Topic: Buy the DIP, and HODL! - page 382. (Read 123439 times)

Anyone who came with the mentality to instantaneously double their money is like someone who is looking for Ponzi scheme were he would put some certain amount and received them back in couples of minutes which I know too well it doesn't end becoming scam at the later ends maybe it could be that such site has continuously be paying them but at some point there must be crash of site. In bitcoin investment there is nothing like "Instant rich" we must exercise that patient to wait for the maturity date or even having to wait at least 1 year to 4 years time before we could see something very pleasant with out investment.

That is to say after investment we go for more knowledge  as we need a sufficient knowledge to know how to manage/guide our investment otherwise we might ends up wasting it when then time is not yet due. Though investment like bitcoin (especially cryptocurrency investment) requires more educational material on the security aspect of our investment to enable us be able hold long time.

Therefore, before we get to know or do research on the assets we will invest in, we must first understand the concept of investment. Everyone may be familiar with the word investment, but not everyone knows what the real meaning of investment is and the essence contained in it. After we understand that, then we start to understand the assets we will invest in, in this case bitcoin for example. It doesn't stop there, but we must have a long-term plan about the investments we make.
The basic thing to remember is, investing is not something that will make us instantly rich.

As a child I read a story that a crow was very thirsty in a desert and he was trying to find a lot of water in the desert. While searching for water he finds a pitcher and some water collects at the bottom of the pitcher. The water collected at the bottom of the pitcher, the crow tries hard to eat, but his beak does not reach the bottom of the pitcher, so he fails after trying for a long time. When he can't drink water after trying for a long time, he comes up with an idea, the crow sees some pebbles nearby and he picks up one pebble with his beak and drops it into the pitcher. Bringing one pebble at a time, the bottom of the pitcher is filled with pebbles and the water in the pitcher rises to the top so that the crow can easily drink the water and he flies away to quench his thirst. This childhood incident coincided with your words today. Just as a crow is able to bring water up to a pitcher by throwing a pebble one by one, if we invest little by little over a long period of time, the amount of our investment will eventually be much greater than we can imagine.  

In the story, if the crow had not been patient and if he had flown away, he might not have been able to satisfy his thirst. It's like a story, in investing, we have to be patient and try to invest little by little, only then we will get success like the crow.

What is required in long term investing is decision making and some risk taking. Overthinking what we invest in can muddy the waters, and muddying the waters can change our investment decisions. As we will hold our investment for a long period of time, a small change in the market will not be a big obstacle for our investment. You are willing to invest and you have money to invest there is no need to delay invest your money in Bitcoin and hold it.

I agree with you about investing. It is a long term commitment and we can not expect to make money right away. Starting with a small amount of money is fine because it lets you learn about investing without risk too much. I m glad to hear that you started small and then added more money with time. It is impressive that you invest when Bitcoin was worth a lot and when it was worth low. It show that you are dedicated and willing to take smart risks.
And Investment is second name of long term. If you have invested so just wait for the best time. If you are you are trying to invest in short term so I think this is trading not an investment(long term investment).

Yes we should establish friends who will always be helpful and competitive to enable us to invest in bitcoins profitably. If few friends can form together like you then surely success will come because we will be able to invest by sharing everyone's opinion and properly following DCA method. We need compatible partners that we can turn into long-term investments by investing with each other. I think it is most important to create such a situation for us to create a unique fit.

Investing is not a one day investment and you cannot gain everything from investing in one day. Investing is for long term, in case of long term investment only we need to invest more amount of money but not at all like that. For those who start investing with 50 dollars, 100 dollars or 200 dollars in the first situation, but starting investment is not wrong. If there was a rule in the field of investment that once an investment is made, the person cannot increase the investment, we would need more money to invest, but we can invest with a minimum amount of money and we can increase the amount of our investment if we want.  

I started investing with less money now my investment amount is much higher. Investment amount increased so much not only profit from investment but I tried my best to increase investment amount and when I had money I invested in Bitcoin instead of saving the remaining money. Over the past few years, I have invested in the highest and lowest Bitcoin prices. I have invested during the highest prices, I have invested during the lowest Bitcoin prices, and I am still investing. Thinking about strategy in investing.

