Topic: Buy the DIP, and HODL! - page 335. (Read 137553 times)

You are not giving out a good advice on investing in bitcoin. When a newbie is investing in bitcoin, he should only stay focus on bitcoin and forget about altcoins. This is because investing in altcoins is a waste of time, and will make you lose focus on your bitcoin investment journey, since they are used for pump and dump. They don't have the potential to give profit in long term but losses. I don't see altcoins as an investment, rather I see it as gambling. You are talking about diversification, when you don't understand what it means. Any bitcoin investor that want to diversify can do that when he feels that he has acquired enough bitcoin or 70% of his bitcoin that, because he feels that he has invested so much on bitcoin and want to invest in other asset. When you are diversifying, you don't diversify into similar investment, like altcoins, because bitcoin price controls all other cryptocurrency. You should diversify into a different asset, like properties, stock, bond, real estate. So that if one of your assets is not doing weel as expected, the other one can balance up.

In as much as diversification is very important as investors but choosing altcoins for the diversification is not ideal because let's not be moved because of the possible profit you feel you could easily get from diversifying into altcoins but you should also consider the risk of diversifying to altcoins because we have heard about so many altcoins that people invested and at the end they lost there money, so the only investment I trust and believe is only Bitcoin, so perhaps you could as well diversify some of your funds to some other method of accumulating Bitcoin if you have enough funds, @JayJuanGee has explained so many method to use in terms of accumulating Bitcoin, perhaps you could go through the previous post were is being explained.

This is what happen if they don't have enough knowledge and always listen to those negative people which doesn't really have long experience on dealing with bitcoins. They feel crazy when people saying that a crash is coming that's why it affect there decision and decide not to buy since as said they are hesitant due to that reason. If they could just able to grab some knowledge by doing some deep research and try to figure out that everything has a basis including those doubts of people then for sure they can decide for theirselves about a good time to accumulate and they will not wait or get affected with the opinion of other people since their research and knowledge is much stronger so they can accumulate and will not left behind once there's good price pump to happen. Although its doesn't have any guarantee but if they hold on strong possibility for sure there will be a good result for them to gain with bitcoins in future.

Although we don't have any guaranteed result but it showing us great possibilities for a big pumps. If we continue to doubt and didn't try to take good reaction because we are worried about those correction for sure those people will regret to miss those opportunity that they possibly take if they just accumulate while there's a chance for them before to accumulate some bitcoins.

That's right, you can choose another altcoin with a price and capitalization that is still low so you can get extraordinary results in the future. However, you still have to stick to Bitcoin.
Diversification is very important to minimize large losses.

That right, We also have to think rationally when holding BTC coins and don't be quickly influenced by liking other coins when they go up, continue to exchange them for our BTC to hold the damn coin and that at any time can be a disaster for us because we don't know about its future even though it exists which says we will get double the profit when the market recovers.

If only traders could understand this. The thing is, not everybody comes to make decisions based on a long termed scale, and not everybody will be able to keep composure at the dips, infact majority tend to panic.

I know a lot of people who panicked and sold their coins ( a great deal of) just before Bitcoin hit ATH in 2021. During the dip before, they panicked, but I grabbed more coins back then. Been HODLing since then.
Just buy the DIP and HODL.
Best way to thrive in Bitcoin.

This is just ice on the cube for bitcoin to be breaking its all-time high from time to time. Expect more of its price increment to keep happening now and then because bitcoin is just at the start of giving us a new ATH from now till next year.

What is expected of us as bitcoin holders is to keep hodling our bitcoin in our portfolio and never to sell until bitcoin reaches our speculated price before we can be able to sell some part of our bitcoin holdings.

I think it will be foolishness for someone to completely rely on information which is just a speculation and decide to pause his intention of buy bitcoin. What happens to dividing your money and buying at all market conditions. Bitcoin investment is about being proactive and utilizing every opportunity that comes your way. Sitting back and doing nothing simply means that you will get nothing. One thing I like about bitcoin investment is, you get what you deserve. You take action you benefit from it, you sit back without taking action you get nothing. But you will celebrate those that took action while you are in regrets.

Basically what do you think applies to people who don't earn bitcoins, specifically I mean you can accumulate bitcoins by deducting extra expenses from your income and household expenses. Because now is the best time to deposit bitcoins, the longer you deposit bitcoins the more your wealth will grow. So if you deposit 20% to 25% percent money in Bitcoin for long term then your future will bring much success. The proof is that I myself have been holding Bitcoin hold for 13 months and my wallet has grown, my portfolio has gained huge benefits. So I won't reveal my share of benefits because my inner greed might wake up. So you should never think about the benefits and sell your investment due to greed.  So the longer term the investment is the more benefit will be earned.

