Topic: Buy the DIP, and HODL! - page 290. (Read 108784 times)

Exactly! You are right I also read his posts carefully and he give more and more knowledge. I like his style of typing most precious thing is that he gives examples. With these examples we Understand that what is the point and what is he want to say.
He writes a point briefly which shows everything. I mostly see when anyone has a point or he/she is on wrong side JJG try to his best to teach him/her. I mostly visit his post history and chech what is he saying and why is he saying to get more knowledge from him.

Honestly JJG, I'm overwhelmed with your response. Your influence and guidance in my Bitcoin accumulation journey can be greatly felt. Just like a naivete I was thinking in every investment there is to be an exist from it but then I was wrong. You are more of an eye opener in this forum.

Do we assume that stuff like this would ever happen, what becomes the possibility and cause if it might happen?

You must live in a small world, or you have been overly influenced by "trading" talking points.

People talk about building and passing down generational wealth, so that is not about exiting, but instead about building, accumulating and maintaining pristine assets.

If you build enough of them, then you either do not have to sell any of them, or the wealth generates other kinds of income and you live off the income from the other cashflows that are generated.  

Another possibility is to just skill off of the assets.   If you aim to get to $2 million in assets (which produces $80k per year of income or $6,666 per month), and then you get to $1 million, and then all of a sudden (within a year or two) bitcoin ends up 10x or even 50x, then all of a sudden you have 5x to 25x more than you need (which would be $33,333 per month to $166,650 per month)... so you can skim your assets at 4% per year and then have 5x to 25x more than you need in your income or may you decide not to skim that much, so your assets just build.  You do not have to sell them just because they appreciated in value a lot.  What are you going to buy with the assets that is better?  There is nothing that is better, so why fuck around with selling into some inferior asset or even consuming when you don't necessarily want to consume that much.  Of course, you will have discretion when you end up having 5x to 25x more than what you had aimed for.  I am not pointing out unrealistic scenarios, even if some folks have trouble holding through a 10x price rise, we had a 78x price rise from late 2015 (at $250-ish) to late 2017 at $19,666, and yeah the BTC price corrected back down to $3,124 so that the price appreciation might have ONLY have been considered to be 12x, but even at today's BTC prices of $41,200, the price appreciation still could be considered nearly 165x from 2015, so it is not unrealistic that someone might have even accumulated 200 BTC in 2015 with a mere $50k and then held onto most of his 200 BTC until now, or maybe he sold 50 BTC and he still has 150 BTC, so his $50k in terms of the remaining 150 BTC would still be valued over $6 million spot price and over $4.5 million if we use today's 200-week moving average price (which is right around $30,250).


I am not talking about holding BTC on exchanges; however, I am talking about ways to get out of BTC.  If you own 150 BTC, but you have no place to sell them, then you might feel trapped.



You are talking about something other than what I was talking about.


Usually the best way to deal with fear is position size, so if you are trying to be aggressive with your BTC investment, you still likely have to not be so aggressive that you end up feeling uncomfortable... so ONLY you are going to be able to figure out that balance or even how much you might not want to say to others since your investment is your choice, but yeah, sometimes you want to share things with others close to you too. I know that I was called stupid by a lot of nocoiners and low coiners for 2-3 years and even more than that, because even when my BTC investment became profitable, I was called stupid for not cashing out in the big price rise of 2017, for example, and the same was true in the big price rise in 2021, why not cash out.  So people are going to second guess you and you can even end up showing that the investment continues to go up, and they will still say it is dumb..and what happened in the past cannot also guarantee future performance that is even going to be close to past performance, but that still might go to getting comfortable with a position size... and maybe no matter what there is going to be some discomfort in regards to whether you put in enough or if you might have put in too much...and I am not sure how long it takes for those feelings to go away or to be sufficiently reduced.. maybe with such  a volatile asset such as bitcoin that is almost inevitably going to continue to be volatile, uneasy feelings will never go away completely, but they can be put into some kind of a comfortable place that surely feels better when you are in profits as compared with being in losses, and even Michael Saylor (and MSTR) was in losses in regards to his bitcoin investment (with an investment average that was in the upper $20k and in the lower $30ks, depending on when you assessed his holdings) for a decent amount of time between mid-2022 and late 2023.