It has been my experience that different financial requirements arise when one plans to keep a large amount of money with oneself. When I bought the bike I had enough money to buy the bike in the first place and when I went to buy the bike with that money the bike showroom told me that after a month the new design bike will come and the new design bike will be good for me. According to them, I went home to wait for a month and left the money with my mother but after some time father's business needed money and then he had no other way and he spent the money on my bike. If I had bought the bike the day I went to buy the bike, but my father never sold my bike and took the money instead he used to manage the money in some other way.  

Similarly, if we wait for a long time by saving money to invest, then the money will be spent if necessary and it is more likely, but if the investment is made, then we will not want to sell the investment and spend the money in another way, but we will try to arrange that money in some other way. Investment decisions should be implemented before one's state of mind changes.

Yep.  If we are going to compete, we should be competing with either some abstract version of our alternative self or competing with someone of similar financial and psychological circumstances, and surely there are not going to be people with exactly our own same circumstances which is another reason to create standards that are individually tailored.

Such speculation will continue to exist and will even continue to roll when prices rise or fall but in the end if we only care about the speculation that others say we will end up destroying the scheme that we have compiled ourselves. We have so many beginners who fail because of cheap speculation like this. they will strongly believe that bitcoin will experience a correction and sell what they have and wait while hoping that this speculation is true which in the end actually makes them get a loss because after selling bitcoin owned it is only focused on falling prices and continues to wait until it finally loses momentum because bitcoin does not match what is expected in terms of price.

Instead of happening like that, it would be better if in the end it focuses on the initial plan about the investment methods and strategies carried out. As for when the decline occurs, maximize the decline to be able to buy back but if something like that does not happen and bitcoin remains bullish then the initial plan about the DCA scheme carried out will continue to run according to what we think.

Yeah, every investor will actually earn the profit they deserve. For example, people who buy 1 bitcoin at $20k and if they are still holding up till now and peradventure Bitcoin gets to $100k during the bull market, that means they have made $80k profit, which is a nice one, but we only invest that amount that we can be able to raise and invest freely without causing ourselves any psychological issues. There was a topic I raised in the past about some friends wanting to set competitions among themselves on who would actually invest more in Bitcoin.
   In a normal sense, it's a good contest among themselves, but some of them did not realize that their financial income is very small compared to that of their friends.

I always tell people that it's more wise to just invest the amount that you can peacefully hold until any time that you have seen that the price is very bullish and you are satisfied with the profit you are seeing in your portfolio.

Some people see that their friends have bought 0.5 bitcoin, and they also want to buy that same amount of bitcoin without even realizing that their friends are earning more than them and also have fewer responsibilities than them.

You don't seem to be thinking sufficiently broadly about different kinds of people and different kinds of situations, and so sometimes when someone has an option to either front-load (and/or lump sum) into their investment, they may well be way better off than someone who scatters out their investment.. so it also depends upon where the BTC price is going from the point of the investment, and part of the point, is that we do not know which way the BTC price is going to go, so if someone already has a $100k investment portfolio (maybe it took him 10 years to establish such an investment portfolio), and he plans to get a 10% position in bitcoin over the next year or so (or even a 25% position in bitcoin over the next year and a half or two years), he may well be better off to front load some if not all of his value to get into his BTC position, depending partly on how he might choose to get into bitcoin quickly and if some of held assets might already be liquid.  As a practical matter, there are a lot of folks who prefer not to sell assets when reallocating (or when adding a new asset to their portfolio), so there can be some dilemmas regarding how to get into a position quickly, and surely when BTC is in its current posture, there can be a lot of advantages to front loading rather than diddly daddling around and taking 1 or 2 years to establish your BTC position.

There is no straight forward rule, and DCA is not always the best when someone has other options... even while part of the problem (or the confusion) is that a lot of normies do not have options, so they need not even think about whether they should lump sum or front load their investment because they do not have that option in front of them, but even if they do not have that option to lump sum or to front load their investment into bitcoin, it still might be the best option that they happen to have available to them to DCA into bitcoin...and if they do not DCA and get started in their investment, they might just have regrets for many and many years if they know about bitcoin, but they fail/refuse to take actions to establish as good as a stake that they are able to establish based on their own financial and psychological circumstances.


