their first Bitcoin. Many people have been waiting for the price to drop before making the decision to buy, but nobody can predict when the price will drop. The price of bitcoin may not move for several months, and investors who use the DCA strategy will keep accumulating. The price of bitcoin is currently at $96k, so we won't be shocked if it drops more seriously. The only people who will spend the rest of their lives waiting for the dip are those who are not ready.


The fact that some individuals still describe trading as holding Bitcoin is very surprising. We must realize that the purpose of this discussion is to advise those who are interested in holding Bitcoin for the long run to continue holding it, even if the market price is changing. As you mentioned, trading is highly dangerous and is like gambling with a small amount of money that you won't feel bad about losing. However, buying and holding Bitcoin is completely different from what some people believe, and you may lose more money than you can afford when trading. So I don't think using a DCA strategy to accumulate Bitcoin is risky.