Topic: Buy the DIP, and HODL! - page 464. (Read 123181 times)

I will rather be the second guy who used DCA to accumulate 100BTC because it is an easy way for you do accumulate without facing many challenges on the price movement of bitcoin. The only challenge that someone using DCA method is when the source of income is not steady, but if it is, you will worry less because you are sure of accumulating a significant amount in a long period of time. Another thing that I observe is that those that prefer to buy at the dip, are not prepared to increase the number of their portfolio with a significant amount because nobody knows when bitcoin price will dip. But they think it is the wisest strategy unknown to them that the dip will come like a thief in the night, when they have spent the money, they intend to use because they have giving up on waiting for bitcoin price dip or an unforeseen circumstance came to devour the fund planned to use for DCA. This is the reason why I said that they are like people that are not prepared or ready to invest due to the current price of bitcoin at that moment.

On the other hand, an investor that has made up his mind to DCA weekly or monthly has set his goals and has also prepared to keep on buying bitcoin disregard of the price at any given period. This shows more commitment to investing than the one that only buy during the dip. If while you are DCAing and the price of bitcoin dips, It is also an advantage for that person to increase his order because he is ever ready to accumulate. Someone that uses DCA method is open to use all strategy to accumulate bitcoin than, as long as he has a bitcoin target within a period of time. Someone who buys at the dip, he is only open to buy at the dip, which is a weak strategy to use to reach your bitcoin target within a given period of time because the market movement controls when he buys.

Yes, we must be able to stick to what we have planned at the beginning, and indeed I have also felt that inconsistency makes everything fall apart, although I felt it was not in terms of investing, but after what I experienced I came to believe that something we started we had to finish, or in other words we must be consistent.

It can be said that we really benefit from this kind of strategy, we are not led to allocate a large amount to have a number of bitcoins, but if there is a will, we can do it with smaller money, which is in accordance with our abilities as someone who wants to have a better future of course.

Hello rachael9385 the advice you gave is good enough to continue buying in the dip and holding in the long term. Everyone will take advantage of this moment to accumulate more BTC and of course we all have the same hope, namely expecting prices to be different in the coming months. Apart from accumulating BTC at the current price, of course you also have to make purchases in stages to accumulate Bitcoin. Falling and rising always happen and at the same time we can buy BTC at different price levels.

I think in this thread those who bought had the same goal of holding it long term. In fact, some of them are not too interested in aggressive investment techniques in accumulating BTC because they aim for cheaper prices in all their entries by doing it with DCA.

Looking at what you said at the beginning of the sentence and at the end, I actually think it has a contradiction.
You say having a strategy and not rushing is a must-have but on the other hand you want to try first by investing $100 every time you have a salary and dividing it into several months.
Honestly, I don't really understand your current strategy whether you want to try to do DCA or lum slump like my discussion with @Baby Shoes before.
I don't consider it a mistake but I think you should start trying to be clearer in your investment scheme especially if the goal is DCA.

If you feel that it is convenient then it is back to yourself but in this case the main focus should still not be lost where the DCA that is your goal from the beginning must still be carried out properly and not get interrupted at the time and amount that you have agreed with yourself at this time.
I agree with what you said in the last paragraph where indeed DCA is one of the right investment instruments for those of us who have minimal funds because apart from we can add to our portfolio it also does not interfere with money for other needs every month from the income we have from salaries because the investments we make are already in the DCA budget plan from our needs.

I was simply pointing out to you that the events of next year such as halving, Grayscale ETF and other ETFs that have the chances of being approved are major events that will make 2022/2024 price profile different from 2023/2024 price profile.

No one can tell for a certain when price will rise and to what extent it will but we use historic data to predict the future. Any time Bitcoin halving happens, there was always a new ATH as price shifts aggressively. So, I expect the same outcome from next year's halving. This is just the basis of my assertion. 

If this is not cogent to you, I wonder if you actually believe that Bitcoin price will ever rise and what you think will make it to rise.

In fact, there are still those who do this especially for beginners because what they see first is the results obtained by others (who are successful) but they don't know how the process others do which makes them tempted by false shadows where the condition is in some shitcoins that actually plunge them themselves.
We must realize that before we start to do something at least we have to do something, of course we must have a view which we will make as a guide material so that what we do remains on the right path. Likewise with investing in bitcoin, of course we must be in a truly adequate plan because our goal is not to destroy ourselves and that preparation starts with us learning how bitcoin works, how the consequences and worst possibilities are in bitcoin and determining what strategies we should do when in bitcoin.
The discussion in this thread if you look closely from the beginning to page 146 there are currently a lot of schemes and strategies that must be done even though we have now agreed that DCA is the most possible and comfortable thing to do.