Of course, everything that you are saying in regards to difficulties to keep cash on the side is correct, and so if a person had invested aggressively into bitcoin, and had not maintained enough of an emergency fund, then surely there could be problems in regards to how to deal with such emergency, but of course, at the same time, as the money regularly goes into bitcoin, it may well be less of a temptation to tap into it because it is already channeled into an investment that you may well do not want to touch for quite a long time, perhaps 4-10 years or longer..


I agree with your overall point about it is likely better to be investing sooner rather than later rather than holding money back to be able to invest in dips that might not end up happening... so there surely can be variance regarding what anyone is going to want to do in terms of considering how many BTC he has accumulated and for how long has he been accumulating... so then a guy who might have been accumulating bitcoin for 6-7 years at $200 per month may still not feel that he has enough bitcoin in order to slow down in his BTC accumulation, but it still might be difficult to justify how much of a difference a continued $200 per month is making.. but at the same time, maybe he started out at $50 per month in 2017 but he has worked himself up to $200 per month, so he is increasing the amount that he is able to invest into bitcoin, and still not even yet to a point of having had invested a years salary into bitcoin. 

Even if the guy has gotten to be more aggressive in his  BTC investment over the years, and maybe he started out by investing 10% of his salary into bitcoin, but over the years he has gotten up to 20% of his salary being invested into bitcoin, so instead of taking 10 years to get to one year's salary invested into bitcoin, he has gotten to a point in which he has been able to get 1 years income into bitcoin in around 5 years, and maybe even the appreciation of BTC price has put him even further down the road of having several years of salary already saved up and in bitcoin.  That is a good place to be, and it starts to become more and more difficult to figure out how much to continue to put into bitcoin.  Does a guy continue to be aggressive with his bitcoin investment or maybe let off a bit and start to invest into other things, too?  (I am not referring to investing into shitcoins, unless it is less than 10% of the size of the bitcoin holdings) I would not say that the answer is clear.


It is still good to be prepared for a variety of scenarios that could end up playing out, even extreme scenarios... and surely one of the advantages of just buying a regular amount on a weekly or monthly basis, then you likely have that kind of a cashflow that you can just pull from it and keep buying no matter which direction the BTC price goes... but if you had already been buying BTC for several years, you may or may not want to follow a strict DCA approach, even if a strict DCA approach still might be the better of the approaches - apart from someone who might be way further along in their BTC accumulation journey, then they might be starting to think about matters differently... even though there are so many bullish things going on with bitcoin that makes it difficult to justify very many other approaches for anyone who even might have been accumulating BTC for more than 4 years.


The previous 16-17 months between about May 2022 and October 2023, were even more perfect to be accumulating BTC, but I would argue that anyone who had not come to bitcoin with an already decently large investment portfolio (in other words the person who had been DCAing into bitcoin since early to mid-2022  or even going back to 2020, that person still might not have had stacked close to enough BTC, even though they may well be in a decent position to have been accumulating BTC for anywhere between 18 months and 4 years..


Selling to buy cheaper is a really bad practice, especially for newbies.  Newbies should be almost exclusively be considering how to strategize and to plan their various ways to buy... but hey there are always going to be people who don't really know and they let gambling tendencies get in the way of sound accumulation practices that likely take many many years to really get to a point of getting rich (or well to do), and when there are attempts to get rich quicker, those kinds of efforts are frequently not as productive as ongoing, persistent and consistent accumulation strategies that might even involve figuring out ways to increase your discretionary income in ways that increase your cash coming in and/or decrease your expenses.


Personally, I would not define a person as a "low coiner" merely based on his being poor and his NOT being able to buy very much BTC because he has a low budget.

In other words, I personally consider a "low coiner" to be a whimpy investor.  Someone who could easily be able to buy $500 per week in bitcoin, but only buys $10 per week. 

I would not consider a person to be a low coiner ONLY because he is able to invest $10 per week if that is all that he is able to invest, and if he is being as aggressive as he can in his investment into bitcoin (without over doing it) then he is not a low coiner.. not from my personal perspective. 

