Topic: Buy the DIP, and HODL! - page 32. (Read 138674 times)

You're also among those who consider bitcoin to be very expensive based on your explanation, but you can only consider it to be expensive if you do not truly know what it means to hold bitcoin, or that idea of picturing bitcoin to be expensive is based on comparing the past price of bitcoin to what it is currently; if you are calculating the missed opportunities that you could have used to accumulate and you missed those, then you will consider it to be expensive.

But since Bitcoin is divisible in nature, you can purchase a little unit of it with what you can afford, hold it, and the value will keep on appreciating over time. If someone keeps considering Bitcoin to be expensive, then they will never buy a single unit of it. Holders are the people who don't consider it expensive—not even traders.

Dude to be honest with you the price of Bitcoin now is really expensive even though it hasn't gotten to half of it's future value but currently now it is expensive and the people that sees it to be more and very expensive are people who don't understand the benefit of investing and holding, and some think they can't buy little by little because they don't have an idea. However, traders doesn't actually look at the price of Bitcoin or how expensive it is all they do is look at the market, carry out there analysis and suggest the possible result or the possible movement of the market. In as much as our income are not the same hence Bitcoin will continue to be expensive to some individual and not only to some individual but also to some investors.

I agree with everything that you are saying, except for a seemingly overall reverence for days gone by, and your seeming suggestion that all has gone to shit in bitcoin (and the crypto space) in recent years.

Sure there are always negative and positive developments, yet I doubt that the kinds of sentiments towards shitcoins or the level of misinformation (and disinformation) is worse these days as compared with historical times.

As far as I know, there have always been ways to go wrong by either not believing in bitcoin or getting distracted into some shitcoin or some other distracting nonsense.

Yeah, times have to change, and the kinds of arguments have to change and the kinds of battles have to change, so it is never going to be completely the same to compare now to years gone by, yet there are also a lot of similar patterns with just BIGGER players in the mix and also the various ways of demonizing bitcoin or causing bitcoin to seem like a bad investment are just different, even though they may well have similar elements as years gone by, so a lot of times, any of us could get scared from our bitcoin investment and consider that the upside is not sufficient in order to stay invested into bitcoin, yet our fears about bitcoin largely should affect us in our position size rather than our completely getting out of bitcoin or failing/refusing to sufficiently get into it.

There are so many folks who end up considering some kinds of claims that bitcoin is not as good as it used to be to substantiate their failure/refusal to take a sufficient and/or adequate position, so many times newbies (or no coiners or low coiners) might consider bitcoin to be an all or nothing proposition rather than something that we might choose based on a position size, and if we are feeling bearish, then maybe we "only" take a position of 5% into bitcoin, yet if we are feeling bullish, we might take a position of 25%.  Yeah sure, any of us can deviate from a 5% to 25% initial investment range, since in the end each of us is responsible for our own allocation choices, including if we choose to fail/refuse to take any BTC position size, which is what a lot of newbie normies end up doing, which is reflected in the fact that it is quite likely that still ONLY about 1% or less of the world's population has any kind of stake in bitcoin.. so the so many no coiners and low coiners are going to continue to be disadvantaged by their failure/refusal to act to take a position while the BIGGER players, such as MSTR/Saylor, the Saylor imitators, various ETF purchasers, governments, institutions and rich folks continue to gobble up bitcoin's supply, while retail dummies continue to fail/refuse to act to take a bitcoin position to their own ongoing detriment, since the longer they wait, the more disadvantaged that they will be when they do finally choose to get in (they end up getting in at a much higher price, to their own detriment, since so many normies continue to wrongly conclude that it is too late to get into bitcoin or that bitcoin is a bubble or they missed their chance to get in.. blah blah blah.. have fun staying poor and/or end up having to come into bitcoin at a much higher price).

In relative terms, the number of people interested in the technology compared to the number of people interested in speculation only has tremendously decreased over the years. I remember having a lot of talks in the early days and of course price was a topic, but it was more about all the other stuff, like how to set up mining operations, how to store keys, how to contribute to the code, pulling an all nighter philosophizing about its impact on society, and so much more. It is not like that anymore.

90% of the time when I am approached they either say "can this thing called bitcoin still make me rich" or "do you still believe in cryptocurrencies" (when it has had red days) or "wow bitcoin is now so expensive, but what about this thing called X".