I am not sure if I get exactly what you are saying, yet having a plan is very helpful and sometimes having some flexibility is helpful, too.  So yeah you can buy right away with some and then you can have some funds for buying on dip and also some funds that you add to your emergency fund, and once the emergency fund gets to a certain comfortable size, you likely would not need to keep adding to it, so then new money coming in would be able to dedicate to buying bitcoin DCA or holding for buying on dips.  I recall when I was having some cashflow problems in mid 2015, there were several times that I was getting some extra $20 or $100 or some other random amount, and so I had expenses, so usually when that money came in, then within a day, I would spend half of it on buying bitcoin (no matter when it was confirmed to come in, either hit my bank account or I would receive in cash), then then the other half would just go towards expenses, so at the end of the month or whenever my various expenses were coming due, I could reassess based on the half that was building up if I had anything left that I would be able to use for buying more bitcoin, otherwise that extra money would  just sit in my cash account an wait for various bills to come in and sometimes the certain bills would be expected to be a certain amount, and when they came in they might be more or less than expected, and some of the reserve funds would go to that if the bills were higher than expected, and if they were lower then expected then the money in that fund would be available for buying BTC... so yes, maybe you are saying something very similar, and after you practice such a thing several months, then you will get more used to what works for you and the ways that your cashflows are coming in.  My situation was different in 2015 than it had been in other times based on some problems that I had with a business partner at the time that caused me extensive uncertainties, expenses but then uncertainties in my cashflow too.


Well use whatever you are able to use.  I do find Excel to be very powerful to keep track.

But you could come up with various paper versions, even though the problem might be that you have to continuously rewrite everything once you change a variable or two.  One good thing about excel is that you change one or two variables and then all of the numbers will be adjusted accordingly, so sometimes you can have several different variations of similar things that help you to figure out various scenarios and to incorporate them with copy and paste..and maybe just change a few of the variables and get a whole different set of numbers that you can compare scenarios.


Nothing wrong with that... You should be at a point that you are comfortable anyhow.. so if you start out with $25 per week even though you could do $100 per week, you might feel more comfortable, and even if you have $1k available that you could lump sum, maybe you decide to just lump sum $200 at some point that you are ready and to hold the other $800 in reserves.


You also know more about yourself if you invest 3 months and then 6 months and the 9 months and then a year.  So as you are investing, you get to know yourself better..   you get to know your balances, and you become more informed about your investment, especially if you are having some troubles with the theory sinking in, after you have some of your own experiences, then you have some stronger reference points in which to compare what you did and where you are at and what you might do into the future based on what you did and also where you are at that had hopefully changed, especially if you are reassessing a year or even several years down the road... Sometimes it can seem that the progress is taking place so slowly, especially in the beginning the amounts might seem so low... but if your holdings are growing then maybe it still seems that the amount that you are adding is so small compared to your total investment, but you also realize that if you spend years and years and years adding certain amounts, the total starts to build and even what you added might end up having some compounding effects later down the road.


It seems that we are potentially in an upward trend this year and next year, but sure that is not easy to know.  Probably the best that you can do is to project how much cash you are going to put into bitcoin rather than how much bitcoin that you will end up getting from that cash injection.

And with an Excel spreadsheet you could plot out the various kinds of scenarios in regards to your expected progress for this upcoming year, and 2025, 2026, 2027, 2028 and maybe additional years.  Of course, you can do it on paper too, but it also seems to be one of those kinds of things that is constantly adjusting, which is one of the powers of the Excel spreadsheet, so you could even have some projected percentages of how much cash you might plan to spend to get BTC and also how much BTC you expect to get from each of the purchases, so you could have today's prices, and so as the price changes, the projections would change. .. so some scenarios might be BTC prices going down and others with BTC prices going flat and others with BTC prices going up, but I think that the most realistic is the scenarios of BTC prices going down, and so you might have some parts of thses projections that you change every month or whatever in order to project the future based on ongoing updates.


