Topic: Buy the DIP, and HODL! - page 412. (Read 108284 times)

For our instinct what do we think that is the major caused of Bitcoin setback, because i noticed that Bitcoin have doesn't have much thing that bridges it values in the market except information and if information will bridge Bitcoin what do we think that can also bring bitcoin down in price, it's this aspect in cryptocurrency that I find difficult to understand the future of Bitcoin, because I know that Bitcoin have it's way of success, but the information that we think that affects the price of Bitcoin and also caused by the demand and the supply of Bitcoin I'd I'm not mistaken

I doubt that everyone knows the rules of engagement and/or that they are on the same page, as your statement seems to imply.

There is a lot of disagreement in regards to the market and at what points to buy and to sell, and surely if we start to get price momentum in a certain direction (such as UP), then we might be able to proclaim that the price is showing that opinions about the rules of engagement are synchronizing.. but there are still going to be exceptions of people who sell way too much too soon or put their shorts in and they end up getting reckt, even when it seems like "everyone" is making money.

When it comes to making sure that you protect yourself regarding how much you invest and at what points you buy and at what points you hold and at what points you might shave off some profits, it still is not healthy to presume, everybody knows... even if there is a song about it.


And that goes to show that you don't know anything... since you are merely making a simple and basic statement that's not really saying anything...

yes.. it is true that there needs to be more buyers than sellers for the price to go up, but are you really saying anything when you make such a simple observation?


ok


Glad to be of help... if my previous description helps your perspective.


I agree that short term versus long term perspectives might be different, yet your description of where we are at seems a bit strange.

Maybe there is a need for you to zoom out in your perspective a bit in order to attempt to better describe where we are at and then to be able to frame where we are at in terms of how the perspectives might be, and surely there are some folks who might not even know where we are at, so they get confused by the descriptions of others because they are already lost.

If we look at the 2015-2017 BTC price run, we see somewhere in the ballpark of a 75x price appreciation, and then maybe if we see the 2019 to 2021 BTC price run we got around a 16x price appreciation, and whether that is normal or not, we ended up getting a pretty strong price correction from November 2021 until November 2022, and so far the bottom of the correction was $15,479, which may or may not have had been confirmed to be a bottom if we consider that the BTC price started to move up around the end of 2022 or the beginning of 2023 to so far ONLY get us up to $31,818 as the mid-July 2023 high of that come back, and so I have my doubt about how accurate to be jamming all of the price dynamics of the last year as if it were all some kind of a supposed consolidation, when the fact of the matter it seems to be that the bullrun likely already began, but it is having a hard time taking off, and there are some corrections along the way, and surely if we bounce back below $20k, then likely a lot of my current way of characterizing where we are at would need to be reconsidered. and maybe at that point we might suggest that we had been in a year long consolidation and even questioning if the bottom is actually in yet or not.

Of course you are right, and that's why I tried to remind him instead of just thinking about how to accumulate but ignoring the importance of a reserve budget. This advice is good and really worth considering for anyone, but still every investor has their own way of managing their finances and planning their investments.

For me, a reserve budget is a must-have so that investment plans are not easily damaged by unexpected things. That is a wise mindset before deciding to invest, of course if they plan to hold it for the long term.

Maybe that's also true, but some people stick with other approaches such as just waiting for the ATH or selling during a bull run cycle. Of course it doesn't have to be 5 years, but it depends on when they started coming in.

Halving, demand and supply, Scarcity and pice; all these are parts of what might influence the buy pressure of BTC but the concrete truth is, if the market keeps going at this uncertain rate, more people are gonna be skeptical about buying the dip, the market has been consolidating for more than a year with no much buy pressure.

Just when you think its about to be bullish, a sudden news brings it to its knees, this kind of situations makes people look beyond the regular factors. Remember, people buying are investors and investments have timely tunrover expectations. So an investor is expecting a 10% per anum return and Bitcoin isn't promising that yet, he has other options but for long term investors or those who store BTC as a form of value, I think they have a different perspective.

