Topic: Buy the DIP, and HODL! - page 272. (Read 108847 times)

I thought that I mostly already sufficiently explained what I meant, but let me see if I can give it another try.

Ultimately you are in charge of whatever you believe are your parameters for investing or to make your goals.

I think that my main negative reaction to Fuso.hp was the way he was specifically saying that a long term investor needed to have some kind of a specific timeline and maybe some other specific investment parameters at the time that he invests, and it largely sounded too strict to me, even if Fuso.hp might not be completely wrong.

Frequently it is proclaimed that we might be able to predict price or time but we cannot predict both, even though we might create various objectives in terms of timeline and we might even create certain objectives in terms of time, and maybe they might end up crossing over, but there are also circumstances in which we may need to have some flexibility too.

Let's say, that you start to invest into bitcoin, and you also have a real job, and you know that you are going to be quitting that job in 5 years and you are going to take whatever you have in terms of the job and also in terms of what bitcoin that you have at that time and you are going to start to live off of it and you have a specific location that you plan to move and you also have some planned activities and/or work and/or hobbies... and your Plan A will be followed  as long as the total is above $1 million (combination of bitcoin and fiat), but if the amount is less than $1 million but it is at least $700k, then you are going to do plan B, which still involves quitting your job, but you have a another job that you will do in order to make up the difference so that you can follow plan A once you reach $1 million.  You also might have a plan C that you would follow if the amount is less than $700k but more than $400k.

I don't see any problem with setting those kind of conditions on yourself, as long as you are being realistic about what is reachable and you have various kinds of plans for various contingencies.  I just have problems when there are suggestions that you have to have specific plans at the time that you enter into your investment because some of the plans might develop as you go.

For example, you might say that you are going to invest and every year you are going to reassess, and you are anticipating making big changes in your plans after investing year 4, 8 and 12, and you are expecting to reach  fuck you status by 20 to 30 years, but you are not exactly sure about what that is going to look like, but your plans to continue to assess every year and that you are likely to make big adjustments every 4 years could be tentative plans that end up working out or you mght make adjustments along the way based on how things are developing, so you cannot really nail down any specifcs from the start because at the very beginning you have hardly any clue about how it is going to go.

Maybe you start investing only in bitcoin at 10% of your income, but you know that would take you 10 years to get one year's salary expenses, so you have plans to increase your percentage and also to increase your income and to cut your expenses, but at the same time, you consider that you have to improve your skills and maybe even go to college in order to increase your income possibilities, and  a lot of this takes time and you cannot necessarily know how it is all going to play out right from the start even though BTC could be a part of your plan (and maybe even an anticipated central part of your plan).

You see, no investment is 100% guaranteed be it a trader or a hodler as all are very risky and due to some unforseen circumstances that may actually affect ones investments make some people to only be interested in trading rather than investing and you can't actually blame them at all.

Let the truth be told most people are just interested in short term profits because they're always afraid of the fluctuations in the price of Bitcoin in the market hence they always panic whenever they buy at a dip and instead of the price rising it still dips further but they fail to understand that every dip gives and opportunity to accumulate more and hold for long term profits.

Buy on dips is not such a bad strategy, but when it is been prioritized as a determining factor for investing or buying then it's more like trying to gamble the market, and I think these set of persons are not actually long term holders, cause true long term holders are looking at accumulating more bitcoin while these short term investors are just there to make quick profits, hence why they prioritize buying at dips, but the flaw of their design is the fact that you can't really tell if the dip you bought is the last dip, what if the Market continues to dip and you end up catching a falling knife 😅. Moreover, there are times that people tend to wait for the dip for long and it doesn't come meanwhile if they have been dcaing consistently during those times they would have gotten enough in their bitcoin portfolio. Buying at the dip is good but waiting for the dip is not a good idea. The best option is while waiting for the dip, buying by dca could make you reach your target faster.

Exactly, I think one of the thing that can also help an investor when it come to bitcoin is  being flexible knowing that you are not the one controlling the market the market is controlled by different factors so waiting for it to reach a certain dip before you invest is like saying you are the one controlling the bitcoin  movement and I can say this is really a sign of greed and fear of course it will lead  to missing out from good opportunity.
 
Knowing that investing in bitcoin is a long time investment, you should plan better and keep aside the money for investment as this will help you avoid anything that will alter your reasoning because as an investor you must be psychologically  stable.
Also, timing the bitcoin market earlier will give you an edge over the market as the higher chance of profitable investment will be there instead of investing late.
 

Actually I don't really no were those investors get that concept that Bitcoin must get to a certain dip before they could buy, actually is a very wrong mentality because considering the potential of Bitcoin and how the price movement behave I see no reason why an investor will allow buying dip to stand as determining factor on his Bitcoin investment because if it happens that the price did not get to the exact point they wish to buy that means they will automatically end up not buying at all.

