Topic: Buy the DIP, and HODL! - page 350. (Read 123560 times)

That is the difference between buyers with the aim of collecting more Bitcoin or a certain currency and buyers who consider a certain price more when buying at a certain time. Although the DCA method itself has become more suitable in the application of buying for any purpose, just in terms of use of the method it seems to be used more often by buyers whose goal is to collect more than buyers who only want to take a certain amount of profit after hunting for certain currencies at low price levels when there is a moment of falling prices in the market.

If you took profit once, or it is not a regular thing, then it is okay to take profit. Do not just make it a regular thing because that is where it will affect the profit you are supposed to make from DCaing which should be the increase of your portfolio. Also if you are to make a withdrawal from what you have been DCAing, try so that it is not a very big amount that affects or takes out amount of money equal to what you will DCA for like three weeks. What I mean is, if you must withdraw, there should be a limit to what you plan to withdraw from what you are DCAing.

I don't think that as an investor you should be thinking this way or even considering it that's why dca is greatly encouraged especially for someone on the journey of accumulation

Using dca method clearly helps eliminate what you're suggesting,an investor especially one who uses this method is never late to invest and whether the price goes up or down you'll realise it's a win-win situation for you,if you buy and the price drops then it means that when you buy the dip your average becomes way lower than you even projected which is also a big win for any investor
Therefore you should focus on how much you can buy at any given time and not necessarily the current price or what the price was a year ago

That is the last choice when that will be taken by us in the end when it is a difficult situation and there is no other way we can do because it is already inconvenient to deal with some difficult situations then I think it is not a problem to sell a small part of the portfolio that we have to support so that our lives survive but of course there is another note that this can be done if we have already profited from it and when we have been doing DCA for a long time I think we have definitely benefited from the previous DCA so selling for very urgent needs is not a problem if it is the last choice and the only option left because we must realize that even though investing in bitcoin is important but supporting the current life to survive well is much more important. The only option left because we must realize that even though investing in bitcoin is important, supporting life today so that it survives well is far more important.

As long as they are able and able to be in bitcoin even if it is school age or children IMO it doesn't matter as long as in this case they are able to do that and not interfere with other activities.
But indeed it is not a compulsion and i agree with that because for anyone regardless of whether it is a child or an adult we have no compulsion to stay here so that if you really want to be in the scope of bitcoin investment then indeed do it seriously because the initial plan can be an important factor for the next step but if you are unable and seem hesitant then it is also not a compulsion to stay because it is precisely with such an attitude of doubt that makes us have a fairly high failure rate in bitcoin.

In fact, the four points you have mentioned have become the main calculations for someone when planning an investment in Bitcoin. let's say if someone has passive income every month and they are able to set aside 10% regularly every month then their investment planning will of course not be disturbed because they get passive income every month. But for those who work odd jobs, of course they have to manage the allocation of their funds as best as possible to keep the investment they plan running smoothly, such as setting aside a little for an emergency fund because if they don't have an income at that time of course they have an emergency fund to keep buying Bitcoin regularly.

Apart from that, if they are beginners, they should not be too selfish to buy aggressively because they need to strengthen their mentality when the price of Bitcoin changes suddenly. Because beginners often panic when prices fall because they are not experienced enough to deal with situations when prices fall drastically. For that reason, I agree with all the points which deserve to be a priority for us in accumulating Bitcoin for long-term investment.

Just like what @JJG said in his earlier post that, there are fours ways which an investor should prepare on when he wants to start his bitcoin accumulation, which are having plans to buy on the dip, lump summing and the superior of all the DCA method, and the fourth one is your emergency funds that will cover 3-6 months duration. The emergency funds is more important because if you don't have it ready, there is no way that you will succeed in your bitcoin accumulation journey. You will end up ruining it because you don't have what you will fall back on to use, when the unexpected and unforeseen challenges arises, which must be taken care of. This is why I make my emergency funds my priority as I am investing using the three methods to accumulate bitcoin depending on the rate of my cash inflow at that moment.

You are talking about taking profit while Dcaing, it means that you are killing the purpose of Dcaing, which is to increase your bitcoin portfolio during your accumulation stage. It is good to aim at long term profit and not short term profit so that you don't end up making wrong decisions that will lead to you regretting your actions through out the rest of your life. This is because there are mistakes that we take that we might not be able to correct anymore and they will live with us and it will be too late for us to do anything than regret.