Ultimately it is personnel choice of every individual to select the strategy that suits his risk tolerance level and financial circumstances. While, your advice to be careful when exploring different investment strategies sounds good. However, investing in Bitcoin passively or aggressively is never akin to gambling. Over the long term, all investors who accumulated Bitcoin at various price levels, have fair chances to gain substantial profit.

I'm not necessarily endorsing any of these types of strategies, I'm more of a dollar cost averaging/long term holder kind of a guy, but if you do insist on gambling trading then you should be more careful. Maintain a unique strategy would be a good idea but when you think you want to adopt other kind of strategy because you feel your good at DCAing you might lose what you have accumulated for years.... ITS NOT ADVISABLE!

  . Next year's Bitcoin Halving is going to be an interesting year for investors and everyone knows the rules of engagement. One thing I know at the moment is that demand is the only thing that influences the price increase. BTC needs to be bought to get and increase the price apart from other factors such as investors' concerns about banking. Of course, all those who have invested and kept BTC are also prepared to sell it with profits with various timeframes.

However, what you said is something that is very likely to happen after the halvening and this is my note as well as an additional reference that I have been looking for all this time, Thank You.

Your perspective on Dollar cost averaging (DCA) and its suitability for various phases of accumulating and managing Bitcoin holding is quite insightful and we all Bitcoin enthusiasts to consider adopting this strategy to potentially gain huge rewards in future. DCA is indeed popular investment strategy as it helps to mitigate the impact of risk associated with market volatility. However as your holdings of Bitcoin grow and our goals evolve, other strategies such as buying on dips and lump sump buying start to appear more appealing.

Why should you buy and hold Bitcoin?

Points of view:



A group of students from Cambridge University, a famous university in America, published a comparative report on the power consumption of Bitcoin mining and clothes dryers, where the power consumption of clothes dryers m/c in America is more than the amount of power consumption required for bitcoin mining in the whole world.

Drying Clothes Power = 108TWH
World Mining Bitcoin Power= 95.5TWH



"The People's Court of China" published a report on a legal status of virtual currency where they called Bitcoin a legal status for the nation.
The Bitcoin market went into a pump situation when China appreciated on Bitcoin and subsequently found new ATH. So such a positive announcement from China is undoubtedly a pre-signal of the bull market. So those who have not invested in Bitcoin till now get ready to invest in Bitcoin very fast and plan for long term holding.



Long-term investors are at the top (ATH) of Bitcoin's market.

Source:Click

What exactly do you want to mean by this because looking at the statement you gave, you actually want to lead to DCA or buying a large amount at once because these are 2 very different strategies.
On the other hand, when we focus on DCA actually if we want consistency I think we don't really care about corrections and prices because we already have an initial determination with DCA consistency according to what we plan so that regardless of how the market upheaval or maybe a bitcoin correction occurs, it doesn't really affect consistency if we seriously want to do DCA.
As well as when saying All in, it's not DCA mate because as I've said before (I thicken) DCA is not just limited to buying bitcoin once after that's done but needs some consideration where you have to have a plan and think about the financial condition whether we can still be consistent to make purchases for a period of time.

It seems that when the target is long term investing, then there might be a kind of underlying preference in regards to thinking of the underlying asset (in this case bitcoin) as something that you are figuring out how to continue to build, so you do not centrally build by selling, even though you might be able to engage in some kinds of BTC portfolio or size of allocation into BTC management through some small amounts of selling, but that still would not cause you to get too far from the overall sentiment of this kind of a thread which involves considering BTC as ongoingly valuable - because many times people do not really have any clear examples regarding where to put their value, except maybe for temporarily riding the BTC price swings in order to get back into bitcoin, and so even those ideas of trading are contributing towards considerable deviation from the thrust of the this topic too.

