Topic: Buy the DIP, and HODL! - page 250. (Read 108992 times)

The lump sump strategy that I know is very different from the buy the dip strategy, the lump sump strategy is where you buy all at once with all the capital you have but the buy the dip strategy is usually used by investors who only enter the market when the market is just bearish conditions

I suggest for investors who only have limited capital, don't use the sumlump strategy, you will only waste your money, the bitcoin market is very volatile, it is better to just use the DCA strategy, although slowly, this strategy has been proven to be much better than sumlump and has many large investors have successfully implemented this DCA strategy

For my understanding if someone buys at once with all the money he has then there is a big potential in two contexts where if the price goes down after he has finished buying then he has no chance to buy in the Dips. And also if the price rises after they make a purchase, they will be more enthusiastic about investing in Bitcoin because they will immediately see the profits they get. Even though the investment they use is for the long term, I prefer to do it with DCA better than with a lump sum purchase.

Purchasing at once will usually have an impact on a person's psychology because he has already used all the money for the first purchase. and when the market situation changes suddenly, of course he will think of a thought about his first decision that seems as if he didn't have to make it. A thought arises that may not be ready for that moment which will certainly result in a wrong decision if he is unable to forget it. Apart from that, whether you buy it all at once or DCA, you will definitely get a profit in the end, the important thing is that they have the desire to keep Holding it.

To me exercising both is kinda the best. You know  as a Investor you got to be flexible, using the lumsump strategies you can focus buying the dip and all that what if in a scenario you thought that market would undergo a certain correction (dip)  before you buy. And at the end it endup not meeting your expectations (increase without undergoing that dip) you will only endup missing out. So I will keep saying if you are the type who only focus on buying the dip always try and also use DCAing to accumulate more quantities during so you would endup with better profit. And this the period we should focus on DCAing because we know that bitcoin gonna under go a new break through soon and there's time to accumulate more bitcoin in your portfolio.

And please DCA is not for only those who don't have much funds to invest, they are alot of early investors out there who are still using DCA method to accumulate more bitcoin. Because it would give them the opportunity of buying at different prices making theit portfolio to be more mature and more profitable. So anyone can exercise DCA strategies. And by the way when you are more financially capable that when the DCA would be more effective

I don't think it's right for us to argue which strategy is better or which is not, at the end of the day its our ability to hodl our crypto that really matters. But in terms of strategy, how we apply it could give us different results, like applying lump sums on dips and using DCA to navigate the volatile market.

I believe that the purpose of saying newbies should use DCA is because of the fact that to be successful at lump sums, you need a little market timing and should be more experienced about bitcoin than others, cause lump sum could be seen as a whole buy and just imagine newbie that bought Bitcoin at the last ATH  of about 60k and till now the price hasn't even gotten close to it, and surely he must not have developed a good mindset for investing and might have sold out, so hence we say that DCA is better for newbies cause its easy to learn, doesn't require much knowledge to start and most of all, you are safe from high volatility.

So at the end of the day it's based on preferences as an investor and which strategy we feel safe practicing.


IMO I think  it's also good investor should  have a purpose for  investing in bitcoin, cause I feel that one of the reasons that made you hold this long was because you had a purpose of investing and maybe on the long run that purpose changed and evolved into you wanting to always have a portion of asset and monetary value in bitcoin. Many investors have switched roles from long term investors to short term because they didn't have a purpose or reason to invest, some of them heard about hold and bough some amount of bitcoin and when the price soared they sold, and you would find out that it was never their plan at first but they didn't have any future purpose for investing and holding.

Our purpose for investing at times must not be something great, and no one would tell me he want to hold forever without selling sometimes to maybe get that dream car, he wished for something and some even invest cause they see bitcoin as a better way to store value.
Judging from sir Jay's last example of his friend’s that he sent some bitcoin and even advised them to hold and purchase more, the way I see it this people didn't have any any self generated reason to follow him on that path despite all the profits and reasons he showed them, so they couldn't keep up with holding and sold their bitcoins.