What you are saying sounds pretty dumb Hewlet.  What I mean is that we have an asset class that has a lot of power, and you are talking about selling merely because you are in profits, even though people who have been buying and holding bitcoin for 5 years, 8 years 10 years or longer have had varying amounts of additional profits because their BTC holdings have had opportunities to compound upon themselves several times, an the longer that they have been in BTC the more likely that they have older and older BTC that has compounded upon itself more and more.  If they cash out every cycle, then they may have missed various price spikes and lost out on opportunities to compound their BTC investment.


Have to be careful in terms of narrowing your goal down so much, since it may well be that investing should be giving you more financial and psychological freedom as well as options and security.

And many of us realized that even with the great performance of bitcoin, there can be periods in which we have to be careful about taking too many profits too soon and then we end up having way fewer bitcoin than we should have or could have had if we had been more patient to stick with a longer term mindset.


I think that savings and investing are similar things, and it is likely not a great thing to be quibbling about which is which.

Of course, with investing we might be more concerned about making sure that we are earning a return and less concerned about short term liquidity, but these are mere trade-offs, and there are a lot of things that we could invest into  and they have their differing attributes. but if we hone in on the topic of this thread, there might be a lot of us (or even newbies to bitcoin or even newbies to investing) in which it does not really matter so much what the difference might be between savings and investing because they well might be starting out with just balancing cash and bitcoin.. and each of them can be considered savings and investments because reaching the right kind of balance is going to have the cash serve as a way to help the bitcoin to continue to grown and not having to worry so much about if the bitcoin might be going up and down in value relative to the amount invested into it, but that if there might be consistencies in building and investment portfolio that might ONLY start out with two categories of assets/currencies (that is bitcoin and cash) then they are both serving as investment and savings, even though surely if the bitcoin is recognized and appreciated as the sounder of the monies, then there should be more efforts made to protect the BTC in terms of building it and spending it last.. and considering it in terms of longer time frames of storage of maybe even 4-10 years or longer.


The mere fact that you are poor does not make it a good idea to use your investment as an emergency fund, and it is even more important to work towards creating an emergency fund so that there is not going to be any need to dip in to the bitcoin investment.

I will agree with you that it could be the case that a poor person might never be able to get out of poverty because he might not have enough disposable income to actually either build up an emergency fund or to be able to invest separately from the emergency fund.. so it is quite difficult for anyone to invest who has a very small discretionary income.. and so it will be difficult to get ahead, even in bitcoin if all that they are able to invest is $10 per month or even $10 per week.  I am not going to say to give up, but I am also not going to suggest that anyone should be using their investment as an emergency fund, otherwise they are not really taking enough measures to be able to invest and they are gambling rather than investing, and yeah, gambling can sometimes end up paying off, but it is not wise to gamble.

"I'm not sure how low" , this is the problem with buying the dip. The confusion, the anxiety, the FOMO and all manner of unrest are what make me so uncomfortable with buying the dips. You could buy $42,000 and price drop further to $40,000 and further to $38,000 and even more. In this case, which is the real dip and when will it stop going down? This seem complicated for those of us trying to have a hang of this.

Having learnt about the DCA method and how to apply same, I've concluded that it presents the answers to these troubles of contemplating when to buy, hence, the reason I have been using it to build my BTC asset. It could be slow as I have to wait for the time I set to buy again, but I noticed some level of discipline in me ever since I started. I'm calmer now, not in a rush and I spend more time doing other things rather than watching the chats. I must admit that the DCA method is great.

Yes, for bitcoin investors looking to take advantage of the bull market, the current dip is indeed a great opportunity to jump in and buy. I tried checking on the exchange earlier, it turns out that Bitcoin has experienced a price decline again. Even though it's not very deep, this is the right moment to buy bitcoin. Although we don't yet know whether the price of bitcoin will fall further or not. But in my opinion, don't wait for prices to drop again. Because it could be that a few days later the price will rise again and it will be difficult to reach the price at the current point. Because as you said, the current price of bitcoin is difficult to predict. Therefore, it is better to take advantage of the existing momentum, rather than having to wait.

Although the risk of price decline is still quite large. But in my opinion the potential for price increases is quite large too. Because if you look at market sentiment and fundamentals, the price of bitcoin will continue to move towards increasing prices. The reason is because Bitcoin will soon face a Halving cycle. Which of course will make many bitcoin investors flock to buy this asset. Then the second reason, as you said, the bitcoin ETF has now been legalized. If seen from a positive perspective, Bitcoin will become increasingly popular with many people.

