Topic: Buy the DIP, and HODL! - page 27. (Read 121669 times)

But there is one fact I can say about some people who actually really want to invest in bitcoin. They are government employees that I know and they are very interested in investing. They have a monthly income of less than $300, but it is difficult for them to save to invest. The main reason why they get into trouble is because of the inflation factor that affects the price of every item. $300 is not enough to meet monthly needs where all costs including accommodation are included, so not everyone can save 10% of their salary every month.

If they manage to save 10% of their salary, it means they don't smoke and are too strict about eating. In fact, food costs are not covered by the place of work, sometimes they have to go into debt to meet their monthly needs. Not to mention if they bear the costs of their family's basic needs, so as a result it is really difficult for them to save.

10% is from the income we get every month. This means that it is smaller compared to those who are able to budget 20% to be invested. So that everything can run smoothly, you can use the other 90% by managing it as well as possible in the coming month, so that the Bitcoin accumulation process will not be disturbed.

Actually, to save on expenses, it will depend on each person's life, if you don't splurge, then I think the remaining 90% will be enough to cover your living expenses in a month. Investment does require planning in managing our cash flow as well as possible because it will be implemented as well as possible every time you are due to buy bitcoin.

Beginners need a lot of encouragement so that they are more motivated to continue following up on the investments they make. It's not slow to start investing in Bitcoin, buy and hold, the DCA strategy is certainly the easiest to understand and can also be a good choice for beginners.

I doubt that normies are motivated to invest and/or buy shitcoins merely based on fee comparisons, since there are likely a lot of different reasons that normies are going to be distracted into shitcoins, including their consideration of a variety of talking points that may well end up relating to some of their considerations that any such shitcoin might have more pumpamentals as compared with bitcoin, so they are falsely led into a belief that they are better off by putting some (if not all) of their value into some shitcoin based on some variety of factors that cause them to believe that it can pump more than bitcoin, and they might not even sufficiently know much if any facts about bitcoin versus their chosen shitcoin(s) beyond their beliefs in the representation that some influencer(s) are making about what are supposed to be the relevant facts.

A lot of people buy into such misrepresentations because the misrepresentations sound logical, and even the influencer(s) might seem to be speaking from genuine assessments of the situation.  Bitcoin fees as compared with the fees of various shitcoins is only one factor, yet it is one factor that can come off as persuasive in terms of being objectively verifiable.. but still frequently will make little to no sense for anyone who really spends a decent amount of time learning about bitcoin and giving a bit more skepticism to the claims that various shitcoiners are making about their supposedly superior coins.


So many times, members are framing this issue of transaction fees in erroneous ways in regards to what are the transaction fees at the time of the transaction (or the transfer of the bitcoin from the exchange to the private wallet), and personally I think that we should be attempting to understand the idea of UTXO management beyond just the transferring of the amount of BTC off of the CEX (centralized exchange, presumptively if that is the way that many members are acquiring their first bitcoin(s)).

Let's attempt to consider that if we are creating UTXOs (amounts of BTC that we are holding in private wallets), that when possible, we should be preferring to keep those UTXO higher than a certain amount.. perhaps in the ballpark of being greater than 200k or 300k satoshis.. or even a bit larger than that... just to make sure that we have options down the road.

For sure the more that we use bitcoin, the more likely we might have UTXOs that have smaller quantities of satoshis, such as smaller than 100k, and there is nothing wrong with that as long as all or most of our UTXOs are not falling into such category.

So for example if we accumulate 50k to 150k satoshis on a weekly basis for 5 years or more and we are constantly transferring those sizes of UTXOs to our private wallets and maybe we might have suffered from fees in the first transferring of the satoshis to our wallet, yet we may well end up with 100s of UTXOs with with relatively small quantities of satoshis per UTXO, and we may well may not have realized that we had contributed to our own situation of having a bunch of UTXOs that are costly to spend and perhaps even some of them might become uneconomical to spend.

We cannot know the future in terms of what the onchain fees are going to be and potentially what quantity of UTXOs (how low?) might become unspendable or uneconomical to spend.. so sometimes even if we we end up having a relatively reasonably sized UTXO, such as one that is 200k satoshis or higher, yet if we spend 150k satoshis from that UTXO, then we still would get left with change that is 50k satoshis or less because of the way we chose to spend that UTXO...