With the way many people are spectating on the price of Bitcoin is really not doing enough good, Some persons has one or more things to say about bitcoin on how the price will skyrocket in a specific period of time and which are we to believe, all this are from one's point of view.
I believe in less prediction and no particular range at which anyone can accumulate Bitcoin, the price of Bitcoin can skyrocket at any point in time even during your sleep you can wake to bitcoin new ATH. So if we have enough to invest, why not we do it now than set a range at which we feel is much comfortable to buy

Well, it's a concern, but we can't really give them direction because they might not accept it at all and they might say that it's their money so it's up to them. That might come out of their mouths. And well starting an investment without any planning I would say they are very brave for a stupid or careless decision, as you said they will run into problems quickly and indeed this is the beginning of the problem. It's like making trouble for yourself because you are too desperate with a good goal (profit) but the wrong way (without knowledge).

Well obviously it's not a good action if you come only focused on one word "profit" and without doing or reading all the books in the library related to bitcoin to understand all the positives and negatives that are there. Good planning is very necessary, you want to make a profit? that means you have to create various plans to avoid losses there so that your calculations match what has been targeted before. Yes that's right guys, no matter how strong you are in the real world it does not mean you are invincible or will never lose in investing, this is a serious matter of how good your planning is. And yes the point is as we discussed this, if you want to profit it means your planning must be good, study seriously, do market research,
create your best strategy based on your market research experience there, prepare a strong mentality and use money that is supposed to be for future needs and now you already know where to develop money like a hill, namely in bitcoin.

Many people have increased their portfolio with the DCA strategy and I am one of them, although I put in a small amount in my DCA, but I really feel the benefits of what I am doing. It's a small amount that can be said to be money left over from the basic needs that I have to fulfill first from the amount of my income.

Maybe I wouldn't have experienced this if I didn't know this strategy, because I would have thought how to invest bitcoin with big money. But with relatively small money for investors like me, this strategy is very helpful when I invest in bitcoin.

Shower thought. We might also see another "COVID-19 pandemic-like crash", probably caused by bad macro-economic conditions that would finally make inflation drop in many regions at the cost of their economies. Massive lay-offs, slow-growth, recession and stagnation everywhere. BUT what is the cure?

 

The money printer. Perhaps another situation that could coincide with the Halving?

Current Bitcoin price.

The price is going up and I believe it will still come down to $25-100 because the way the price is going up, it is not going up at a good speed. But I believe that before this month kicks off maybe the price of Bitcoin will hit $28k, although the price has been in the $28k range and above but has still come down to $25,948.02, so I guess this is the right time to invest in the dip. This month of September, Bitcoin is moving like this. I am not sure if this opportunity might come again because it has been in this range for over a week. That's why I suggest buying and accumulating more in this present period will be better, believing that the month of October will be different than this present month.

This is really good advice and similar to my journey, yr2 dca was 1.5 times yr1, and every year it increased. It takes a bit of getting used too and when extra money appears you can consider your dca as a place to park it. The main point tho is get going 

Investing without a plan is like walking without a goal, before starting of course we already know where to go and what strategy is suitable for you to invest in bitcoin [DCA, lump sump or you have a different way] What you already know is the DCA strategy here I have discussed a lot and I have learned a lot by reading from several people, especially JJG.

While investing in Bitcoin there is nothing bad as long as you don't sell it, but the problem is your consistency in inputting dollars into BTC, sometimes this is more difficult, including clashing with several other needs, so this
will give you a slight obstacle in investing in BTC.

Save bitcoin for the next 10 years by means of DCA accumulation I think it would be better.
Let's say you put in $25 for the next two years then increase it again to $50 and so on until you have the financial ability to put in even more, don't think about price movements then you go through the halving which will come in 2024 and you will Past the halving in 2028 I think you will have more Bitcoin in your portfolio.

While thinking about this method, I will try to continue without looking at other views.

I feel pity for anyone that jump into the Bitcoin market without a plan, you'll likely run into problems quickly. It's not a good idea to start investing in Bitcoin without knowing a lot about it and figuring out a strategy that suits you. Investing in Bitcoin isn't like being john wick you're not invincible. If you make bad choices and don't have a good investment plan, you'll end up losing your money bit by bit, and before you know it, you could lose everything.


Got into Bitcoin in 2021, DCAing to this day. I know the benefit of holding. A way that I flip my mind on dips is by looking at them as better buying opportunities. It improved the way I looked at things. So, then I win either way! But also, I focus on my long term, I know I want to accumulate X amount of bitcoin in the future I’ll make sure I make the right choices. People just want the benefits in short term, but things doesn't get grown in short time, it needs time and nurture to grow.

We have the bitcoin halving to look forward to! It is always sure to skyrocket Bitcoin's price. It's up to anyone who wants to sell. I'll be on my chair watching the market while others sell. All I know my Bitcoin is a great long term hold for my future!