So if you look at these aspects, I think bitcoin will continue to experience price increases.

Here actually the newbies about investing don't face any losses and get the opportunity to buy Dip in the right way. However, since the price of Bitcoin fluctuates up and down, these discussions are very important to strengthen and ultimately sustain the investment for the long term. Holdings should not be short-term compared to the price of Bitcoin, the target should be for several years then the target will be complete. Whenever you compare your long-term holdings with the price of Bitcoin, the lure of money will force you to divest your holdings.  This is why I would say that you should never compare your long-term holdings with the price of Bitcoin. My holding will be for 7-10 years only then it is possible to convert to long term holding.

Indeed. Probably many of us are expecting the price will already skyrocket after the recent good news circulating crypto as a whole. But it didn't go the way they expected and the price had correction. This might be a not so good news for investors who have a high expectation that bull run is already coming. But for investors who still want to engage themselves or wants to accumulate more, this situation is an opportunity.

Therefore, don't miss the chance especially if your plan is to hold for long term. Remember that if you want to gain something then you need to take risk. So buy and forget for a while. In time, you'll see the worth of holding Bitcoin (long time investors already proven it).

I believe many investors already know that bitcoin is volatile even before going into it and this can not be the reason for them to sell their holdings or stop their learning process. I believe it all boils down to proper investment orientation and accumulation strategy which we are all enjoying from this thread, cause what an unexperienced investor ill call them would see as a loss or would cause him to panic and sell his asset another who has a proper investment plan(DCA), has checked out his numbers(his income and expenses), and has already started building a good emergency funds would be in that same position and is only thinking of buying more at that dip and continues his accumulation. Besides Bitcoin price no matter how much it falls always finds its way back up. Think about the March 2020 event too.
Yes it's true that with DCA your investment is always winning as long you've got it all planned well and it's also important to add other strategies like lump sums to keep yourself ahead but it all boils down to what you hope to achieve. But referring to emergency funds, I believe that this is used to take advantage of market opportunities that would have seemed like a loss, like a major dip and then you use your emergency funds that has been kept in case anything happens during your accumulation. I think think its advisable to separate your investment emergency funds from another you can have normal savings incse of expense emergency, but its always good to have emergency funds for your investment incase of worst case senerios. Sir Jay mentioned to me earlier that we can plan out different senerios the market or our investment can go, this would help you to be prepared for everything that could happen.
I like you guys to start seeing bitcoin as an asset and not just any investment commodity or scheme and I think the term investment is putting confusion here since many persons have started to look at the profit side although I can't seem to find a word that can replace its context or meaning. See bitcoin more like a real estate, tesla stock or any big companies stock. The idea here is to own as much a large share of bitcoin so that as it progresses your investment progresses. The joy of long term is I bought bitcoin at 1k and now it's worth 50k, now that's we bitcoin holders are looking at , the long term value of bitcoin. So when you guys are talking of profit, you should be talking in term of what percentage or numbers you have accumulated in your investment journey.

@ patrol69 apparently I think you are deviating from the concept of this thread Which is mainly discussing the various strategies for accumulating Bitcoin for long time, you are even mentioning a short time investment and trading i think that doesn't belong to this thread, if am wrong someone should let me know.
Investing  in bitcoin for short time are know or see as trading Which is more like gambling, but you can accumulate and hold through the different strategies, which includes the lump sum, the DCA and also buying when there is a dip.
It is a certainty that every investment comes with it's shares of risk (gain or loss) it is said to hold for long time so that if there was a loss in the process it can be recovered late.

Of course, for beginners, this will not prevent them from acting aggressively because if they have a lot of money, of course they will not be influenced by their decision to buy aggressively at the start of their investment. However, those who have not too big finances will definitely think about it if they act aggressively in the initial purchase. Indeed, arranging finances is a priority for beginners because they are still new and need learning to strengthen their mentality in Bitcoin investment.

I agree with you that the main point in taking aggressive action is not only carried out by beginners but also by old investors. So that they really think about the decision they make if their purchase is right at the lowest price point to trigger their enthusiasm to continue buying at the next stage. Even though this category is an investment for the long term, it is necessary to find a cheaper price if you want to do it aggressively.