In conclusion to what I'm saying, I think it's a good thing that we have our own reasons or I can call it motivations to invest in bitcoin, even tho this reasons might change and we might want to hold or maybe even have a portion of our wealth always in bitcoin, having a purpose or reason to invest is a must if we must stay long term.

I think what he is trying to say is that those who buy with lump sum and those who buy with DCA will end up making profit in their investments on the long term. What really matters is the size of investment at the end of the day. He is not say that they will have the same level of profit from their various investments. But it's also very possible that the person buying through DCA might end up making more profit. Bitcoin might dip more than the price you bought with your lump sum and remain there for many years while the person that is buying through DCA is continually buying before you know it he/she has acquired more bitcoin than your lump sum at different prices, some even cheaper than your lump sum buy entry point.

I equally disagree with you that lumpsum buying gives more profits. Have you thought about missing opportunities and FOMO that is common with lumpsum buying? You will agree with me that it is difficult if not impossible to determine the true dip, this is why most people who wait for the dip often experiences missed opportunities. Using the DCA method on the other hand, does not really require the waiting and possible missing of opportunities. I will give you some examples. Instead of arguing which gives more profit, I think we should be focused on how best we can apply that which is suitable to us, I mean our preferred method of collecting bitcoin.

There was a time bitcoin stayed around $26k for a long time. Those that buy the dip will be waiting for the dip here while those using DCA will be collecting a lot of bitcoin at this price. Bitcoin never gave any shock before price left this zone to the $29k to $30k area. Those buying the dips might either miss the opportunity or buy tiny fraction of their budget. Same scenario played out in the $36k and even when price crossed $39k.

It is therefore very clear that the DCA method can be very useful and highly profitable in most cases even when price is in a range or in downtrend. It is also important to emphasize that the method of buying is a matter of individual choice and so long as the purchase is for long term holding, it is absolutely profitable. 

I totally disagree with you here, purchasing Bitcoin through the lumsump strategy and the DCA method can never give the same results, the lumsump strategy is way more profitable because you are only buying the dip and hold, which means you can get a very large amount of Bitcoin at a very cheap rate, compared to DCA that you can even buy at an expensive rate most times. what makes the DCA method special is that as an investor that don't have much capital, you are able to buy at your own comfort bit by bit, monthly or weekly and you don't have to wait for the deep for you to buy, because most times that deep you are actually waiting for may not come again, since no body knows the lowest possible deep this time around, so it's mainly good at accumulating large amount of Bitcoin over time.

Ser, please get the context of my post by reading Samlucky's post.

Samlucky said,


"Importance of Bitcoin" plus he wants to talk more about Bitcoin to add something to his brain. I believe he's suggesting that he wants to learn more too.

What is the actual importance of Bitcoin? If we merely talk about it as something that "will make people gain more from their investment", especially people who have yet to actually learn anything about it, it might sound like a Ponzi to those people, no?

Yes, that's right, when someone wants to invest in bitcoin, there are definitely many ways to buy it. Starting from lump sum purchases (Lumsump), to periodic purchases (DCA). So basically there is no need to be confused about this. Because the main purpose of purchasing bitcoin is of course to add to your portfolio. So whatever purchasing method you choose, the results will definitely not be much different. Moreover, if the aim of buying Bitcoin is to use it as a long-term investment, in my opinion if you want to use the Lumsump or DCA technique the results will definitely be the same.

So the most important thing is to first study the knowledge related to bitcoin. Because knowledge is a very important factor in expediting the investment process. Because if the science or knowledge about Bitcoin has been studied and understood first, then the problem of purchasing techniques will definitely not be something complicated. Because in the world of investment, purchasing techniques are stages that can determine the size of the profits that can be obtained and can also minimize risks when the worst possibility occurs, such as falling prices. But in bitcoin all of that can be rejected by investing in the long term. Because when we invest in Bitcoin for a long period of time, there will definitely be several halving cycles and bull markets that will pass. So even though this year the price of bitcoin is rising, we buy bitcoin, in the end there is a big possibility that we can still make a profit.