Perhaps it will be very wise for an investor to learn from the mistakes of other investors because there has been numerous of testimonies concerning how many investors lost the opportunities they had on investing on Bitcoin all in the name waiting for the right moment before they could invest and at the end they end up not getting the opportunity to buy Bitcoin and still so many other investors are still having that mentality of waiting for the dip before they could buy.

An emergency savings is not what we should use to play when we really want to hold our Bitcoin investment over a long period of time. A lot of people always have plans to hold their Bitcoin for a very long period of time, but because of emergency savings they lacks side is what makes them sell their Bitcoin or sell part of their period when the problem arises. So for a smooth Bitcoin investment, we should always know that emergency savings are always necessary, and we should alao be trying to continue saving for emergencies that may arise in the future and as we continue accumulating more Bitcoin.
 

It is looking like a lot of people are mixing things up as regards what a dip is thereby making it complicated. It is not supposed to be that way. During the period of ETF approval, Bitcoin rose sharply to over $49k before the retracement started and price declined to around $39k, a $10k drop in price. This is a good example of a dip but it does not have to go that low before anyone buying the dips should start taking advantage of the discounted price. Under this scenario, an aggressive investor who have already set aside funds for buying the dips would have started buying already when price dropped to $42k and lower. You must not get the bottom where the price will turn and start going up as that is irrelevant, you are only focused on buying at discounted prices.

I apply the DCA method  but I sometimes also buy the dip when I have surplus funds after setting aside my emergency funds and that of my basic needs with my DCA running smoothly unaffected. So buying the dip should not be complicated as many people make it seem because it is a nice way of accumulating Bitcoin in addition to the DCA method.

Waiting for the dip is definitely challenging because no one knows when the price may rise or fall in the market. Those who wait for the dip may miss the dip because of the bullishness. For example, the dip we had a few months ago is no longer possible. No one will get the opportunity to buy bitcoins at $16,000. I've heard some people say they waited for $10,000 after they hit $16,000, but that dream never came true. Of course we would say that dips are good, but if you don't collect bitcoins hoping for more dip, you will regret it later.

Many investors don't want to understand DCA. But if they do DCA then on the one hand they can increase their holding without financial pressure and on the other hand the change in the price of Bitcoin is not affected.

Your illustration is quite alright but I want to ask you from your illustration what if at the point of the parents taking care of the child in other for them to grow up and take their own responsibility then peradventure the parents losses such a child while they are trying to grow up is it a gain or a lost to the parents? See everything we are doing in life is just risk as no one knows exactly what the future holds or how it might turn out to be so also is our investments as we invest not actually because we are certain that we will make profits but because of our optimism towards positivity so anything is expected to happen to ones investment be it on the short run or the long run.

I think for a newbie getting these calculations right might be a difficult thing cause speaking from experience the best way for anyone to learn these strategies is to start doing them as soon as possible then on the process of doing so you would better start to the reasons for setting up each of them.

Buying at the dip is good but waiting for the dip is not a good idea. The best option is while waiting for the dip, buying by dca could make you reach your target faster.

Trading Bitcoin to me doesn't seem like gamble though it's risky but sometimes if you follow the right signals and watch the activities of coins in market cap. closely them you can actually make some profits from it just that the profit wouldn't be that much and people who trade Bitcoins are are only interested in the short term profit rather than being patient and enjoy a long term gain but however, every investor is entitled to how they actually want their investments to go so sometimes they do make profits from trading bitcoins.

Every system of investment is risky and it is important not to invest or trade with emotions as one need to be focused regardless of what the outcome of your investments may turn out to be. Trading Bitcoin isn't that bad if actually one can follow some basic trading ethics and principles then you can actually makes some cool profits from it though buying and holdling is still the best option because you're in control of your bitcoin and for now the main purpose of inventing Bitcoin is to acquire it in our individual portfolio and hold it till it attains it's highest ATH then you can decide what to do with it.

Actually I don't really no were those investors get that concept that Bitcoin must get to a certain dip before they could buy, actually is a very wrong mentality because considering the potential of Bitcoin and how the price movement behave I see no reason why an investor will allow buying dip to stand as determining factor on his Bitcoin investment because if it happens that the price did not get to the exact point they wish to buy that means they will automatically end up not buying at all.

Perhaps it will be very wise for an investor to learn from the mistakes of other investors because there has been numerous of testimonies concerning how many investors lost the opportunities they had on investing on Bitcoin all in the name waiting for the right moment before they could invest and at the end they end up not getting the opportunity to buy Bitcoin and still so many other investors are still having that mentality of waiting for the dip before they could buy.