Let's say that the person who invests $10 per week for a year, and then has $520 in bitcoin, yeah that is a small amount of coin, but he is still not a low coiner, because he is doing as much as he is able to do... That person is as much of a genuine coiner as anyone else, even similar to someone who owns 100s and thousands of bitcoin... and maybe the person who has been buying bitcoin at $10 per week for a year might be struggling to get to 1,000,000 satoshis.. but he is still working his way within his capacity.. and hopefully taking care not to lose any of the satoshis that he has accumulated.  One of the difficult things with anyone investing such a small amount into bitcoin does happen to do with the fees, so it may take a while to accumulate enough bitcoin in order for it to make sense to transfer the bitcoin to another location.. so there is frequently going to be concerns about ways to save fees.. and maybe sometimes having to store those coins with a third party until they reach a certain amount of value in which it makes sense to transfer them to a private wallet.  Another problem with the  person who is ONLY able to buy small amounts at a time is not wanting to have a bunch of BTC addresses with ONLY small amounts of bitcoin (like $10 in each address) because then it could become very expensive to combine the addresses... or even to spend from each address with a small amount of bitcoin in the future.

There is nothing like maximum profit in bitcoin, the only way you can get good amount of profit is by investing in a long term, using DCA strategy to buy weekly or monthly irrespective of the price of bitcoin at that moment to reach your bitcoin target as long as you have your emergency funds available and you have taken care of other expenses. This is where you can enjoy the compounding profit because for every circle, you profit will compound based on the size of your portfolio. So if an investor understand this and hodli with regular buying for let's say 8-16yrs. If investor A invested a certain amount in bitcoin for 8yrs, his profit will be smaller compare to investor B that could invest same amount for 8yrs and hodli for 16yrs, even if he didn't buy during the additional period of eight years.


Why do you make it look as if it is only people that have $100 as extra money to invest in bitcoin can do that weekly or monthly. DCA method is open for everyone to adopt, all that matters is that you shouldn't use the amount that will affect your monthly expenses or that will be a burden to you to invest. If you can use $50 or $20 or $10 to buy weekly or monthly, it doesn't matter as long as you are consistent with buying regular, gradually, your portfolio will grow. It is lump sum that needs a reasonable amount of money and not DCA. It is better to be a lower coiner, than a no coiner because you have less than $100 to invest. No amount is too small, it is better to get started early with small amount than waiting to start in a bigger way that you don't know when.

There is no different between that wish you said to a trade called scalping, although I have heard about scalping.
From a little research I found something related to what you said and I quote

"Scalping in Trading: The fastest trading method is “Scalping” or “Scalp Trading”, which has the lowest time span between opening and closing a position. In this strategy, profit is gained through small changes in price.

Scalp trading takes from several seconds to several minutes. In this method, trades are taken place in small time frames such as tick charts, which are the 1-second time frame chart. As a scalper, you should determine the suitable time frame before trading."

So like you said taking every little opportunity of the market make you a scalper then if you must apply DCA this doesn't meant you can't do that but more like scalping. DCA is depending on your income or salary per say it could come weekly, Bi-weekly or even monthly then you can take some percentage to buy BTC at the given price at hands but if the finance sufficient or sufficiently enough then doing DCA is just like wanting to miss a very huge opportunity in this bull run, don't get it twisted but bear is mostly fitted for DCA I might be right or wrong at your own point of views.

You're not wrong, but the point of the debate between "Buy the DIP" with a lump sum and DCA is not because of a person's financial situation, it's to find what's the more efficient/more profitable strategy. But for plebs like us who don't manage billions, I believe the difference in profit would not be that large that it wouldn't really matter.

What's probably more important is to purchase how much you can today, and front-run BlackRock, the other billionaires, and possibly also front-run nation-states.

Buying Bitcoin with a lump sum is never a bad strategy, but if you know too well that buying with a lump sum will stop you from taking care of your financial needs, don't buy with a lump sum strategy, because you think Bitcoin will never dump again, and you will see your Bitcoin even when you at a loss to solve your financial challenges. You can continue with the DCA strategy in accumulating your Bitcoin which allows you to solve your financial challenges easily while you are on your Bitcoin accumulation journey.