I hardly ever get approached by someone saying that he or she has looked into it and found bitcoin to be very enticing for reason A, B and C. It's not the case anymore and sometimes I miss those times because there is still so much to be discussed that is so exciting about it. If it wasn't exciting anymore, I would lose hope for bitcoin, but from the first day I found out about it, I had a feeling that this is going to be relevant in one way or another. This did not prevent me from making mistakes along the way when it comes to selling, but to save my honor, it wasn't all mistakes, but sometimes more of a necessity due to changed circumstances in life.

But yes, you can see it in this thread and I understand the title that it is about DIPS and about HODLING, which is totally fine. But the tone in most posts is very price focused and when people are price focused, they don't care about the name of the thing that makes them money or loses them money. I agree with you that the distinction must be made and I suggest everyone to google alt coin graveyard and reserve a spot for the shitcoin they have now their eyes on hoping it makes them rich.

It is very dangerous to respond with the term "cryptocurrencies" because if someone asks you whether you believe in then and you answer "yes I believe in cryptocurrencies", that person might go home and think it doesn't matter which one to pick... That is my experience and it has gotten worse whereas it was already bad when the flood of shitcoins started a little bit more than a decade ago.

some people are still feeling that Bitcoin is expensive at it current price, however that's not true the fact is that we as humans are always scared of taking the right steps, when Bitcoin was $30k some set of people still saw it as being very expensive and that made them to invest in shitcoins however in just few months and years Bitcoin has doubled in value and those shitcoins they invited there money to has remain stagnant some has even went below there initial price value.
Those that are into Long term Bitcoin investment won't have this thought that Bitcoin is too expensive, it is only those who are traders that always have such feelings because they feel if they buy at high price they will lose, if anyone feels Bitcoin is too expensive now and because of that he won't start accumulation let him or her get ready to regret because surely Bitcoin will double in it's price value because Bitcoin has not grown to half of it's limit.

And yeah it is true that Bitcoin is highly volatile in nature however it's volatility doesn't negatively affects your investment as a Long term hodler, the significant gap between its current price and its potential future value prevents Bitcoin's volatility from having a major impact over the long term hodlers, if you keep focusing on the current price of Bitcoin and think is too expensive then you will regret will the price double in future.
Accumulate little by little now that the opportunity is here because the future of Bitcoin is very bright.

I would be careful in proclaiming needs to dabble in stable coins, yet the idea of the emergency fund is to keep it in your own fiat or something that is likely to hold value well against your local currency, such as another fiat.  There are going to be more risks if emergency funds are being held in various kinds of shitcoins, yet surely on  a practical level, there are likely situations where guys might have close to 1 months expenses in physical cash, 1 month in some kind of a bank, and perhaps additional months could be in various other kinds of stable instruments that are fairly easy, quick and reliable to withdraw within a week or two at most.  A person could also have emergency funds in stocks and bonds, and they might be a little less stable, but also they might take a week or two to cash out of them, if needed.   I am not totally opposed to ideas of having some emergency funds in other than local currency, yet sometimes we may well have to have larger amounts of our funds tied up in various other sources in terms of a cushion regarding volatility of any other fiat, or cash instrument as compared with our local currency (however our bills are usually paid).


Sure it is true that perhaps in the beginning, the amount that you invest into bitcoin will likely be similar to the amount that you are building your various back up funds, whether emergency funds or other kinds of back up funds.  The larger your bitcoin becomes, then the more likely that we are going to want to protect it in a variety of ways, yet we also might become more justified in having higher level of back up funds too, so that we don't have to tap into any of our bitcoin, even though surely we can start to feel richer and richer since our bitcoin may well be growing both from our ongoing and perhaps consistent, persistent and aggressive investment into it, yet it could also happen that our bitcoin might go up considerably in value too, as we are investing into it..

Bitcoin's going up in value (price) is not guaranteed, but surely is within the realm of what can happen in bitcoinlandia..

Even if we look at the last couple of years, the amount of time that you have been registered on the forum Sim_card (and presumptively in bitcoin), if you had been able to front load your bitcoin investment, then you might have been able to accumulate a quite a bit of bitcoin in the lower $20ks, at least earlier in your bitcoin investment journey.. and so that portion of your BTC stash had ended up going up in the ballpark of 4-5x. .which truly is a good feeling, yet it also contributes to perceptions of wealth, even if some parts of your bitcoin holding are not going up as large in value as those earliest of purchases that you made (presuming that you were buying the whole time, and hoping you were able to accomplish a bit of front-loading in your bitcoin accumulation).