Sell not but hodli and see that your investment is worth hodling for the future.

This is what im actually doing because i have some past experiences on the time that you are really that in short of funds then you would likely be pulling out all of those investment that you have made even if the position
neither be negative or positive then since you dont have any choice then you would really be that pulling up those investments without having second thoughts. Sometime you would really be having that kind of emotion
and feeling that this is something that cant really be avoided. On the time that i do make our some realizations that there's should really be that back up funds on where it is really that dedicated for emergencies
or would really be with those sudden unexpected moments on which it might cause for us to have those kind of decisions.

Buy the DIP and Hold? Sounds pretty easy but on the time that you are dealing with a volatile market then it wouldnt really be that so easy on how you would really be having those
kind of experience along the path. The thing here is that you should really know on when to make DCA and when to secure profits on the right time but since we are
talking long term on here then it would be your own personal choice on when.

In as much as we are trying to make some certain level of impression here, it is also important to understand what someone is saying before quoting them to add your opinion. As we are trying to share our view on a particular post, let's make sure we have proper understanding of  the content of a post you are quoting, before we make other users look like they don't know what they are saying or make them feel like novice, because we want to gain attention. From my earlier comment that you quoted me, I never said when you invest you should only have a profit mindset. I understand quite well that profit and loss are part of investment. From my earlier post I was only responding to the user who said experience is the best teacher. And he said it is quite okay to make a mistake which will make him to lose money and then learn from it. I was of the opinion that it is better to learn from other people's experience who has been through that path, than following that same path that will make him to lose money before he can learn from his own experience. I have been following this thread for sometime now and I understand that investment can go both ways. But when it comes to Bitcoin investment you stand a better chance of profitability when you hold for the longer term.

I think those who basically often wait for DIP are the Day to Day traders and those who are in for the short term investment. Anyone doing DCAing would not have to wait for a particular time or DIP to invest, every point remains favorable and matters a lot to him/her due to a significant price change.

That should be the absolute way of reasoning, those who understands the essence and applications of the DCA technique always find their success when the price begins to drop down given enough room for a whole new entry.

I think there is a mistake on your post on the aspect you mention that Bitcoin was up to $88k, perhaps you mean to say $48k, yeah of a truth there is every possibility that for the price of Bitcoin to have move the they it does there is every chances that it will surely hit the all-time high and even surpass it in time to come, so speculating about what may likely be the price of Bitcoin is actually a waste of time because that shouldn't serve as a determinant on our accumulating decision because with the potential of Bitcoin it will surely be great, however any investors who saw how Bitcoin price behave during the time when it was $26k and did not utilize the opportunity to accumulate thinking it will drop before they will enter and unfortunately miss the opportunity perhaps with the current price of Bitcoin now if those investors are still not convince to start accumulating thinking it will still drop more before they could invest perhaps they are not ready to begin the Bitcoin journey.

You are quite imprecise in your description of bitcoin's price history, which could be misleading if you are generalizing too much and not really attempting to represent actual BTC price movements, even if you might ONLY be referring to 2022, which was pretty much a down year for the whole time... and then furthest down that the BTC price reached was $15,479, using bitstamp prices.


Well you could be correct if we are referring to percentage of performance, since 2023 began with BTC prices at $16,600-ish and ended the year with BTC prices right around $44k-ish, then that is right around 2.65x price improvement in the year, so it may well be the case that BTC prices are not able to reach those kinds of price, which would be a bit over $100k, yet I would have some difficult times believing that if new ATHs are reached in 2024 and even if BTC prices were to get close to $100k that BTC holders would not consider 2024 to be a pretty good year without getting too much caught up into the "technically" comparisons,

...and I am not even sure how much it really matters to get caught up in these kinds of comparison of which was better matters too much anyhow, because probably more importantly would be how BTC holders and accumulators had been dealing with the situation in order to helpfully put themselves into as good of a place as they might want to put themselves, if they are building their BTC stash for the future are they still accumulating, or are they doing something else? and so each of us has to decide for ourselves where we are at, including some of the dilemma that shorter term bitcoiners might feel when they have been into BTC for less than a full cycle and they might still feel some dilemma regarding how aggressive that they should attempt to be in their own bitcoin accumulation journey.