I like DCA as amongst the better of methods, if not the best method... except once you start to accumulate more and more BTC, then there may well be some value to engage in more buying on dip practices or lump sum investing practices rather than DCA practices.. s then the questions regarding how much BTC that we might have in compared to other assets that we have as compared to what is our annual salary all likely become relevant in terms of considering where we are at and what kinds of methods that we would like to employ in terms of whether we might still be highly in an accumulation phase or getting more into some kind of a maintenance stage, and further, if we realize that we are looking at 5-10 years down the road for wanting to start spending some of our value, then we might already figure that we are closer down the road as compared with someone who might either not be clear about how many BTC that s/he might need or maybe also whether they  might be considering even longer timelines of 20-30 years down the road... and sure it sounds funny to talk about bitcoin in terms of 15 , 20 or 30 years down the road, when bitcoin is barely just getting into turning 15 years old in January... but maybe even feeling younger than that if we might be considering the extent to which it may have ONLY had monetary value for a bit more than 13 years.

Thank you and i got your points here, when we are investing, it also matter on the pattern we use in accumulating, we should consider holding as more important after which we would have set the target of buying when the market is more favourable to get in, i also got your idea that it's more interesting to concentrate on buying and holding than we could give much priority to selling just as the discussion goes, it's not also about buying alone, but when to buy and hold, we have the right focus on what we are holding to the very best of our advantage althrough the period if we buy low and hold for some time, ofcourse it's a very good idea if the use of DCA is what we could adopt to make this entry each time we are buying.

It took me being active on this forum to learn this and ever since I knew this, life have become much easier for me. DCA actually eliminate a lot of the challenges people make in their Bitcoin investment like panic buying and selling, fomo, hype, fud and others. With DCA, your emotion is not totally attached and you have more comfort and convenience in your disposition.

I am a good example of those who have had terrible experience day trading Bitcoin. One single bad trading day can wipe out  three months of consistent profits. Assuming I started applying DCA to accumulate Bitcoin the time I started day-trading it, I know how many Bitcoin would have been in my wallet by now.

I will never advice anyone, irrespective of the supposed level of experience, to day-trade Bitcoin. It does not always end badly.

Sure there is nothing wrong with having ideas for selling, but that's not the topic of this thread. 

This is not the "all things bitcoin" thread.

It has a specific topic and a specific emphasis.. and so even though the topic is not about DCA, DCA is directly another kind of way to go about accumulating bitcoin which would be part of the reason for buying dips and HODL...

sell is the other direction.. and meandering away from the topic, even though surely people think about those kinds of things when getting into bitcoin, and I specifically recall when I first got into bitcoin I wanted to make sure that I had at least one or two potential off-ramps, even though I was not sure if I was going to end up exercising such off-ramps, it was good to know that they were available.. just in case.

A similar thing could happen when buying and buying and buying.  There could be some points in which we might get uncomfortable in the sense that we might have bought too much (in terms of our own financial and/or psychological circumstances).

When we invested in bitcoin, we are expected to know that the target time we may plan for the release may not work in line to been favourable for us to sell especially when the market dips and we have already targeted a precise month for sell, there are many experience some had been through in this regard, since knowing that bitcoin is not a market we can predict the outcome of the future market value at any certain time, we must only try to hold for as long as we are capacitated enough to endure till we have every reasons to release when the market becomes favourable on us to sell at a good rate.

This part of your post makes a lot of sense $crypto$; however, I will also add that it would not be absolutely required that a person establishes his/her 6 month emergency fund prior to even getting started in investing.

In other words, you can build your emergency fund while you are investing, and surely getting to 6 months is nice and solid and perhaps not even overkill, even though many people do not even have 2-3 months of an emergency fund.. and many people live pay check to paycheck and surely those people are gambling whenever they invest into anything because they have failed/refused to get their shit together prior to investing, and so any steps in the direction of making progress towards improving your situation is going to make a person a better investor, and we need not let the perfect be the enemy of the good, even if we might continue to attempt to make progress towards improving our practices and working towards making our set up more and more perfect.. and maybe we might not even completely achieve the perfect.. but working towards it little by little is much better than not even thinking about what would be the place that we would like to get to and then to regularly see that we are hopefully making progress in the right direction.