Prices still holding at $41k, but yeah, who knows, maybe in the next coming days it will be <$40k and so it will be a good buying opportunity again specially for those who have funds and take advantage of the situation.

Obviously, we don't want to see the price going down again as everyone is very bullish specially that we have ETF approvals already. But as we can see, the market is really unpredictable that it went on the opposite side. So yeah, it we will at the dip in a positive way, this is a great chance again to stack up sats and accumulate.

It wasn't like that for me to begin with:
Let's say I have a $1000 reserve fund, it will remain undisturbed until I need it again in another emergency.
When you start investing, you will start from scratch, no need to take $300 from the reserve fund.
Let's say I start again from $20/$50/$100 per week/month depending on income, well then this will be more for me practically this investment will continue to grow while I still continue to do DCA all the time so the emergency fund remains safe while the investment is still running until now.

When there is already a reserve fund, you will feel very safe when other things are needed, now it only remains for you to play how aggressive the level of DCA is every week it also depends on you managing it well if 30% of the monthly salary is invested in bitcoin I think it is more than enough while the rest you can use in your expenses even you can add 5% to the reserve fund, but for me it is enough if the emergency fund is enough to last for 6 months.

You are right emergency fund is very important in times of investment however even @Jay has also explain so much about it concerning how important it is to have a reserve fund incase any need arises, however this is actually one of the reasons why they said information is power because if almost all the investors has visit this thread to see the kind of information about investment decisions and strategies of accumulating Bitcoin most people would have not made some certain mistakes they have actually made on there investment.

So actually in as much as is very important to keep accumulating Bitcoin shouldn't cloud our judgment of making a reservation for emergency fund because no matter how most investors may feel that no matter unforseen circumstances may arise they will never tamper with there investment but however there would come a time when they will be left with no option but to sell there investment do pressing need that's coursed by lack of planning.

However, what Salahmu said is correct because such situations can affect both business men and investors.
People who sell too much of their coins can not make good profits rather than losing everything they have sweats for, just like a business man using his or her profits to gamble without refreshing his or her business or investment with the profits he or she has made from the investment.
I might conclude that most of the investors who sells more than what they are supposed to sell are people who don't safe for emergency or do not plan very well before going into Bitcoin.
Some people might use their profits to do something that worth it.

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Waiting for dip might be good but one can find it very hard to know when the dip is near, one might wait for a while month but can not no the time for the dip so i think buying without waiting for dip will be the best way.
Moreover, Bitcoin newbies might be scared to buy Bitcoin when the price is high but that's is why most of them have decided to wait for the dip.

Market is dipping because so much the space has been infiltrated by grassroots investors who view capitalism and free-markets as akin to "gambling" as opposed to an inextricable way of freedom-in-life.

Too much emotion and fear by people who have family dinner conversations that include statements like "well you can do that stock market thing IF you trust them to PAY YOU! HA!", "I put 5k in and I'm up 200 dollars - should I pull it all out?" and "I'm glad I got out before it went to zero, man! Whew!". And so you get an ETF announcement and people aren't instant millionaires from it, then "it doesn't work! It's not true, sell it all before it goes to zero!"  And while I'm glad that crypto is widespread, an amount of vitriol towards the environment is warranted because the investing psychology clearly impacts these volatile markets.

But with that said, it's fine... bring it. I have stretch-goals in volume targets I need to hit and the lower it goes amidst this "ETF Hangover" the more volume I can add before my personal long-term-gains cutoff date.

You're right, the price has been decreasing steadily now over the last few days, its surely Dipping now and its surely going to dip more in the coming days because I've a feeling less transactions occur at weekends. This is a rare opportunity presenting itself now. Its action time for those that are smart.

Buying the DIP and HODL is surely an unarguable good decision now.

Like seriously, so if you bought bitcoin worth of $1000, and you have made a profit of $200, which your total worth of bitcoin becomes $1200, then you should take profit? No, with this pattern you will only end up putti g your fiat funds at risk, and that is not can an investment. Investment should be left to grow and mature. Long term investment is the best investment for bitcoin and if you have finally reached your bitcoin target, you can start maintaining your bitcoin portfolio, and if you must take profit because you see that you have enough bitcoin or more than enough, then that is cool, and it should be good that the profit should diversify the profit into another asset, but not when because you see small increase in your investment worth during your accumulation stage, then you jump into selling all and hold fiat.

