Topic: Buy the DIP, and HODL! - page 341. (Read 123641 times)

Yes, currently the Bitcoin market is down a lot. A few days ago, we saw that Bitcoin rose to around $49,000, but now the market has come down to $39,000. Those who are interested in investing in Bitcoin should invest in DCA method on regular weekly or monthly basis from now on.

Trading is all about luck, you must be a professional trader to make a profit from trading. The result of trading may be uncertain profit or loss. But if you invest, it is sure that you will get profit in the future.

Maybe many have sold because of the fall in bitcoin prices, I am still holding the investment and my goal is to hold until the end of 2025. I think the drop in bitcoin price means an opportunity to increase my investment volume. The lower the price of Bitcoin, the more I will invest.

How much of emergency funds do you think will be first reached before then planning on beginning one's investment budget. This could be from your own perceptive but I see it as being a waste of time, where as I know how much of Bitcoin I must have loaded in my portfolio.
@teamsherry on his opinion decides to load his emergency funds for a six month space, do you know how much dips, call it a significant entry price that one should have DCA during that time.

One thing we should know, even in the process of saving that emergency funds, we still have to face certain problems which means we also have to alter the loading up of the emergency process, like still taken money from their to solve some life challenges.

I believe money from your cost of living has covered a lot of expenses and for the emergency fund is just there to cover up little more expenses, so why not convenient doing both.

I agree with your statement because Bitcoin is looking more promising now than ever. It is expected that the halving will create enough news and motivation to cause massive inflow of investors into Bitcoin and this is good news. However, we should not stretch our expectations like many of us did with the ETF approval. Some people actually thought the ETF will make price go to the moon, of course you know that such thoughts will lead to irrational decisions filled with greed and FOMO. Many of those who just want to invest and sell when it moons got caught up in that classical pump and dump that happened within that ETF approval period. I think it is not a good approach to Bitcoin so we must be careful not to follow that route regarding the coming halving.

The recent correction is coming right on time and offer a golden opportunity for those who want to join Bitcoin or upgrade their investment to do so at very discounted price. We can seize that opportunity to apply whatever method we are using to collect more Bitcoin. Like I said before, it is important to set ones expectations right.

The problem with the so-called investors is they want everything instantly, as you said if someone invested $100 per week for straight 3 years then he would be made around 42% profit from his $15,700 but these gen Z investors don't find it very appealing and they look for more fast returns where they end up getting ripped completely.

In reality, 42% is a very decent return with no risks in just three years compared to traditional investments where they could have made hardly 20% in my opinion.

Someone who wants to maximize their profits needs to accumulate a decent chunk of Bitcoin to play around, so once they get into the position they can dump half of their holdings like at the peak of next bull run and wait for the bear kick in, meanwhile they have to keep doing their investment as usual.

Even if someone started investing $100 per week into BTC near the top of the first 2021 peak and through the second 2021 peak, and he continued to invest consistently and persistently that $100 every week for the past 3 years, he would be profitable right now since he would have had invested right around $15,700 and he would have 0.558 BTC ^** (which would be worth around $22,320), and personally, I think that would be a great place to be for a person with that level of a discretionary/disposable budget..

**[b]Edited:[/b] Here is the link for DCA of $100 per week for last 3 years https://dcabtc.com?sd=2021-01-24&sda=custom&f=weekly&d=3_years&ac=10000&c=true

You are right but investment is now the only way to be profitable for everyone, trading or gambling without experience is not very profitable, if one invests in Bitcoin now, it is almost certain that he will be in a profitable position within a few months.
Also as per your suggestion if one trades and gambles intelligently then more profit is possible, but most of the wise people can't do these things by following the right rules.

There is absolutely nothing wrong with what you say because if someone already has mature enough intentions and planning for long-term investment, of course the funding must also be mature enough. As you said, someone must have an emergency fund which must be prioritized as the main point before funds that will be used in their own investments for the long term. Because it is also very possible for an investor who invests in Bitcoin not to withdraw the funds that have been invested when market conditions become bad or when the price of Bitcoin itself experiences a correction like now.

So I think that's right, because that's what should be provided first before someone immediately takes investment steps with a simple plan, but not with sufficient consideration. I often liken it to a long journey with the preparation of two provisions that must be separated first before they are actually used in different places. So in this case the emergency fund is the main provision and investment funds are the second provision so that an investor can carry out his investment with enough discipline in something.