This sounds like a pretty weak idea... including "taking maximum advantage" makes it sound as if you believe that you need to cash out of bitcoin.  What the fuck you going to buy with your bitcoin that is better than bitcoin?  Sure you can consume some of it and sure you can diversity in to some other investments, including maybe buying your own personal home, but still there likely are needs (and preferences) to maintain decent amounts of your bitcoin investment at all times rather than thinking about cashing out of it.. but yeah, each person is going to figure out these matters in different ways including once s/he get through BTC accumulation, then maybe what might be a good way of maintaining some decent level of BTC stash in order to ongoingly benefit from having had accumulated bitcoin rather than selling out of your bitcoin and either consuming it and/or investing into inferior assets.


It is likely not long enough for many people, even though they might think that they have to buy something blah blah blah.. when they likely are going to be way more advantaged by creating and maintaining some kind of a longer term BTC investment plan that does not necessarily involve getting out of BTC, so in that regard, they (including you YUriy1991) likely need to engage in some kinds of thinking regarding how to transition from BTC accumulation into a kind of maintenance stage and then at what point liquidation might come. which the liquidation phase would likely be towards end of life, but the maintenance stage would mean bitcoin is forever not some dumbass short term thing that you cash into dollars or buy property that is not going to likely be as good of places (as compared with bitcoin) to keep much if any of your value.


Who cares what chatGBTC says or any of those other models? 

you need to think for yourself and you also need to figure out some kind of a plan that prepares yourself psychologically and financially for a variety of scenarios, and nothing wrong with accounting for various models including ChatGBT, but in the end you likely need to formulate your own plans, and sounds like you are having some troubles with that... so you likely need to work on those kinds of preparations.


And so you are planning to cash out some in April 2024?..

Whether the price goes up or not by the halvening is likely a big so what.. since it tends to take several months for the effects of the halvening to be felt (meaning the reduction of the new supply of BTC).. so there will be additional UPpity price pressures that likely happen after the halvening.. and they increasingly are felt in the next year or two after the halvening, which may or may not end up contributing to the price of BTC to go up after the halvening, including many months after the halvening.

His reply was equally interesting when he saw this tweet


Source

But on the other hand I do agree with what was said because at the end of the day DCA is a bigger winner than trading because as discussed earlier in the tweet "trading btc has been proven to be a losing strategy over the long run" and we have seen many people who were eventually ruined by trading and liquidated so in this case it is important if you really want to be a good investor then adopting the DCA strategy is not the wrong thing.
On the other hand, our discussion from so many pages is not wasted because this is in line with what we will plan and think about in the bitcoin collection scheme as investors.

True, this is very relevant and makes sense, however, regarding the pattern of investing in BTC using the DCA method if it starts today... I think the waiting period of 5 years might be too long for me personally, maybe for other people. Yes, I was thinking and this is definitely not a reference as conveyed by brother @2Pizza410000BTC regarding the BTC price target via the GPT caht application because it is possible that the current data has not been completely generated. there is a big possibility that in April 2024, to be precise, the profit can be felt and one more thing I think is the point, for those who have a monthly salary and are already paid, this DCA style investment pattern can already be applied  .

If there is no emergency budget, it could be that the investment will fall apart, we humans are in need of the unexpected so understand this, don't ignore that emergency funds are important for your needs, including your family's health costs.
There is a theory that to start investing it must have a reserve fund for the next 6 months so that investment will not be disrupted, the next 6 months can be categorized as an emergency budget while there is still income every month, so investment will be much better when something starts with a mature plan.

Of course they have different views on how to invest in bitcoin, here we must be able to accumulate bitcoin and that many people want.
Surviving 5 years with bitcoin I think that is enough to take maximum advantage.

This is expected from experienced users especially if you have a manageable budget to invest consistently with a DCA strategy. I agree this is the best way to build your investment portfolio well, but I don't expect you to lie to yourself about what you say.

I'm sure some of them bought on dip and DCA prices, but I'm sure not everyone who says they are actually buying because of the budget constraints they have. Honestly, I really want to stop this nonsense, but let them think for themselves. red4slash, you know that you still need to have an emergency budget to deal with unexpected financial situations, so you don't need to emphasize your desire to invest consistently if you don't have an emergency budget.