Hopefully, you got your own situation figured out and you won't  have too many regrets for selling too much too early and also perhaps not even sufficiently and adequately preparing yourself for 2025 and thereafter.


That is a pretty short timeline, even though earlier you seemed to have given the impression that you might have started to get involved in BTC in 2022.. which we can see that the longer you have been in would have surely been better as long as you had been buying all along, even if you might have gotten started in 2021 when BTC prices were in higher points. .. but yeah, if you don't even have a whole year of accumulating BTC, then you likely have a bit of a longer journey ahead of you in terms of both thinking about how to accumulate BTC and how to put those accumulation practices into effect without deviating too much into trading, but then again, the choice is yours to do whatever you believe is going to be good for your situation, even if you end up making the wrong choices.


I don't see what you might be describing as phase 2.  Maybe you need to be more clear about what you mean?  If phase one might have been figuring things out and phase 2 might have been acting.. or even phase one could have been making some initial investments into BTC that could have had been lump sum and/or DCA  and phase 2 could be creating some long term accumulation plan, such as DCA. 

I hardly could see it making sense that if you might be in early accumulation versus later accumulation, and why would there be any needs to describe those as phases, unless you just have your own criteria regarding what you consider to be a phase that may more may not be relatable in terms of what some of us actively participating in this thread might be considered as phases that are worth breaking down in that kind of way.


To me, that just sounds like a person who wants to be fairly aggressive in his BTC accumulation, and you are getting more comfortable with BTC in order to invest more and more aggressively on a regular basis and perhaps using a DCA strategy, yet you are being a bit contradictory and unclear because with a DCA strategy you should not be running out of money because you should be figuring out your own discretionary/disposable income which would be the difference between how much income you have and how many expenses you have, and then from that figuring out how much you want to invest in bitcoin. 

So yeah you could end up increasing or decreasing your level of aggressiveness in terms of your ongoing BTC purchases, so you might try to consider your own level of aggressiveness in terms of stages, steps or phases.

The other part of running out of money would be someone who might have started with a lump sum or an amount that he might want to allocate over a period of time (which may well end up being a kind of DCA approach), and then once that lump sum runs out, then he will have assessed that he has invested as much as he wants to invest into BTC, which may or may not be a good idea, depending on the total situation of the guy and what his various goals and objectives might be. For me it is still a bit unclear what you mean in terms of your own approach because even if you might have a set amount that you might want to invest into BTC, you still could continue to invest into BTC from time to time, but then maybe that could justify that once you buy up to a certain point, then thereafter you might ONLY be buying on dips... which some guys do employ something like that,

and those are personal choices that may or may not be as profitable in the long run, especially if you might still be wanting to increase your wealth, but it is also true that sometimes if you invest into something for a while (even something like BTC), you may need to also start to diversify into other investments once you have allocated a certain amount into BTC.. for example if you have expenses that are around $1k per month and an income that is around $1,400, and if you had been investing $400 per  month into bitcoin for the past couple of years, and you do not have any other investments, you might start to feel that you have to build other investments, or if you might have come to bitcoin and invested $10k and then also after couple of years investing $400 per month (or even $100 per week), then after 2 years you might have invested close to $20k into bitcoin, and so maybe at that point you start to feel that you need to slow down with your bitcoin investing and start to invest into other things with you  $100 per week or maybe just reduct the BTC down to $25 per week or $50 per week.  Those surely would be personal choices, and you may or may not reach a comfortable balance in terms of how to allocate your investment(s).


You are correct Justbillywitt that there are all kinds of mistakes, and surely we are not going to be able to avoid all of the mistakes, and it is quite likely that we are going to make quite a few mistakes even when trying to learn from each other or trying to learn from our past mistakes and if we can figure out ways that our mistakes are not catastrophic and we are able to stay in the game, then there would be ways that we can continue to make mistakes, learn along the way and even to take some chances and to push some limits in terms of our aggressiveness without overdoing it in such a way that we devolve into gambling or that we end up losing coins... so there are some practices that are better than others, and sometimes we might not be able to figure out our own proper balance without engaging in some experimentation and learning along the way.. and even with the learning, we might not have enough time to spend learning, because we have various obligations and we learn and we act as the same time, and sometimes we might need to act without really having had enough time to completely understand all of the ramifications of our actions, but we still try to do our best under the circumstances that we know or that we are able to know within the time and even skill-based constraints that we have.