I was merely referring to bitcoin's historical 4 year cycle that could potentially cause folks to try to time the cycle, and maybe if they have already accumulated enough bitcoin, they might not end up damaging themselves by adjusting their behaviors in accordance what they believe to be the cycle - yet the cycle is not guaranteed, so if they play cycles badly, they could end up getting way off track from what their goals had been, which was to accumulate BTC and to get to fuck you status, but if you end up selling too many BTC too soon, then you might never end up making progress to accumulate enough BTC in order to really get to the kinds of levels of wealth that you would have otherwise been capable if you had merely just stayed on track and followed a more conservative strategy.  .. and yeah, it could be the case that the one who takes more risk ends up doing better, so I cannot tell you with any kind of confidence what is the best strategy for your particular circumstances and even if you might end up having some insight into ways to manage your bitcoin accumulation that might end up out performing a more strict and persistent DCA strategy.


A person could also decide to DCA a smaller amount into bitcoin and to start to buy some other asset (I am not referring to shitcoins).  If you have 90% bitcoin and 10% cash and you don't have any other investments, you might start to feel overly lopsided, and you probably should...even though some people do play those kinds of ways too.. which I think has been too volatile, but it also depends on your lifestyle, your obligations, whether you have a family to support and maybe other kinds of considerations.


People get scared if they are new, and if you had never invested into anything and you invest $1k into bitcoin, and maybe after a year or two it ends up being $10k or $20k, you might start to get nervous and not know how to deal with that.. because it had happened so quickly. 

Think about 2015 BTC went from $250 to $19,666, which is about a 78x price appreciation in slightly more than 2 years to late 2017, and so something like that could have had created some problems for some people to know what to do, even if they might have ONLY had a few thousand invested, and yeah we do not necessarily need to be so extreme in order to make the point that difficulties can ensue, including the person who might have cashed out everything after a 10x price increase to around $2,500 and then thinking that he might buy back, but then also maybe spending some of the profits, but then when the BTC price went shooting u another 7.8x or so, then there might have been some second guessing and even buying back in and other dilemmas that could have had been caused by not timing matters well.


I personally like to create plans in which the price comes to me, so I don't try to guess which way it is going to go, and so I don't really like the idea of selling any BTC unless there is a feeling that you don't need that BTC, and it takes a certain level of overaccumulation of BTC to be able to comfortably carry out something like that.


Well, in traditional investments, a person could spend 30 to 40 years investing and still not get close to getting to fuck you status, and whether he had put away 10% of his salary or maybe he ends up making a lot of mistakes and dipping into it or not really putting in 10% of his salary, so actually getting to entry level fuck you status is a pretty BIG accomplishment, and if you are starting out with zero investments, then maybe you could be able to shave down the time to get to entry-level fuck you status to 15-20 years instead of 30-40 years, but still you could have a dilemma in regards to whether you measuring the value of your assets correctly and accounting for likely increases in the cost of living and also debasement of the dollar and other fiat currencies.  So guys might feel that getting to entry level fuck you status is not enough, and they need some cushion, which is part of the reason that I believe that using the 200-week moving average is amongst the best of ways to valuate your bitcoin, and I think that guys could work with my sustainable withdrawal ideas once they get to that stage.. but surely there is a need to get there first or get close to that point and/or to make sure that there is desire to pull the fuck you lever, but at the same time.. if a guy is truly happy with working, then it could well be that he wants to continue to actively build his wealth, even though he is going to have a lot of empowerment to have the option to quit any time that he wants rather than being forced to continue to have to work.


Yeah, but it still might not be a good idea to play around too much.. maybe the solution is to just HODL and to invest in other things when he gets nervous about being overallocated.. even though maybe it would be better to just continue to DCA into bitcoin or maybe he can compromise and cut his DCA amount down so that he is still putting some into BTC, but at the same time either building up his cash or building up; some of his other investments (and not referring to shitcoins), and I am not saying the choices are easy, but they are much easier to make once you are in the situation rather than hypothesizing about the various possibilities prior to actually being in the situation.


Sure, there could be various ways to deal with the matter, but it makes more sense once you get into that kind of situation to have some ideas of various ways to attempt to deal with the matter.