Surely the longer that we are in bitcoin, we can attempt to learn how to spend our UTXOs and/or to manage them so that we do not inadvertently pay higher fees than we would wish to pay, yet from this time forward, we could attempt to try to mitigate some of our future potential problems by attempting to minimize the number of UTXOs that we might have below certain lower level amounts such as potentially trying to keep most, if not all, of our UTXOs above 200k to 700k (which currently is 0.002 BTC - 0.007 BTC = $140 to $500).  Each of us is responsible to figure out these matters, even though we may not need to know these kinds of UTXO management matters in the beginning so long as maybe we consider that if we are buying $10 per week of BTC or some other relatively low amount of BTC, then we may well need to let the quantity of our BTC holdings to grow in our CEX account to a reasonably high level of potentially 200k to 700k satoshis or higher before we transfer those satoshis to our own private wallet.

Well I doubt if one of the reason why people chose to use DCA method is to be consistent because I have seen people who uses the DCA method yet they are not consistent and sometimes not being consistent is not because they choose not be... But because there source of income may not be stable or active. However, I think one of the reason why people choose to use DCA method is because they can invest with little amount of money and they can also invest with big amount regardless of the market condition and it doesn't matter if we are accumulating with little amount rather what matters is our commitment to our investment.
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You seem to be saying that DCA allows you to be consistent, even though you are saying that DCA is not pursued because it allows you to be consistent.

In other words, you seem to be contradicting yourself in terms of what is the meaning of consistency.

To be consistent, there is no need to have any kind of exact amount and/or exact time that the person buys BTC, and surely even consistency can have flexibility contained within it - especially if a person's discretionary income might vary, so consistency in regards to DCAing could be based upon the levels of discretionary income that might be available in any given period of time whether weekly, monthly or even some other time frames that might not even be exactly consistent in themselves, but the person still might be somewhat consistent in terms of attempting to balance how much he is investing into bitcoin in terms of how much extra discretionary income he might feel that he has that could be used to buy bitcoin rather than using or saving that money for other purposes.

Well I doubt if one of the reason why people chose to use DCA method is to be consistent because I have seen people who uses the DCA method yet they are not consistent and sometimes not being consistent is not because they choose not be... But because there source of income may not be stable or active. However, I think one of the reason why people choose to use DCA method is because they can invest with little amount of money and they can also invest with big amount regardless of the market condition and it doesn't matter if we are accumulating with little amount rather what matters is our commitment to our investment.

Buddy I congratulate you for this bold step you took to start this journey, the amount you started with is not a problem to me because I believe you started with the amount you can afford and what matters is consistency, you might start little today but overtime your consistency will determine what your portfolio will look like in the future, atleast you were able to overcome procrastination which is a dream killer, am very happy that you found Bitcoin worthy of your investment and deem it necessary to be part of the best digital asset.
Am impressed that you have already chosen a long-term goal which means you are really out for the said business, you have really done well for yourself, it is really a good thing to have a newbie like you to talk about DCA method of Bitcoin investment in this manner, with what you have said so far I believe that you understand how to go about your Bitcoin investment on weekly and monthly basis which you have stated already that sound very great, I wish you well in this journey.

I love your advise to your fellow newbies but you must know that as you have embark on this journey, having known that it's a long-term investment, you need not to allow anything to hinder you from continuing or stopping this journey halfway, am happy that you mentioned DCA method which allows everyone to run this investment slow and steady though it does not prevent you from buying in lump sum if you have lump amount ready to buy, the DCA method keeps your investment going gradually as it fits yours pocket and make you relevant in the system without any hindrance, i hope to see you continue in this way in other to have a bulky porfolio and hodl for a long-term.

So in essence what you are saying is that irrespective of the prevailing high withdrawal fee at that time, people should always withdraw their bitcoin off Cex? Well to me it depends on the quality of the holding that the investors are holding in the Cex at that time. If the withdrawal fee is as high as 20% to 30% of the bitcoin deposit you have in the Cex, don't you think it will be better to leave it there for a bit and allow the bitcoin withdrawal fee come down a little? Let's assume you have like $400 worth of bitcoin in Cex and you are paying up to $100 -$150 in withdrawal fee. It doesn't make sense that way. So at this point I think it will best if you allow the withdrawal fee to reduce before withdrawing. But for investors who don't care about the fees they are to pay they can go ahead and withdraw. But for small investors that are still starting and doesn't have much money they can hold on a little longer for fees to reduce.