Even if some members have trouble reading charts and speaking very accurately about what happened, they still should be held to a standard of communicating clearly if they are going to make certain kinds of representations, otherwise, we all get drug down into vagueness and subjective representations rather than trying to ground ourselves into actual facts.. which is probably more important when we are describing various aspects of BTC's price history than if we might be trying to project or predict BTC future performance, yet even if some members want to conjecture about possible future BTC price performance, it tends to be better if they are attempting to base their predictions and/or projections based on some kinds of meaningful ideas rathe than just throwing out seemingly random numbers.

However and in any case management must still be applied especially when it comes to finance, another thing is that I quite agree with the idea of your statement about how to have a good approach by having a balance in terms of finance and one of them is like setting up an emergency fund before you get involved in bitcoin accumulation.  This method is really recommended, especially especially for people who have medium or even below average finances, as the discussion this time that we will never know about what will happen in the future in our lives, it is very possible that we can experience unexpected things such as experiencing things that require emergency funds such as illness and require medical expenses, and obviously if we have not prepared an emergency fund at all, then obviously the more likely thing is that you will sell some of the bitcoins that you have and that you have maintained so far.

On the other hand, I think it may not be uncommon for investors to experience situations like this so that in the end there is no other way but to take or sell some of their bitcoins to solve problems in urgent situations. Therefore, planning is really a very important thing that must be prepared in advance such as preparing a number of things that are needed and one of them is like an emergency fund. Honestly there is absolutely no compulsion for anyone to get involved in bitcoin accumulation, if indeed you are still a schoolboy then I think this situation is not too appropriate for you to start getting involved, unless indeed you are already working and have your own salary and feel sufficient in terms of income then go ahead if you want to get involved in investing. Simply put if indeed you feel capable in terms of finance then please with a record of having a good understanding of the world of investment, my advice is not to focus too much on profits because after all investment is about profits and losses meaning you can profit and you can also lose and this can be one of the reasons why risk management is really a very important thing for a prevention or action to minimize.

Back to the original discussion that emergency funds are really needed to minimize the unexpected and this method will make you calmer and I think will not interfere with the DCA method that you are running, this is useful for maintaining and increasing the percentage of maximum profit at the end of planning and involvement.

Therefore, before starting investment, prepare an emergency fund in advance for at least 3-6 months so that the reserve fund is safe when needed at any time, of course this will not interfere with your investment when in any emergency.

I always use this strategy because for us it is important about emergency funds, we are humans who will certainly require expenses and needs that we never expected in any case.
Never rely on parents means you don't have independence, if you are still in school then it is still the responsibility of the parents but if you have worked you yourself must be able to how to support yourself and start the investment because with the monthly salary you receive, for example, it is important to set aside on investment, especially bitcoin if you understand it.

Now when you have a problem in the sense that there must be greater expenses then the reserve fund can be relied on, your investment is safe will not be sold in the middle of the road, you can still continue investing in bitcoin when things are normal.

But when your finances are still healthy then continue your DCA to invest in bitcoin.

I agree with you, an emergency fund is very important, because it is something that must be paid attention to, there will be a situation where we will experience something sudden and of course it requires funds to overcome it, such as an accident or other things, so we have an emergency fund it will help us to overcome something that can happen suddenly. Of course, even though we have parents, it doesn't mean that the needs we need can be provided or fulfilled by our parents, at least we also have to have good thoughts, by not burdening our parents to fulfill our wishes.

If you have a fairly serious problem that must be resolved with finances that may be quite large, that doesn't mean you have to sell your bitcoin investment. because in my opinion, selling Bitcoin investments certainly cannot be done haphazardly, it must be done and carefully. If someone already has a business then in my opinion it is mandatory for them to think about an emergency fund and have one.

I can't agree with you on this point, it is definitely possible to recover lost money in investments. What do you mean by lost money? By lost money I understand that money lost after investing is lost money and if you think that amount lost is lost money then you are totally wrong. Invest and get rid of thinking that investment will only give you profit because if you want to take only profit share then who will take your loss share. Investing is risky and the investor has to take risk in investing. Why is it repeatedly said that investing will not only make you gain money but also lose your money that is why the investor is told to take the risk of his own money. In addition to taking the risk of own money, it is said to hold the investment for a long time so that if the money is lost after investing, the loss can be recovered later. If you invest and after investing some money is lost and immediately if you sell your investment and start investing again then it is not possible to recover the lost money.