I guess that part of my point is that we might be building and/or maintaining our emergency funds and our other back up funds while we are simultaneously building our bitcoin  holdings, and bitcoin's volatility (and changes in value) can also throw us off in regards to how to manage our BTC accumulation along with managing our various forms of back up funds, so we likely have to maintain our focus and reinforce our practices based on the beliefs that we have in our investment thesis and our beliefs in how to attempt to solidly manage our cashflows.


This is correct, yet I would also say that the strength of your cashflow management also should be helpful in determining how aggressive you can be.  We know that some folks have very erratic income and/or expenses that could affect how they invest into bitcoin, and they might get pushed into periods where they want to invest more aggressively into bitcoin, yet the balancing of their income versus their expenses is not allowing them to be more aggressive, without putting themselves at risk of devolving into gambling (or too much risk taking).


Hopefully we can attempt to maintain enough funds that we never have to tap into our emergency funds, and surely we know of people who seem to be having emergencies every month or every other month, and if we look more closely at why they are having their emergencies tends to be that they are not managing their cashflows well and/or they are not maintaining enough cash reserves, which like you suggest that the emergency funds should not be touched absent some kind of a real emergency, yet if someone puts themselves into a situation in which they do not have funds beyond their emergency fund, then they will end up tapping into their emergency fund way more frequently than they should be doing (especially if they were to have better cashflow management practices in which they have other funds to tap into based on variances that they might have in their income versus their expenses).   

The more known variances in discretionary income then the more justified a person is to keep larger amounts of back up funds to account for such already known variances.


You might be over thinking bitcoin, and surely it is good to learn about bitcoin and stop referring to it as one of the cryptocurrencies, so that you might realize that you don't need to be thinking about shitcoins when you are learning about bitcoin.

Yet more importantly is to get started and start buying bitcoin regularly, consistently and persistently, and perhaps you can even buy bitcoin aggressively once you make sure that you have your cash flow situation sorted out.  As you invest into bitcoin, you can continue to study it, yet the main thing in the beginning is to try to build up your bitcoin investment and to make sure that you are investing from within your discretionary income with a commitment to invest for 4-10 years or longer, especially if you want to be a bitcoin investor rather than trying to trade it, which truly we are not recommending and/or talking about trading in this thread.

So you can learn about bitcoin as you go and you can also learn better about your own financial and psychological circumstances in order to hone your investment into bitcoin as you go, including perhaps learning as you go along better about your 9 individual factors, which you do not have to know prior to getting started in your time, energies and value investments into bitcoin.

Having a good knowledge on bitcoin is not important but having the basics is the important thing before you get started with your bitcoin investment. If you want to wait to have good knowledge of bitcoin, you will be wasting the time that you are to use to start investing and enjoying the opportunities in the market when you start and accumulate through DCA. You can learn other part of your interest when you have started your investment.

Seems like you didn't get the message before saying that I am wrong, because I don't see where I made any error to say bitcoin is the best and unique from altcoins. This is because I was specific with the word "bitcoin", or what is bitcoin. Gold, stock, bond or physical assest. No bitcoin is a currency and not fiat but cryptocurrency. Assuming I just used the vague word cryptocurrency is when I can understand with you. Shitcoin is shitcoin and bitcoin is bitcoin so don't get my message twisted.

This another good reason for us to keep our bitcoin accumulation ongoing so that we can have some good portion in our portfolio and hodli for long because in future only the rich might be able to afford it. You should know that any asset that's a store of value ends up aporeciating overtime, and a time will always come that the poor and average might not be able to accumulate more even though they can buy bitcoin in units.

Your description about how to manage your emergency fund as compared with other kinds of back up funds is confusing, even though maybe you are mostly correct.

It seems worth clarifying that various kinds of back up funds may well have priorities, and truly it could take a year or so just to get to a point of having 3 months of expenses in an emergency fund, depending on if a person might be starting from close to zero and perhaps building a bitcoin investment at the same time.

One of the reasons to put so much emphasis on having an emergency fund when investing into bitcoin is because bitcoin tends to be a very volatile asset, so it cannot serve very well as an emergency fund, even though folks who do not have emergency funds will end up using their investment (in this case BTC) as their emergency fund - which again seems to be a bad practice since it is devolving into a kind of gambling hope that you don't have to tap into your BTC at a time that is not completely of your own choosing, and if any of us might be shooting to invest into bitcoin for 4-10 years or even quite a bit longer, any kinds of tapping into our bitcoin in early stages can really take away from various growth and compounding periods of bitcoin that can come at unexpected times (upward spurts in the BTC price that end up not coming back down to earlier price levels).