Some guys reallocate at various locations along the way, and I personally don't really like that approach, and I subscribe more to the idea of letting your winners ride, but that can still leave you in problematic places when an extra-ordinary correction ends up coming..and then maybe some additional funny feelings and second guessing about "I could have done x, y or z".  Some guys are not going to have those kinds of regrets and are just going to roll with the volatility, even though factually there is a kind of fact of the matter about benefits that could have happened by selling higher and buying back lower, even if it is just some of the portfolio.. like 10-20% rather than all of it.


Yeah, but the lopsidedness of the allocation likely does not come from how much he invested, but from the fact that BTC ended up outperforming all of his other assets... let's go back to the $50k investment portfolio and the guy might have invested 5% or 10% into bitcoin, so his investment was merely $2,500 or $5k, but if he accomplished that in 2015, then in two years the regular portfolio might go from $50k to $70k (which would be very good to get 40% out of two years), but the BTC went from $5k to $300k, so then the BTC portion of the investment would end up being quite lopsided if the total investment portfolio is $370k then the BTC portion is 81%... so it did not even become 81% because the guy was overly aggressive, but in the $5k scenario, he was merely investing a modest amount of 10% into BTC and that 10% became 81%, and that is not very unusual in various bitcoin historical patterns, even though it is also not even close to guaranteed to repeat itself, but if something like that were to repeat itself, it is better to attempt to have some kind of a meaningful plan rather than having no plan, and we do not even have to agree upon the plan since there is plenty of discretion in regards to various ways to attempt to deal with the matter.. but not as easy to make the plan during the heat of going through the matter, but it is likely better to have a plan in advance and to attempt to somewhat follow through with your plan, even if you might tweak it a bit and maybe even make a few mistakes, but hopefully the mistakes are relatively minor mistakes rather than being the kind of mistakes that would completely take you out of the game.


Personally, I do not like ideas of "going all in" to investments...

To me, it sounds like gambling and or trading rather than investing.

Even though I get the idea that reserve funds can be saved up in order to have extra cash that goes beyond regular DCA buying to be able to inject into your BTC investment at various points along the way, especially at various dippening points.


Well?  What are you starting with?  Absolutely nothing?  Most people will have a couple of weeks or even a month's emergency fund, just as a kind of float, so maybe sometimes they will be pushed to the limits, and yeah maybe if they are sloppy then many times they end up running out completely with their float, so if you are not being responsible with your float, then you are not really in a position to invest into anything, and if you have a month's float, even at the worst time of the month, then you at least have a little bit of wiggle room to start to invest into bitcoin, and so maybe your first few months you are not really investing very much, so if your BTC investment gets to be the same size as one or two months of your expenses, then you better have your float and a bit of an emergency fund, otherwise you are going to end up having to sell some of your coins and/or you are engaging in gambling.

The more that your bitcoin investment gets to be greater than a month or two of the size of your monthly expenses, the more likely you need an emergency fund of at least the same amount, so the recommended amount is 3-6 months of expenses for your emergency fund, and surely the stronger your emergency fund, then the more aggressive that you can be with your BTC investing (DCA) without devolving into gambling, so yeah, nothing wrong with simultaneously building it, but it just seems reckless to cause your BTC to grow to be greater than the size of your emergency fund because then it is really serving as your emergency fund, which is a really poor practice an probably part of the reason that so many newbies are not able to hang onto their coins for even a whole cycle because they cannot even get passed the basics in terms of developing practices that are not gambling.. because they get too greedy in terms of wanting their money to work for them (by being invested into BTC) but their money is not going to be working for them if they end up having to cash out some or all of it based on preventative measures that were easily within their abilities to NOT get too greedy. 


If you are interested in the raking topic, you might want to look at my investment ideas thread and sustainable withdrawal thread and also look at risto's thread that I refer to in my investment ideas thread.



That is part of the reason that people diversify also, and they will have various kinds of funds so that they draw from the fund that is going to be most advantageous for them to draw from, which could supplement an emergency fund if it is very liquid, and so one of the temptations that people have with bitcoin is to cash out of it quickly because it is so liquid, and maybe some other funds might take them several days to get cash from them, and sometimes they need cash right away.. or let's say some unexpected expenses come up and they have to be paid within 15 days or within 30 days, and so there is a bit of flexibility, but maybe not enough for certain kinds of funds, so frequently emergency funds will be held in cash or maybe in some kind of an account that earns interest, but it might not earn enough interest in order to account for how fast the cash is losing value.