Indeed, if only invest in Bitcoin for one cycle (4 years), the profits will definitely not be too big. However, if invest more than one cycle, for example 3 or 4 cycles, it is likely that the profits will be very large. So in this phase, purchasing techniques when investing in Bitcoin can be said to be marginalized.

We are not actually talking about trading here, I think there is a section for trading. By trading I mean short time and hold with targets like 50% or 100% just like you said. If you are looking for information on that kind of ventures, I suggest you visit the trading discussion board and you will appreciate why the forum is segmented.

Just to set the record straight, we are discussing long term investment here and all that is needed to successful buy and hold Bitcoin for long. The key things to consider is how to buy, when to by, what is required to be able to hold and how to develop the mindset of a holder. If you go through the thread you would have read about buying the dip, DCA method, and the concept of the emergency fund that is like the secret to long term HODL of Bitcoin.


I do not really support compulsive buying because it is usually done without proper planning. Before investing in Bitcoin, you must have calculated your cashflow to know how much you should allocate to Bitcoin so that you will be able to set up reserve funds that will serve as emergency funds. Buying now is goo because the best time to buy is usually now but care must be taken to make adequate preparations just like I explained before; that is the way to buy and be able to HODL.

from what i have learnt while going through this thread, the concept of making provision for reserve fund isn't basically aimed at saving up special fund for the purchase of bitcoin during the DIP. It's more of saving out special fund that you can always run to in times of emergency so you don't tamper with your holding because of a minor financial challenge you might be going through.

For those that are serious with their bitcoin investment, measures like having a reserve fund is going to be an added advantage because  unplaneed event do come and if you don't have anywhere to run to for help to sort out your problem, then borrowing from your holding becomes the only option that you would probably consider.

youre very correct about this, from what I even observe, the DCA methods is probably going to be more useful for the bigginers and those that are not financially strong. Their are people that are earning to well in their business that they can comfortably assign a particular portion of their weekly or monthly profit into investing in bitcoin such that whenever they balance their account for the week or month, all they need to do is to give out a portion of the profit into investing in bitcoin and they can even set a ten five year routine of accumulating Bitcoin with certain amount and will comfortably do it with ease because they have a reliable and sustainable source of income.

As a newbie I have been thinking about the powerful thread in the meantime taken a chance how to write me.

One of the trader who trade in business place for the best return basically his expectation 50% or 100% or also more how much become he more delightful.
As a assumption the price of cryptocurrency 2030 maybe 543K which price by today is 48k.

Why late! if you have enough money to invest! You must buy today last week its price was 43k.

Because DCA method is so popular and easy  to understand that's why many people got curious to learn this strategy and many are successful without getting any stress for what they are doing compare on their daily trades.

If someone want to learn or try to understand this method they should try to research since there are good articles about this online. Here are some samples about it and for sure they would like what they read in this article https://dcabtc.com/ I don't promote the site posted in that article so best if they could just read what's information written in that site.

I'm also positive that we can gain something good for doing it and believing on the strength of bitcoin that's why I'm always excited about the future of this coin.

Oh man....over the course of my time watching bitcoin I've seen gains of over 100x.  Specifically I remember being able to buy it at $200 back in 2015 or so, and every time I think about what could have been for me I just get this big ol' cloud of gloom come over me.  I do think you're correct that we're probably not going to see that type of growth over a period of 9-10 years, but as I've said many times before I never in my wildest dreams thought bitcoin would reach $1k.

And then I thought it'd never reach $10k.
Or $50k.

So I guess bitcoin is like a boxer that really shouldn't be judged a KO by the referee until the count is finished.  There's probably a way better analogy, but I've been awake for at least two sunsets so cut me some slack.

I don't see a problem in their choice of words. When someone talk about a job you will know that they are talking about casflow. I see you are just limiting your scope of understanding things. Many people here depends on jobs for their cash flow. In every 100 people it's possible that only 2% of them that has inheritance and maybe 10% has businesses. The vast majority depends on jobs. So when they said you need a job for one to be able to invest in bitcoin they are not mistaking neither is it misleading. Majority of bitcoin investors are people who are doing one jobs or the other be it part time or full time or possibly both.