If we know that bitcoin is a store of value and Appreciates over time, and because of that we invested, then why are you in a rush to sell and hold fiat that will depreciate instead of still keeping your bitcoin and increasing your bitcoin portfolio, so that you can be benefiting from the compounding interest. It is better to hodli your investment for a long term and if possible see it as a treasure that is worth keeping, so that you will not even sell 50% of it when your have reached your bitcoin target.

What I do tell people that have invested for four year, a whole circle and think that selling is the next option, is that if you can survive through out the four years that invested and grow your bitcoin portfolio without stress, why don't you continue hodling since you can do without your selling your investment and you will still be fine. A longer period of time should be the vision of an investor, so that he can be successful in his bitcoin journey.

Another DIP buying opportunity might be coming! I'm not sure how low, or if this correction continues to fall under $40,000, but buying some Bitcoin with any sort of discount should definitely be "greeted" with open arms. Don't miss the opportunity!

Buy the DIP, and HODL!

Bitcoin is a digital currency but we use this digital currency in different ways. As Bitcoin is used for trading, Bitcoin is used for short-term or long-term investment. You said bitcoin is only a long term investment coin but it depends on the investor whether he invests this coin in long term plan or he invests in short term plan. I think you may consider Bitcoin as an investment platform for long-term planning, but there are many investors who invest and sell their investments within a few days and invest again. The sustainability of the investment will mainly depend on what is the objective of an investor, how he plans his investment. If a different investor is less patient, it is difficult for him to hold the investment for long. Again if the investor is satisfied with a small amount of clubs then that person will not be able to hold his investment for a long time. The investor who can take the maximum risk in the investment, the amount of profit or the amount of loss after investing cannot affect the investor, that investor can basically hold his investment for a long time.

Investing is an art and the person who holds his investment for a long time is the master of that art.

Humans do everything first. First in life we learned to hold a pen but there is a considerable difference between holding a pen for the first time and holding a pen now, first joining a job and still doing that job but there is a significant difference between the first day and now. If you are new to any work, but in a new situation, you should not be afraid today. If a new investor puts fear in his mind in a new situation, then this fear will remain in his whole life, so there is no need to invest with fear, I prefer to invest aggressively with courage in my mind. If someone new to investment sees this and instills such fear in his mind that investment is very difficult and should be invested very carefully, then this fear will remain in his mind for the rest of his life. On the contrary, if you give the investor such courage that you will definitely succeed in your investment, then the investor will have a lot of confidence at the beginning of the investment and can invest with a lot of enthusiasm.  

I have noticed that if an investment is over-thought then the investment backfires so the decision to invest quickly without over-thinking is the right decision.

It is up to you for what purpose you are investing and for what purpose you will keep your investment for long time but if you ask me why I invest and why I keep investing then of course I will say I invest for profit. You may not find investors who are investing for loss rather than investing for profit. I think the main objective of investment is to make profit. Although the strategy is different, everyone invests with the objective of possibly making a profit, investing for the purpose of making a profit, and holding on to their investments for a long period of time, knowing that losses may occur. Those who invest for a long time usually do not wait for an opportunity to sell their investment once they have made a profit and invest again but once they invest they will increase the amount of investment but they will not sell the investment. You can consider traders who buy and sell investments.

it seems you are making a theoretical statement sir.

As much as it is necessary to set out modalities in place that will prevent is from torching our holdings in times of emergency, the reality is thatt emergency do happen and it's not everybody that always have what you are talking about here as emergency funds. As a matter of fact, investing in bitcoin is the emergency fund of some people and when they are able to sell off their holdings to solve a particular life problem, it actually gives them relieve that the made a reasonable investment that they were able to use in solving their problem.

In this circle of individuals that are investing in bitcoin are the rich, the average individuals and the poor and emergency fund is more associated with people that are rich. The poor or average individuals considers their investment ad their backup and this is why they get easily tense by any fluctuation in the price of bitcoin.