When you are talking about a project you are not necessarily talking about an emergency, but you could end up in a bad situation, if you had started a project, and so you have enough money for it and maybe you just slightly dip into your emergency fund because you think that you will be able to replenish your emergency funds within the next few weeks or no later than 30days - however, as you do all of those things and you think that you have it under control, then there ends up being cost overruns or something that involves work already done or maybe some accident happens with the project so it is going to cost around 20% to 30% more than expected, and there can be some kinds of expenses that are deferrable and a matter of preference, but there can be other kinds of expenses that need to get carried out right away otherwise it might end up costing even more if they are not completed.. for example a roof falls in or catches on fire. and then if you don't repair it right away you will end up getting water damage or other kinds of risks if you try to employ inadequate temporary measures.

Some investors invest without having a good understanding of the market or investing. But if that investor can hold his investment for long term without understanding about investment then that investment will definitely give him profit. Investment retention is one of the biggest challenges and if a new investor can take this challenge well without knowing or understanding anything then he is definitely a successful investor. I think in holding the investment for a long time the investor can try to learn more about the investment during the time he gets and he can definitely learn something new. An investor invests but does not plan for how long he will hold his investment, but if he plans to do so later, he can sell his investment at the end of the specified period. Bitcoin Investing and Long Term Investing As far as I know there is not much to know about investing and holding, if an investor invests and holds for a long time then that is enough for him. But yes investing for long term means to hold it for a long period of time you cannot suddenly sell the investment without understanding anything unless, if you sell your investment in a short period of time then it is not a long term investment at all.

Yes, if an investor does not have enough knowledge about investments, he can take various wrong decisions in his investment. Before investing, an investor should invest with the idea that if he invests with the idea that he will not have any doubts about holding his investment for a long time or that he will not sell his investment unnecessarily. An investor should be patient and take that much risk before investing that he can hold his investment with confidence and he will at least not sell his investment due to market volatility. Investments are easy to hold for long periods of time for those who are less volatile and have more patience. The investor must accept that he has invested for profit but as his investment may have profit there may be loss. In this regard I remembered one of Newton's laws that everything has an equal and opposite reaction. That is, if there is a profit in investment, there must be a possibility of loss, and one who can accept this eternal truth must hold his investment for a long time.

Those who understand about investment and who have long term investment idea are definitely aware of investment. Investors now think about their investments simply. Now an investor does not take extra pressure to invest rather he finds it the easiest and safest method to invest with the remaining amount of money. Just like when saving money in a bank, money can be deposited in the bank as desired, in the case of Bitcoin investment, there is an opportunity to invest in this way in the DCA method. So a person who is aware of investing in Bitcoin will definitely invest in Bitcoin besides saving at least and I believe he will give more priority to investing in Bitcoin for long term plan than saving.

Unless you don't have a steady income, if you have a steady income then why will you skip buying when you know you're DCA? and every investment is about planning as you can't just run into a project that will eat up your reserved funds and even make you to skip buying because you've already had a target of accumulating via DCA, and your reserved funds is for miscellaneous at the end of the day so that you will not tamper with your holdings.

What you need to understand is that DCA requires consistency before you can accumulate enough Bitcoin that's why you shouldn't enter into a project yet when DCA so that you won't be under pressure of not accumulating simply because you want to satisfy your project, but perhaps, that's the more reason why sharing ones income into three is important because one part of your income would be used to DCA, the other part for some expenses before your next income arrives and the third part is an urgent fund that in a case where you have exhausted the money for expenses before your next income you can possibly go to your urgent funds to sort out any other expenses that you needed pending when your income arrives but don't get involved in anything that you can't handle before your next income otherwise you might be forced to either tamper with your holdings or you may disregard buying at that material time.

Going straight to answering your question, it will depends on your source of income and how it covers up your cost of living. For example, earning a momthly of $200 while your total cost of living amounts to $150 and $50 is left. The left over is not meant to be invested fully, can be divided by two or a $30 : $20 ratio. First part kept for emergency funds as the other used to DCA. This implies given your number 3 option the correctness, both can be done simultaneously.

If you then decide stacking up the reserve income after all cal. on the cost of living for the month, it looks a little inappropriate considering each point missed can aswell be more profitable than your earlier intentions. Most at times we don't even have to touch our emergency funds due to not facing any challenge at that moment, it is still necessary to keep on stacking the reserve income and still carrying out the DCAing simultaneously.