Yeah that's actually true. It is good we encourage people who took a bold step in buying bitcoin and HODLing, because that singular act is a reminder to others who has been procrastinating to buy bitcoin without taken it seriously. and it's a way of letting people know that bitcoin investment is not just saying without fulfilling. It's more of practical than of theory.

Actually for me I don't see anything wrong in displaying his bitcoin HODLings here, because it's a way of encouraging others to invest Afterall no one knows each other all what we see is a user account without a real profile picture to identify the person. Except for those who knows each other outside forum. For me what matter is to keep your Seed phrase safe and secure from people, because that is the only thing that can be used against you.

I believe in the word that says "don't despise the days of your little beginning" as a little beginning will always yeild a great ending if done consistently. What really matters is taking a bold step without a second thoughts or procrastination.

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Exactly it will never bring any stress to them since DCA strategy is simple to understand. Consistency is important factor in this strategy and if newbies would just follow the discipline need to be inserted in this strategy for sure that they would get higher success rate to gain from their bitcoin investment.

The only thing bothering for most of newbies is current events happen and price volatility. But if they could able to resist the dumping situation and overcome the FUDs which common issues happening then provably that there's nothing could disturb them towards their long term goal aimed for Bitcoin. Those issues like losing job or other thing mentioned is temporary occurrence and for sure if they are eager to find new opportunity to gain something they can cope up those important things and get back on their feet to continue their investments.

Waw Congratulations! I am really happy for you. At least you have taken a step already. Since you already started investing, you can just keep on increasing the bitcoin that you are holding gradually. Always make use of the DCA strategy as you are investing in bitcoin. Also, I don’t always like the idea of displaying the amount we have invested in public, that is supposed to be hidden, so next time you can just decide to blur the part that displays the amount you invested. I always like things like this to be private, but you talking about your investment can encourage other people also.

Don’t think the amount you invested is kind of small, everyone started small, but with time you should be able to grow your portfolio. But it’s really a good idea that you have already started investing, just keep on increasing your portfolio gradually.

I believe the whole essence of the DCA method is so that one as investor can actually get to invest in Bitcoin without inconveniencing himself or thinking about the right time to buy because the DCA method set you up with what you can afford to buy and the best part you do it on a steady without getting things twisted up. The best part of the DCA method is that anyone can start their portfolio even a newbie investor can start up buy little by little and maybe probably increase or adjust whenever the situation favours or go against him cause life is definitely unpredictable and a lot of up's and down involved.

Investing in shitcoin should never be a topic of discussion because that is a total mistake that we are encouraging people never to make. Despite the superficial advantage of low transaction fees that people often use as excuse, the risk of investing in shitcoin far outweigh the advantage. When Bitcoin transaction fees is high, it has been suggested that any investor using the DCA method can transition from doing weekly withdrawals to monthly withdrawals to save money that would have been wasted as transaction fees. However, the habit of chosen centralized exchanges for storage of our Bitcoin during the time of high fees is highly condemned and should never be seen as option.

One of the reasons for using the DCA strategy is that an investor can be consistent with their income to invest in Bitcoin. This strategy not only relieves an investor from stress but also makes him more interested in investing in Bitcoin. There are many people who lose interest in Bitcoin investment because they are not able to invest lump sum. For that investor the DCA strategy is a dream investment. Investor can run it for longer period according to his income. An increase or decrease in income can make the difference between an investor's deposit, but his regular investment does not stop, which is why the investor succeeds in holding bitcoins at a regular basis.

Since Bitcoin blockchain has one of the highest fees in compared to other blockchain, then in times of very high fees, then shitcoin investor will be forced to hold their coin till whenever the fees goes back to normal. What if the coin is dropping down. Am just saying that an investor will choose to invest huge amount  into those shitcoins instead of directly investing in Bitcoin. I see no point in doing that though. However, its their choice to make.

That is why some advice emerges why people must be involved in investment in an amount that is more capable of being responsible because it imposes a large amount of purchase and ignoring other needs will actually cause problems. Simple to achieve the maximum investment stage in Bitcoin and people can implement DCA strategies as a step and this will show how consistent a person is to achieve the stage of financial freedom through a more responsible structure.

With such planning people do not need to ignore other things as a form to meet the needs of life. If there are no plans in carrying out investments, it will only make problems because our lives in this world not only talk about investment. Therefore it is important to have knowledge in making management so that people can benefit optimally for investment problems.