I frequently like to assert that we should be striving to have a minimum of 3 months emergency funds that we aspire to never touch, and sure if we are early in our investment into bitcoin, we can build that emergency fund simultaneously towards building our bitcoin, and most likely as we get stronger in our financial cashflow management, then we are going to have additional kinds of back up funds that we would build up and have available to draw into prior to drawing into our emergency fund, so if we are in the earliest of stages of building our emergency fund, we likely cannot be as aggressive in our bitcoin investment since we are fairly vulnerable until building up the emergency fund to at least 3 months, and perhaps we end up needing to have another few months of reserve funds before we might become more aggressive in our bitcoin accumulation - or we might maximize our bitcoin accumulation aggressiveness the more convinced that our back up funds and emergency fund is solid.

You guys are making some sense here but Bitcoin to say is more unique at its way, if it is to be consider a cryptocurrency it's more sophisticated.
It's not as easy as you said to aquire a Bitcoin because of it financial intensity, so to acquire a Bitcoin require absolute financial stability. In otherwise, having good knowledge of Bitcoin is also very important as it will help to make a better decision that will give a good return on the investment.

You emergency funds should be of 3-6 months of your income, and I believe that as you keep you bitcoin investment ongoing with your gradual DCA weekly accumulation, you investment will definitely be bigger than your emergency funds.

Both of them is important and it's only if you do it tge wrong way that it becomes a problem for you. If you have your back up funds in place which are your emergency funds, reserve funds and floats. You can invest aggressively to increase your bitcoin portfolio as long as you did not overdo it. However, the size of your bitcoin portfolio will determine the level of your aggressiveness.

Your emergency funds shouldn't be tampered as long as you are investing in bitcoin or hodling bitcoin. This is because if your emergency funds dries up, your bitcoin investment goes down and that's why you are to always refill your emergency funds when some part has been used to solve real emergency. There is no time duration to keep an emergency funds because it's a necessity.

I disagree with you. Are you talking about trading with your emergency fund? That would not be a good move at all. Emergency funds should always be stored in stable coins or you can store them in fiat. You never know when your emergency is going to come and you never know whether your emergency fund stored in Bitcoin will be profitable or at a loss. If your emergency fund is at a loss, will you be happy with Bitcoin? Or will you accept that loss? Or why would you plan for a high probability of loss?

Bitcoin is a profitable investment for the long term. If you trade or plan for the opposite direction with Bitcoin, you may have to see the reverse side of the currency (loss). Bitcoin is volatile and its price is unpredictable. Similarly, emergencies are unpredictable. The possibility of profiting from Bitcoin in the long term is highest and the possibility of loss is very low. But Bitcoin may not be able to make you happy for an uncertain time.

The biggest reason to keep your emergency fund in a stable currency is the possibility of loss and the time it takes to convert Bitcoin to fiat, which can put you off spending money in an emergency. Fiat or stable coins will be easily exchangeable in your region and there is no possibility of loss. That is why preparing an emergency fund in a stable currency is the safest and most easily exchangeable. Therefore, preparing an emergency fund in Bitcoin may prove to be a wrong move in order to be aggressive in investing.

You are very corrective. However, Bitcoin is more unique and more organize than any other coins or digital currencies and it is more economic feasible and reliable which is one of the reasons why more attractive to many investors.
The current economic trend in Bitcoin has given investor more faith to hold their Bitcoin for longer time thereby enhancing the momentum of Bitcoin in terms of price appreciation. 

There are many types of backup funds created out of your discretionary income. It's limitless and you can create as much as you want with respect to your demands. There's emergency fund, floating cash, different kinds of savings e.t.c. Emergency fund is just one of them that is dedicated to saving you in the event of uncertainties and unforseen circumstance. You should treat emergency fund as a necessity and not just an option. You can continue accumulating Bitcoin alongside building your emergency fund until it can service one year or more of your expenses as you intend. At this point you can divert the percentage of income set aside for emergency funds into Bitcoin accumulation to increase your aggressiveness having already built out your emergency funds to a feasible extent.

You now focus more on your Bitcoin accumulation alone until you possibly reach your accumulation target or emergency occurs and you need to rebuild the emergency fund.