While you may be right it's important to also know that the emergency funds and cash reserve can be built along the way , I think its better you start with a minimal amount like 10- 25$ for DCA then instead of been aggressive I would then advice you build up your emergency funds and start putting things in place, then when your emergency funds has been built to a certain level you would feel more secure about, you can now start using some other strategies that can put you in front of your game like lump sums and dip buys. And it's also good to know your numbers first before setting your DCA  plan so you don't put yourself on pressure. What I mean by this is getting to know your income and expenses calculated out, so you could either reduce your expense to DCA  and use the rest to build your emergency funds or what's left after your expenses. While one can never really know this numbers fully,  I think only you can do this part yourself. But start right away with DCA  you don't really have time to have everything in place before you begin your journey.

Not everyone who is accumulating bitcoin with the DCA strategy has the same financial power to save a reserved fund after saving the fund that will take care of their financial needs. So I agree with Odohu that someone used his bitcoin DCA fund to buy something else because there will be a situation where you will find yourself handling a project and your emergency fund will not be enough to finish up the project, and there is nowhere you can get money in the short term. You will have no choice but to skip buying bitcoin for some weeks so that you will be able to finish up the project.

IMO funding your emergency fund should come first. We should only invest once we have saved enough money for emergencies to cover future expenses for at least six months or a year. If you lose your job or the price of bitcoin goes down after you have invested, you won't have anything left with you. However, there might be adjustments to plans along the way. if you see any opportunity that you are certain will give you enough money if you invest in it, then it is worth taking the risk.

I guess most time on Tuesday market do undergo some certain corrections.  So setting your regular DCA at that ain't bad.
Raking method or strategies is actually nice. That would really help in accumulating profit in short period of time with minimize risk compare to that of leverage trading. Yah I don't think I would classify that as trading but in order to exercise raking you need to have accumulate alot of BTC that when you be able to gain profitably well. The profits would varies but when the coin is rising you would also accumulate good profit too. And that would good if you planning to withdraw from your investment you could withdraw the profits you made from the raking theory.

The back up plans you are refereeing to literally means emergency funds. Although i wouldn't prefer stacking emergency funds before thinking of starting an investment. To me it is better to do both simultaneously so as not to miss out on good opportunities to jump in the market. Imagine seeing Bitcoin so cheap that you can afford if you lump sum this week, do you rather prefer to keep your money fund this year and then use the next year money to buy when by then the price would have gone back up?

@Jayjuangee and everyone which do you prefer should be priority?

1. Building your emergency fund first before investing

2. Start investing immediately and leave emergency fund for later

3. Do both of them simultaneously

You could also have a DCA practice in which you buy a certain amount of BTC every time that you receive money into your bank account or cash in your hand (such as 25% automatically goes to BTC buying).... so it could be irregular in terms of the amount that you end up buying because sometimes you might get paid $100 or $25 and other times you might get $2,500...

but the mere fact that you authorize yourself to DCA 25% from any of you incoming cashflow whenever it comes in, that does not mean that you have to make the purchase right away, you could try to time the dip whether that is weekly or monthly or whatever time frame that you set for yourself.  If you identified that Tuesdays at 3am were the best time to buy, then you might be onto something.

I do believe that sometimes patterns will emerge, but bitcoin is becoming more and more mature, at least in terms of the arbitragers, so there are likely folks who are identifying those kinds of discrepancies and trying to take advantage of them, which ends up causing the discrepancies to become less great.. even though likely identifying the pattern early gives you the greatest advantage, but it could end up devolving into NOT making much of a difference and not being very good use of your time... but hey, I am not going to completely poo poo the matter, because there can be really good feelings if you have $1k and you are able to to identify a few percentage difference, and then you end up getting an extra $30 of bitcoin for free.

I have told this story several times, but it may well be worth repeating even though it might seem like trading, but I consider it to be a kind of maintenance, since I had already reached my earlier maintenance stage in 2015, and in 2015, when I first started to employ my practice of selling on the way up and buying on the way down, I was using such small amounts of BTC just to practice that sometimes the profits were less than a dollar to sell and then to buy back, but they were still profits and accounted for fees and other expenses, and my friend would laugh and laugh and laugh at me to suggest that I was being so petty. 

I responded that I was merely building good habits and putting in place a system, which was the earlier stages of a kind of raking, like I describe here, and it made me feel good to be able to get $0.60 worth of bitcoin for free on my buy backs, and so as the BTC price went up, my authorization of the amount that I was authorized to sell from my stash went up, both in terms of how much BTC I was able to fold into the practice and in terms of the BTC price going up.