It is not mandatory to have an income that exceeds our needs before we can start our bitcoin investment. Since bitcoin is a long-term investment, we need a good source of income. We will be using 10% of our salary to accumulate bitcoin every week or month, depending on when we receive our salary. We can also keep 20% of our salary as a reserve fund to be used to settle any unforeseen problems that may arise unexpectedly, so that we will not depend on our bitcoin investment to settle them. 

Still on track with my point. Traders. Let's call them that. So in essence, traders don't get to relish the true essence of profits from Bitcoin. To get that, like we all agree, and is factual, is to hold. Which they're not doing.

That I agree with, and I'm a member of that school of thought.
However, in the nearest future, that will be reality. Call me delusional, but there's that smile inside 😆

I don't think short term investments are true investors. they can still be considered traders. because they still want to profit from significant price movements in a short time.
different from real investors who already understand that investment has a longer term. and will continue to keep its assets forever. and the profit is from keeping the asset, not from selling coins.

My point exactly.  Most short term investors have a fixed investment duration, and then they sell off their coins, which as you've stated isn't the best. And as it takes several years to start making PROFITS, they mostly do not take heed to that, and their investment duration falls below the 'several' years that they need to get into profits. Bitcoin being as unpredictable as it is, can drop or whatever other reason, they find themselves incurring significant losses.

you're right, though their parents may have serve as an emergency funds, doesn't mean they would also be the one that would be helping them with the funds they are going to use in investing, (if one plan to invest in bitcoin). Inorder for one to keep accumulating bitcoin with any of the strategy that are suitable for them , while schooling he or she must have a side hustle that won't affect their studies that much but at same time serve as good sources for them to purchase some quantities of bitcoin. Though the money coming out from the sources may be small but it would still help in accumulating some bitcoin when their parents serve as an emergency funds, that may minimise their expenses.
thanks for the clarity , am kinda of aware of something like this , that the most you could lose in bitcoin Is 100%, but the thing is that if one was able to be patient enough he or she may endup bouncing back. While for those that use leverages to hold with the mindset of wanting more profits ( most time due to greed) would endup losing huge percentage, and either they sell In loss due to cutting losses or they endup getting themselves liquidated.

You are right because lately I have noticed so many persons with different assumptions of the possibility of Bitcoin price making some correctional moves, so with that information most people feel that is something that would happen and instead of them to keep buying they are still waiting for the correction to happen so that they would have an opportunity to take advantage without knowing that those information are based on assumption and there is a possibility it may likely not happen, so perhaps @JAY I think your advice on this situation is actually the best way because with the current price movement of Bitcoin nothing is for sure now so one of the preferable way is to take a position size on Bitcoin so that if the price movement keep increasing they will never be left out because there position will still be running for them. However one of things I realized about investment is that an investor shouldn't always rely on assumptions of people or even if they should give a listening ear but there should be a back up plan that if should incase it doesn't work the way they had assumed, then there investment back of plan will cover for it.

Actually, I am not concerned about whether his sister-in-law adopts bitcoin or not, but I would be concerned about either getting involved in supporting her ideas to gamble with bitcoin or being roped into her way of framing the reasons for investing in bitcoin. So, in that regard, I think that it is best to stick to the real reasons to invest in bitcoin and to describe the preferred practice techniques for long term investing, and in the end the sister-in-law can do whatever she likes.  She can follow the long term, or she can follow her original ideas and/or she can follow some modified variation that is a hybrid combination of the preferred long-term approach  and the decision will be hers to make, and it might work out for her and it might not.  I think that it is not a good idea to compromise with folks and then potentially get sucked into their variation of a plan that you outlined, and also you may or may not know their situation, but you can still outline what you believe to be the better approach based on whatever information that you believe that you know, whether they agree to follow your recommended approach or not.. and even if they agree to follow your recommended approach, it is also good to make sure that they understand that they are completely responsible for their own investment choices, whether to invest or not and how to invest if they do choose to do it.



 I am not sure if I agree with that way of framing the matter.  I think that we can say that bitcoin is an assymetric bet to the upside, so if you do not leverage or otherwise gamble with your money, then the most that you could lose is 100%.  On the other hand, there are decent odds to be able to perform at least as well as any other investment option, including possibilities to outperform other assets. There is no guarantees which way bitcoin will perform, but it seems that with the passage of time, the strength of its investment thesis is getting stronger rather than weaker... .

while at the same time past performance is not a guarantee of future performance or even faction of future performance similar to the past, so if someone in the past was able to get 1,000x or 100x in the past that does not even mean that you are guaranteed to get 3x in the future, even though bitcoin continues to appear to be a strong investment, especially investing over the long term helps with the lesser guarantees that come from up and down short term volatility and the 200-WMA has historically moved up so that show the trend is up, but the 200-WMA remains a lagging indicator...even though it has always been trending up.. at least so far.