Most people will fail to read and learn the ways of accumulating Bitcoin and you see them making drastic decision that will completely ruin their investment. Selling your Bitcoin now to collect profit because you initially bought at a price lesser than this and due to the market experiencing a little down trend decide to sell off, where else predicting the price to fall more and more so as to get another entry price.
This we need to know that our planning on investing should not be based on speculations and sentiments, face the market currently in a way if what you predict happens you benefit and if it doesn't you also benefit as well.

I believe the first thing you should do before starting your DCAing is to first set a budget for yourself(it may be a specific amount of dollar to be hold in Bitcoin or any amount of Bitcoin) and in what time interval you would accomplish it.

I agree with the statement above that what is needed is full control over emotional reactions to market pressure when investing even though you have used the DCA technique and the referee in BTC transactions is a miner as an intermediary.

It is important to account for any variance in your income and expenses to ensure you have enough to invest each month. It is understandable that there will months where you invest more and others where you invest less. As long as you are consistently investing a percentage of your income like 10% into Bitcoin you are on the right track. It is important to build up the size of your investments before doing so. It take time but with consistent investing you can respectively build up your investment size and potentially create a passive income stream.

Investing consistently help reduce the risk of investing a lot of money at once. By investing a same amount every month we can take advantage of price changes and buying Bitcoin at different prices. This will help balance out your investment and make it low affected by sudden change in the market.

It is also important to consider that investing a larger amount at once can have its benefits. If you have a lot of money available investing it all at once can let you take advantage of immediate opportunities or price changes. It's important to think about the pros and cons and your own comfort with risk before deciding how to invest. Because this is the method which is for traders and they have the risk management. And they know the market behaviour so and DCA method is for everyone. Who can use for better investment.

There are speculations that we might get to $35k to $30k, but It is just a speculations which I don't really care much about. There will always be speculations in the market, which will make some paper hands sell off their Bitcoin they bought around the high of the current run that got to $45k. But someone who has been around for so long will understand that this is a perfect time to acquire more. Most newbies are most likely to empty their bags with the hope that when we get to $35k or $30k they will buy which I don't even see happening. But for me I will act according to the name of the group. Buy the dip and hodl!!

You can never invest in Bitcoin long-term DCA method with profit loss. One such strategy is investing in the DCA method that helps an investor raise money and encourage them to invest in Bitcoin. Investing in DCA method is on average how much % you will invest. Currently 41k bitcoin price if you invest 5% percent of your wealth now and invest 5% again the next day. If you invest in this way then success will surely be achieved. Never invest your entire wealth in one step, invest in different stages, then calculate the average amount of your purchased bitcoins.



Investors who invest in DCA method invest small amount of assets regularly in weekly or monthly DCA method. DCA method is definitely successful for those who invest small amount regularly if you invest properly. So no one ever keeps all their eggs in one basket, you can store bitcoins in multiple solid wallets then properly planned investments. If you want you can invest 5 to 10 dollars per week it is totally up to you.

I believe in investing in Bitcoin but I don't believe that an investor should invest a lot of money at the beginning of the investment. Suppose a person pooled his one year's income and invested in Bitcoin and I started investing with him. The difference between my investment with that person is that I invested the entire amount in bitcoins instead of saving money every month and also that person saved his money every month to invest more money in this case I would say I invested earlier than that person and my investment is more profitable. Having invested in Bitcoin before means that I have a better chance, since I can only afford to invest a certain amount of money every month, so why should I wait a long time to accumulate more money and then invest in Bitcoin?

If we delay our decision, we may change our decision. Maybe now I have enough interest to invest in Bitcoin and I don't have any financial need, I can invest in Bitcoin as easily now as I can in a year but I won't be able to invest in Bitcoin as easily. Maybe within this year I may face some financial problem due to which the money I am trying to save for investment will have to be spent on something else. If I can invest $200 every month then the price of bitcoin is changing every month and I can invest every time the price of bitcoin changes but the risk in my investment is reduced.  

Suppose this month the price of bitcoin is 40 thousand dollars, this month I invested 200 dollars, the next month the price of bitcoin is 42000 dollars, then I invested 200 dollars, that is, the price of bitcoin is pumping and dumping at every stage, but my investment remains. On the other hand, if I invest all the money together, I don't get the opportunity to invest in every stage of Bitcoin price change.  
I believe so much that if I can invest consistently then that investment is for me and I will definitely get something good out of that investment.