Even if you don't have an emergency fund at the beginning of your Bitcoin savings, you should still set a goal for your savings so that you can at least build a basic level, such as creating your own separate wallet and saving any amount of Bitcoin according to your ability. Savings is another way for an investor to have independent financial capabilities through which he can accumulate bitcoin from the present time to retirement as he wishes. The need for an emergency fund is certainly there if you have set a target for long-term savings. Therefore, a Bitcoin saver should be aware of it by giving him the right guidance. New investors can be encouraged to save more due to the positive and independent attitude of Bitcoin savings.

Another positive aspect of the need for an emergency fund is that if you regularly decide to lump sum from your savings from time to time, it can have an effective effect on increasing your Bitcoin pile. The question here is how long you can keep an emergency fund for Bitcoin holdings to be beneficial for protection. The answer is a backup fund/floating cash to manage your family's daily needs for 6 months to 1 year. If your backup fund is for a longer period (two years or more) then aggressive savings for Bitcoin savings and bearish holdings can be beneficial.

An emergency fund is not necessary for Bitcoin investment. An emergency fund is necessary for long-term investment. When you say an emergency fund is necessary for Bitcoin investment, I am a little confused. An emergency fund is not very important to you when you are planning to invest or starting to invest. However, it is important to have an emergency fund plan at the beginning of the investment. You should not delay investing to prepare your emergency fund.

Start your investment with a reliable income or alternative income and plan for the long term. As part of the long-term plan, have an emergency fund, reserve fund or sufficient cash flow reserve. Be careful not to make your backup funds weak compared to your investments. Having a strong backup fund is more important than being aggressive in investing. It is harder to sustain an investment than to grow it. You need to focus more on investment defense. Incidentally, it is not necessary to prepare your emergency fund before investing, it is necessary to focus on emergency funds and other funds after starting to invest.

I disagree with you because bitcoin being listed on different centralized exchanges or decentralized exchanges doesn't change the fact that bitcoin is not limited in supply or scarce. Since bitcoin is a digital asset, it is when bitcoin is listed on centralized exchanges or decentralized exchanges that you can easily accumulate it and hold it for a long time. Even though bitcoin's total supply is 1,000,000, it will still be listed on different centralized exchanges, and there will still be people who will sell their bitcoin for short-term profit when they know too well that bitcoin supply is small and they might not buy back the quantity of bitcoin they sold. Scarcity is one of the reasons why bitcoin keeps increasing because there are so many investors who are willing to buy bitcoin at any given price because of its scarcity, which triggers the price to increase.

Their is an adage in my country which say; he who fail to plan, plan to fail.
When it comes to Bitcoin investment, having an emergency funds is a must, because without it, it's very likely that in the nearest future you will fall back to your investment anytime their is an emergency, so it's very necessary to have an emergency fund aside from your decretionary  income, so as to be able to wether the storm if any emergencies arise.

Ya setting aside emergency fund should always be part of the plan when trying to invest invest into Bitcoin but you can still start up your bitcoin investment if emergency fund is not available as long as your discretionary income is available then gradually you can start setting up your emergency fund when you have already started accumulating Bitcoin through your discretionary income.
The reason to plan for emergency fund is that certainly in life we will definitely come across unexpected issues that we will definitely want to solve without selling out our bitcoin holding in a short while so it can easily be sort out with your emergency fund.

Emergencies are part of the plan when starting your accumulation journey, You are advised to setup an emergency funding and grow it alongside your DCA accumulation journey and continue to grow it until it is equivalent to six months of your expenses or a year worth as the case may be. Emergency funds are good to use in servicing emergencies only and nothing else, so when emergencies presents itself, it is solved with your emergency funds and not shaving or liquidating your portfolio.

Although there are situations where the emergencies outweigh your emergency funds and floating cashes, and on the note that there is no other way to source funds within the timeframe apart from loans, then you can shave off some part of your holdings with the intention to continue your accumulation when things bounce back to normal. I am not a fan of loans and would not advise anyone to go in that direction when they have money locked in bitcoin since the interests might be mind-blowing and cause more problems for the investor on the long-run.

Right and it's going to be a repeat, a cycle that we have seen so many times and we really put it in meme and have a good laugh.

But to be honest, this is the very definition of some investors, and even if we have known this every cycle, still there are investors you missed the train but then didn't bought when it was still down, and then regretting it like in the meme.

Maybe we all look for best case scenario here, but then, if they will only knew how the strategy of buy and hold, then we will be likely better off. Probably just for two or more cycles, we could be very rich, by this strategy.