I agree with this part.. Ultimately, anything that she does is her responsibility, whether she follows your guidelines or not, yet I am not going to agree that it is a good idea to get involved with playing around with the creation and following of short-term plans, even though there should not be any problem to listen to her plan and then present your plan and see how she reacts and if she has any questions and at the same time figuring out how much detail to give her based on how interested that she is.. because if all that she wants to do is put $1k down and then just sit on it until it reaches a certain percentage of profitability and then to get out.. that's her choice. 

It might work, but it is not really meaningful and it seems to be something different from what a long term investor would do, but it still might end up working for her.. even if it might not be as advantageous as figuring out a longer term plan and then employing it.. but many people have short attention spans, and that is part of the reason why they like to gamble and not to commit to something long term, like bitcoin... especially since long term might cause them to have to think about it in a more detailed way, and they don't want to think and they don't really even want to take responsibility for thinking and that might be part of the reason why the sister-in-law was asking @danadc what to do.


Usually someone with an irregular income would need to keep more emergency funds, reserve and float - especially if they want to keep buying bitcoin during periods in which their income is low or non-existent, and yeah, they also might have thresholds  that if their income is not greater than a certain amount then they are not going to buy bitcoin at all.. so it would not be automatic that they would not be able to buy bitcoin, but they might have to hold money aside and try to tailor their bitcoin buys based on their cashflow situation and sometimes there could be known periods of low income in advance and even known periods that the income will go up in the future, so they can kind of plan around that, but still have some financial cushion to account for the uncertainties that might come from having such cashflow irregularities.


Even if they have a lot of expenses paid by parents, they still might need to try to anticipate their cashflows, because even if the parent's might also give them money, they may well have limits in how they are going to be able to get, and even if their parents serve as an emergency fund, there may be limitations with that, too.  so it is still likely a good idea to consider the various categories, even if the source of income might not be from regular work (salary).


I like the idea of weekly buys, but yeah, if the amounts are so small then there could be some value to making the time over a longer period of monthly and/or quarterly.. but I would still try to encourage the idea of more frequency, if and when possible, even though I agree there could be circumstances in which longer periods might be justifiable.   

Sorry I misinterpreted the understanding in the previous post, but I mean if someone doesn't have a permanent job and doesn't have a regular salary every month of course they will find it difficult to manage their cash flow in investing in Bitcoin. Of course, if they don't get a regular or regular salary every month, their investment plans could stop halfway and that's the point I wanted to convey in the previous post.

Well, that is of course a big consideration that they have to try as best as possible. If they really want to invest, they must first look for work to make their investment in Bitcoin run smoothly. However, if they are 18+ or over or are still in high school, of course their living expenses are still paid for by their parents, so this will not affect their investment if they invest in bitcoin while they are still in education.

Apart from that, whether someone doesn't have a permanent job, of course they are also very suitable to apply the DCA method in their investment strategy in Bitcoin. Yes, they can buy per quarter if they can't afford it regularly every month.

lol yeah most people back then would never had believed bitcoin would undergo such growth in price, and at that bitcoin was gradually gaining ground. And also gaining more adoption as time goes, the funny thing is that bitcoin still as the potential to hit 7 digit someday .

Sir JJG is actually right, leading your sister in-law to engage with short-term investments expecially this time around bitcoin as increase in price, is like she gambling with her funds, and if market endup not going her way she might lose interest in investing in this space (because first trials do matters) expecially to those that are not use to this space. So is better for you to try and show her the beauty of long-term investment. Telling her the risk and also the benefits attached to it , because if she decided to hold for long-term the chances of her selling in loss Is pretty low , but  the chances of she yielding good profit still high, Even though there are no guarantees in bitcoin. And she can also decide to back things up with some DCA, Without being much aggressive. But still everything still base on her choices.

There are many who do this, and I am one of them, especially now that we are in an uptrend, and that depends on the altcoins that we also hold. Personally, the other coins I hold are in an uptrend, and I am waiting for them to downtrend in the short term, and then I will take action to buy coins and then hold them again.

This is what I always do, to be honest, and of course it is also done by those who have extensive knowledge of trading as holders and even others who are not that deep in trading because they are just learning it too.