So, since the BTC price was around $250 at that time, now the BTC price is more than $25k, so only using the same amounts, the profits would have gone from $0.60 to $60 (100x higher)  but also if the amount of the authorization would have increased by several times too.. because when the BTC price was ONLY $250, I was ONLY authorized to use about 1/5 of the total size of my BTC holdings for the rakes that I was making (because that was the ONLY portion in profits), but if the amount of the authorized stash also went up 5x, then the $60 became 5x higher too, so the $0.60 turned into $300 worth of bitcoin for free for similar kinds of BTC price movements...so sometimes the building of good practices can end up adding up to greater amounts at stake, whether we are talking about raking ideas or buying on the dip.. .. and I am not even trying to talk about trading here.. even though it might seem like trades because I was not trying to guess the price, I was just putting systems in place in which I sold BTC in such low quantities with no expectation to buy back, but if the price did drop then I had systems in place to buy back and my amounts and my spreads were quite small in the beginning to test out the raking theory.. or to put the raking theory into practice.. so maybe raking with a buy back option (which I do not consider to be trading. but something that can be exercised after you have already built up your accumulation and perhaps even over accumulated within your definition of such).

depends on the strategies of the particular investor though. Imo before taking action in doing any investment always ensure to have a back up cash than to just go all in, you going all in. Have already given you the mindset that yah hope is on your investment and that can of investing are not normally for long time because you would be in eager in withdrawing  your investment.

That why DCA strategies is nice help you to buy different quantities of bitcoin mostly with cash you know you can actually leave for a long period of time. Then you don't have to bother thinking of withdrawing investment in an premature state. At that you be able to leave as an long-term investment. Not bad to withdraw some profit in your investment though but know that you are just withdrawing some quantity of it not

What do you mean by senses of cycles, I'm not really clear on this. Or do you mean when a person has become so used to a pattern that it becomes hard to change or adapt to new strategies?

Based on this I understand as a person continue to mature in his investment, he would continue to become more strategic around his allocations and strategies in bitcoin either to get more bitcoin(or reach a certain level of accumulation) or to make more profit from it. Like you've said before if a newbie is more concerned about profit on his first years of investing, it could either cause him not to hold much or even he might diviate from his DCA, since he has become more profit minded. But a more mature investor can be more profit minded cause he can now align his allocations and strategies in a way that would be to make more profit form his investment and the level they call fuck you status could also determine their approach to buying. So like we have agreed before our senerios and strategies might continue to change based on different factors and the one we know for now is individuals, I was also thinking don't you think things like market trend could affect how a more mature investor and newbie would approach the market and plan out their senerios, cause it would be hard for me to say that if all mature investors would consider a bearish market as worse case. An investor could also be in his 8-10 years range and still looking to get more bitcoin, so he might seem to be aggressive towards a bear market than a bull market an at this point he could have even reach his fuck you status as planned by him but just wishes to get more bitcoin.

This individual here shows a totally different characteristics from the once you have used from your other examples. In his case he feels satisfied with how his short term investment has been even tho he hasn't reached his desired level of accumulation in his portfolio. But if the bitcoin price corrects and maybe goes back to 2x, he might also begin his journey again or is it possible that to avoid cases like this we set a limit for ourselves to not allocate more than a certain amount in a month or weeks or at any intervals we chose.
Now this is major case of individual preference, another person might be fired up to invest more into bitcoin and even decide to increase his allocations from 25% to maybe 30% and decide to be a little more aggressive.

Many people dive into Bitcoin investment without really grasping how it works. Some end up selling their Bitcoin without holding onto it for long because they lack a proper understanding of Bitcoin investment. These individuals don't often have a plan to hold their Bitcoin for an extended period, thinking it's a quick way to make money.

When you lack understanding about Bitcoin investment, they wouldn't make good plans for their Bitcoin investment. This is why many newbies invest any amount they have with them, even if it's money they might need in the near future they don't always care. They like taking risks, and when they need the money, they go ahead and sell bitcoin and withdraw their money even at a loss when the price is down.

However, those who understand Bitcoin investment are more likely to have emergency savings, ensuring they don't need to sell their Bitcoin investments hastily. Having a good knowledge of Bitcoin helps in making informed decisions and holding onto investments for a longer period without succumbing to the temptation of quick gains or immediate financial needs.