I am usually very attracted to new things. I am not recommending or recommending to adopt any new method as a newbie. For a newbie I would suggest to stick to DCA in the beginning or he should follow the method in which he feels comfortable to invest if it is not harmful. Over time, one should practice or learn the difference between good and bad by using alternative methods to experience and learn other methods.

As you learn or gain experience with alternative methods, it will help you manage your investment according to your situation. Even after becoming experienced you may discover new methods that other forum members will benefit from. However, whatever approach you take, the fundamentals of investing must be kept in mind. Investments must remain investments, not turning into trading.

Investing with DCA cannot be stressful for a newbie if he is using the right amount of his discretionary income to buy bitcoin weekly or monthly without overdoing it, and has a committed long-term mindset in his bitcoin accumulation. A new investor can start with little amount that can engage him is regular buying without stress so that he can keeping his bitcoin accumulation ongoing with consistent and persistent overtime instead of buying for a while and stop.

The only reason a new investor should stop accumulating bitcoin is if he loses is job, or doesn't have discretionary income on that month due to increase in expenses on that month. If the new investor have grown his confidence in bitcoin, he can increase his DCA amount in order for him to accumulate more bitcoin.

Not just an actual 10% of what we earn, it could be more or just less depending on our level of accounting for paid expenses and bills, savings and reserved funds including every other minor fees. The whole concept should be investing at ease, and not above budget putting the investor at risk of going shot from what he has left. All strategies are unique, either using any we still get profits from using them, the only avoidance is not spending much or aggressively entering the market which will definitely have a regretful impact in our proceedings.

It is great seeing someone starting up his investment this way, a great start and deserves some level of encouragement which i  can see some users already following up. While we can suggest the use of DCA approach which many investors already find convenient using we are not supposed to flush out the test of every other strategies out from his journey, at this beginning stage we can only advise to stick with the DCA but as time goes, i think it becomes more easy and approachable trying out other options because in a satisfying pattern they can all be put together to get a desired portfolio.

I NEVER said that trading your precious Bitcoin will be a high probability path to success, NEVER. What I posted was IF a fellow pleb is persuaded to buy a shitcoin, then he/she buy a shitcoin that resides in a SUPERIOR blockchain with VERY little technical debt - Bitcoin.

PLUS, if fees get very high because of all the shitcoinery in the Bitcoin blockchain, then we can be confident that that's a fee market feature that will incentivize the network's security providers.

Welcome for this great initiative of yours. You mentioned in a post here a few days ago that you have acquired a small amount of knowledge about Bitcoin which you have already reflected by buying and investing some Bitcoins.

It is not a small amount. Nowhere does it state that you have to purchase a large amount of bitcoins at once to invest. But invest as much as you can afford. Bitcoin investment can be started from as little as $5. You can also increase the amount invested based on your earning power over time. You have just started investing i.e. you have taken your first step in investing. The first thing you need to do right now is to create a fixed source of income to convert your investment into a long-term plan and buy bitcoin regularly on a weekly or monthly basis. Through which you can relentlessly buy bitcoins constantly. Take proper planning to keep your investment for long term.

This statement by MicroStrategy CEO Michael Saylor may inspire new investors to make their investments long-term.
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The main discussion of this thread is about bitcoin, and I would love you to always make use of bitcoin anytime you are referring to bitcoin so that newbies like inearth won't be distracted in his bitcoin accumulation journal. 
Like you said, he just started his bitcoin investment, and it is wrong to tell him that he needs to make his target bigger because it will only put pressure on him, and he might get stuck trying to increase his monthly DCA money. You don't know if he has a shitty source of income; just allow him to continue with what he has for now; maybe that is what his discretionary funds could allow him to invest in bitcoin with. You sound as if investing in bitcoin is the same thing as someone lifting weights, but I want you to know that no stress comes with investing your money in bitcoin. You can invest in bitcoin even when you are traveling; you just need your phone and access to the Internet to be able to invest in bitcoin. And let's mind the choice of words we use here so that newbies will not get the wrong impression about bitcoin that will make them lose hope in starting their bitcoin investment.
Even though the DCA strategy is the perfect strategy for a newbie to start with his bitcoin investment, which he has adopted, I think it is not right to advise inearth not to learn about other methods of accumulating bitcoin because there is a need for him to do so. Because at some point, he might want to lump sum on bitcoin so that he can increase the size of his bitcoin and still maintain his DCA strategy. The DCA strategy is very simple and easy to use, and learning about other strategies will not get him confused.