I think everyone here, not just you, probably learned how to invest using the dollar cost averaging (DCA) method as per the JJG text. I also didn't understand how to start investing in Dollar Cost Averaging (DCA) method at first but I read this thread thoroughly before starting investing in this (DCA) method. Then I decided I would make my investments every month using the Dollar Cost Averaging (DCA) method or prolong it.

I am still continuing my investment. Maybe I will be successful in continuing my Bitcoin investment in the future. I have a proper intention with investing in bitcoins.I will be successful the day I can use this Bitcoin investment for the right purpose. I said in one of my posts that I was depositing 45$ dollars every month in bitcoins, I have now added some more dollars to that means my investment has increased a little bit.I was able to add extra dollars to my investments because my source of income or the amount of income increased so that I could add extra money to my investments there.

I agree with you when it comes to accumulating bitcoin. Everyone has a strategy that is suitable for them, depending on how fast they want to accumulate bitcoin and the money available. As a newbie, you should stick with the DCA strategy in accumulating your bitcoin because it will help you control the volatility of bitcoin in your bitcoin investment and also allow you to save an emergency fund that you will use to settle your financial needs so that you will not depend on your bitcoin investment to survive shortly.

In collecting Bitcoin, everyone has a different strategy, there are those who buy it all at once whatever the price when they buy it and there are those who use the DCA method by collecting consistently according to the date they have set, but in both cases there are advantages and disadvantages too because if we buy At the same time, whatever the price at the time of purchase, of course we have to prepare a lot of money and we have to be able to hold it for a long period of time to be able to make a profit and if we use the DCA method, of course we have to buy it every date we have set and it will be very difficult if we don't have a fixed income.

That is exactly what am saying. In as much as we hold for long sometimes we decide to sell some stash and it is based on individual differences. because you have it and decides to sell off when you see the need for such. Afterall you have hold for a long term, of which not every one could even hold that long. They would have sold off. So the important of investment is to use it when necessary. and there shouldn't be a question towards it. Because HODL onto bitcoin is not hold forever, or hold into death. but HODL for a long term for future porpos. and it's your priority. Afterall you reaped the fruit of your labour and it didn't change the fact that your holding is still higher than the stash you sold. Where it could have been bad is selling of an unreasonable amount that will affect your entire holding. But checking the amount you sold then was just a peanut and wouldn't even affect the accumulating process.

The more days passes by so do more newbies flood the system. Most came with the notion of leaning new things like learning the accumulating process. Why some came with the notion of Merit hunting to rankup and apply for signature campaign. Although I can't question anybody on h/her reason of flooding or spamming the board but as an intellectual fellow you are, I know you are fully awear about it and just decided to play along. Because I know by now you should have known the difference between the sheeps from the goat or the spraut from a bean. But the main thing in life as I have learnt so far in this forum is that a reasonable word is better than a thousand junk of word without meaning. One should be able to sit down and understand when there is communication and when there is no communication. Life is a learning process and when you grow in age without growing in thinking, itbkeeps you stagnated and when you get credit for it people thinks you are a kind of genius not knowing it's just understanding what you truely doing.

We have definitely made mistakes along the way and maybe they didn't have a big effect on the course of our investment because we really focus on long-term investment and we can correct these mistakes during the long-term investment journey. However, in the strategy that I have done, I am not too interested in focusing on setting up reserve funds to wait for cheap price because I tend to accumulate Bitcoin every two week. So I think I will get a chance that might be more accurate to get a cheaper price.

In this context, Most of us have larger finances which makes it easier for them to organize their finances more efficiently into several strategies to be able to buy when prices fall by a few percent. Apart from that, a person's personal policy is certainly different because everyone has a different income, so in this case a plan that might be our choice is the DCA strategy which we can arrange in stage to buy Bitcoin.