It is ok but investment should not be sold or excited only if there is a small loss in the investment. Long-term investment means we do not mean that after investing some profit and loss and sell your investment within a few days, it is not called long-term investment at all.  Make up your mind and develop risk appetite and have enough patience only then long term investment is for you.

Currently the Bitcoin market is regularly hovering between $40K to $44K and a few days ago we saw the Bitcoin market touch $88K. Such a change in Bitcoin price makes us believe that Bitcoin will touch $50K very soon. We are predicting that Bitcoin price will touch $50K but despite this assumption there are some investors who are not daring to invest in Bitcoin yet because they expect the market to go down further. They think that when the market goes down further, they will invest in bitcoins and as they invest, the value of bitcoins will increase again. Those who are expecting this are not now but long ago they have expected that the market will come down a little from the current position of the market and they have come so far to expect that their expectations remain expectations and the investment is not done. How can people who didn't invest when Bitcoin was worth $15K invest when Bitcoin was worth $44K? 

For those who always expect a little less than the current price, I would like to say that a small price variation will not cause much problem for your long term investment so if you have an investment plan you can start investing and hold it for a long term plan.

For those people who do really know on how to read up charts and able to compare in between months and years in regarding about plotting out those points then you would really be able to find that
it is really that in upward movement but thing here is that people wouldnt really be minding about those increments but rather they are really that focusing that much on whats the price in front of them.
If they are expecting $50k then having this current price of 40k+ would really be just that low and goes on when we hit against on 50k+ and it would continue.

They would only realize thingso n the time that they've seen that theyre left behind and have those regrets that they should have hold or bought more on last year specially when the price
hits up $15k on which we can all say that this is really the sweetest spot.

As funny as it may sound, I began appreciating the dip when I started using the DCA method.  Before then, I was buying at the dips but there is this fear and anxiety that grips me whenever price dips lower than my entry point. That time, I actually do not like seeing my entire portfolio in negative; it was a big psychological pain for me. But when I learnt about the DCA method, everything changed and the pain disappeared just like magic.

Through the DCA method, I now see dips as opportunity for getting more BTC for the same dollar amount I budgeted. No more anxiety and bearish market is now treasured. 

I quite agree with you because the highest bitcoin beneficiaries are those who have engaged in long term investment, those who buy and sell after a cycle are more like traders who monitor for slight increase in price, sell off and get immediate gains, and during the next cycle, they buy at a price  possibly higher that what they bought at previous cycle, wait for short periods again and collect immediate gains and move on, and so the cycle continues for them. For me, that's the evidence of short sightedness on the part of those kind of investors, it surely depicts low trust on the performance of bitcoin which have proved itself a good choice over the years with respect to appreciation in value.

Let's take for example, the guy who bought bitcoin when it was $2k and sold off when it reached $4k. during the next halving cycle, he possibly goes to buy at $5k and possibly sells at $8k isn't doing himself much good.
This can even be likened to ordinary mathematics, those that buy for short periods are taking occasional simple interests because their interested stops when they sell, but those that buys and holds for long are on compound interest schedule. As the prices increase over the years, so do their interested compound and their gains turns massive.

Every investor should shun the present gains and temptations to cashout and look far to the long term benefits of holding bitcoin and not just gambling with it, Short term investors are nothing but gamblers and gambling is not a good attitude for a good investor.

There's upcoming blocking the access of Binance in Philippines on February so maybe this can affect the price of bitcoin since it can provably create a fud which also create some scare of people to create a little trouble for a price of bitcoin to go dump and that's what I am monitoring since maybe we can see a perfect price to take position or accumulate. Right now maybe we can't see those big pumps which has been speculated to happen since as we can see it seems the price of bitcoin became calm even if halving days approaching and if there's controversy happen just like what I mentioned  but once this month of February pass and nothing happen or there's only few dump happen then a good price recovery might happen as we are approaching this halving which bring big hype in the community.

When it comes to investments in Bitcoin don't wait till you make a mistake before you learn from it. Why not learn from others who have made similar mistakes in the past and have shared their story. This is money you are using to invest and you are following a path that will make you to lose your money so that you will now learn from mistake. Money lost cannot be recovered and you will live to always regret it. In investment don't wait to make your own mistake as there are some mistakes you will make in this life, you might not recover from it.