If there is no emergency funds available there is no way you can hold your bitcoin for a long time. That's it has been emphasized several times that for you to hold bitcoin for long as an investor make room for emergency funds.

If there is no emergency funds available there is no way you can hold your bitcoin for a long time. That's it has been emphasized several times that for you to hold bitcoin for long as an investor make room for emergency funds.
 

The way a child is given birth to and the parents will take care of that child for many years spending and providing for him to make sure that he grows up and become an adult who can take care of himself and also take care of the parents when they are old, is the same way we need to invest in bitcoin and grow it through DCA gradually as a newbie so that a time will come when your bitcoin portfolio size has is big. Your money that you invested into bitcoin will start working for you by generating more profit as the price of bitcoin is increasing with timeline, and your bitcoin investment will start be your pride and it will take care of your expenses and whatever you need money for in your old age.

I'm not a trader but I've seen some investors that have been into trading Bitcoin and they are good regardless of the fact that they make few profits from it and moreover, how can an investor sell off all his coin when he knows that he can't buy it lesser than the amount he sold it so if any investor decides to sell off all his coin then he doesn't really know what investment is all about.

When the source of funds have been established, then the money should generally be divided into three parts which are for basic needs, for emergency needs and then the part for investment. Each of this should be carefully calculated to be able to get them right from the beginning and when that is done, the journey of Bitcoin investment will become smooth and effortless without the panic and anxiety that many investors exhibit.

If there is no emergency funds available there is no way you can hold your bitcoin for a long time. That's it has been emphasized several times that for you to hold bitcoin for long as an investor make room for emergency funds.

You see, no investment is 100% guaranteed be it a trader or a hodler as all are very risky and due to some unforseen circumstances that may actually affect ones investments make some people to only be interested in trading rather than investing and you can't actually blame them at all. If not that Bitcoin has a higher level of volatility do you think it would have gotten this far? Inasmuch as investment in concerned, every investor is actually interested in a coin that it's future is certain that's why a lot of the investors are involved in Bitcoin. Moreover, you need to understand that despite the popularity of Bitcoin, it's still very much young looking at when it was invented till now so it's gonna take few more years before it's authenticity can be visible for all to see though it takes patience for an investor to make profitable and long lasting investments.

Let the truth be told most people are just interested in short term profits because they're always afraid of the fluctuations in the price of Bitcoin in the market hence they always panic whenever they buy at a dip and instead of the price rising it still dips further but they fail to understand that every dip gives and opportunity to accumulate more and hold for long term profits.

Actually I don't really no were those investors get that concept that Bitcoin must get to a certain dip before they could buy, actually is a very wrong mentality because considering the potential of Bitcoin and how the price movement behave I see no reason why an investor will allow buying dip to stand as determining factor on his Bitcoin investment because if it happens that the price did not get to the exact point they wish to buy that means they will automatically end up not buying at all.

Perhaps it will be very wise for an investor to learn from the mistakes of other investors because there has been numerous of testimonies concerning how many investors lost the opportunities they had on investing on Bitcoin all in the name waiting for the right moment before they could invest and at the end they end up not getting the opportunity to buy Bitcoin and still so many other investors are still having that mentality of waiting for the dip before they could buy.

I'm guilty of that. ¯\_(ツ)_/¯

I started my journey through "trading" shitcoins thinking I would get rich, lost some of my savings, then I made the decision to put almost 100% of my savings until 2019 into Bitcoin. It was greed that attracted me here, but as I researched and learned more and more about "my investment", it stopped entirely being just an "investment", but it also became a back up/fall back in case the entire financial system fails/in case I need censorship-resistant transactions if we end in a world of CBDCs

We should stay for the ethos.

Will I say that you are short minded because you sound more like a trader than someone who have the intention to hodli for long. What is the point of Selling all your bitcoin portfolio in ATH, what will you do with the money that can yield you a better profit than bitcoin in the next four years, after you sold it. You want to start all over again, and miss the benefits of the compounding profit that your bitcoin will generate for you. You should also put into consideration that the price of bitcoin increases with timeline, so if you were able to accumulate 0.3 btc and sell it during the Bull run at ATH. It will be very hard for you to buy back 0.3 btc with the same amount that you bought it then.

The way a child is given birth to and the parents will take care of that child for many years spending and providing for him to make sure that he grows up and become an adult who can take care of himself and also take care of the parents when they are old, is the same way we need to invest in bitcoin and grow it through DCA gradually as a newbie so that a time will come when your bitcoin portfolio size has is big. Your money that you invested into bitcoin will start working for you by generating more profit as the price of bitcoin is increasing with timeline, and your bitcoin investment will start be your pride and it will take care of your expenses and whatever you need money for in your old age.