Well that's right guys, maybe there are some players who come without having any strategy and they might just see what other people have managed to get (big profits), I think that can really encourage them to enter this investment world, especially in bitcoin. But well I say maybe they will just throw money away if they come without bringing any fishing gear, I mean it's pretty stupid if you come with strong determination but not based on knowledge, while any risk can really happen to them (big losses). If you come in a hurry then I'm sure you're probably too focused on making a profit that you're outpacing everyone else. Well of course there are no quick results for anything, I understand that it is indeed the goal of everyone who comes to profit with their respective targets, but it is wrong if you invest with the aim of wanting to quickly profit or even get rich quickly, there will always be a struggle and process first, you want sweet results? that means you have to be able to go through a fairly bitter process here. Don't let you or anyone have that mindset because investing in bitcoin does not give a 100% guarantee, especially quick profits. but I say that bitcoin has given you the opportunity to achieve a brighter future by starting investing from now on even with the smallest amount you can set aside from the rest of your needs.

So if you believe in how high bitcoin is in the future then from now on you can start with the amount you can afford even if it's with a small amount but it doesn't matter as long as you can do it consistently. Well right guys what you have done this will be very useful for your future, you choose to invest long-term and indeed that is more appropriate to get significant profits in the future. That's right, if you don't have a large capital then you can start from what you can afford, it's better to start now even if it's small than nothing or you wait to collect your money first and then allocate all that money to bitcoin, while on the other hand you also have personal needs that are very important to stay alive. So I think that option is not too appropriate to choose, because if you have to first collect money, first it will waste a lot of time and second maybe after the money is collected it cannot be guaranteed that you will get a good price to buy bitcoin, it could be that the price movement is already above and that means you are behind. With DCA everything looks simple especially if your goal is for the long term, but well you have to stay consistent over time.

Yeah, I can not resist myself from imagining someone throwing a punch at their computer screen because their order didn't fill by just a few cents. It feels like being at an auction and losing the bid to a guy for one dollar! Some people try to outsmart BTC and end up losing both sides. You can only hope your prediction is right, but there is no guarantee it will be.

You are right about the danger of overtrading. One of the classic errors that many investors have made till now is trading without a plan and getting carried away by emotions. DCA and SIP might be boring, but they get to the finish line without any drama, and I think we all like that—less drama and more bitcoins.

That sounds good because as long as you are comfortable with setting your orders and then becoming somewhat emotionally neutral regarind whether or not they fill, then it seems that you are likely to be on the right track.

I mostly ONLY become upset if I have an order outstanding and the price moves within a few dollars (and sometimes within a few cents of filling it, and then it does not fill.. otherwise, I attempt to set my orders in such ways that I am mostly emotionally neutral about them filling or not..

Otherwise, I stand by my earlier points, that our getting all smart about setting our orders is likely more of a luxury of having had already accumulated a decent amount of BTC - and the overwhelming population are either low coiners and/or no coiner and it takes a while to get to a status of having a decently sufficiently sized BTC stash in which you are more happy for the BTC price to go up rather than down, and sure maybe there are a lot of guys (and gal) in this forum who have been stacking sats for a while, but they still may well even consider themselves to still be low coiners, so they likely have to include some form of DCA and not be fucking around too much about figuring out the price, unless maybe they are doing both.. in terms of supplementing their DCA with buying on dips.

Sure there are also likely quite few people who have some BTC and they think that they have enough, so they end up fucking around with trading it because either they are trying to get more dollars (or BTC) and they do not sufficiently calculate that they are playing with too much of their stash, and sure no problem with playing with small portions of your stash, but there are a decent amount who play with too much because they think that they can outsmart BTC's price direction, and then end up with fewer BTC because of those kinds of games than what they might have been able to get from a more straight forward DCA strategy.


I think that you make a good point ShowOff. 

Funny thing is that BTC price does not tend to go below the 200-week moving average, yet we have been having quite a bit of the BTC price going below the 200-week moving average during this cycle, and especially since June 2022, and right now the 200-week moving average is $27,691, so in going below $25k, the BTC price had dipped nearly 11% below the 200-week moving average.. and so expecing more and more dip seems almost crazy, even though surely it is possible.. but at the same time, prices are pretty damned good already.. but hey, people are going to calculate their odds in ways that they consider reasonable, and I don't consider it very reasonable to be placing very high odds of the BTC price going down when it is already below the 200-week moving average - even though we have experienced quite a bit of that phenomena in the last 15 months or so.


Personally, I have never felt comfortable having such large gaps in my buy locations, and even now, I have way more bitcoin than I need, but still I put buy orders every $500.. and so maybe there is no need to be as extreme as me, and you could do every $1,500.. it just seems too greedy to be staggering the amounts with such large spreads, or just a lack of fear about the BTC price going up when it is already pretty damned low... but again. whatever.. people get these low numbers in their head and they think that they are likely to happen merely because they hear a lot of supposedly "smart people" convincingly making those kinds of proclamations.


You are speaking gobbledy-gook Sayeds56.  You are pointing out a pretty fucking low number and saying that "experts" think that it could happen, but then again it might not.. so it's not like you are even saying anything except for proclaiming that a lot of things can happen... which is true, but still not really saying anything of substance or meaning... but what do bots do, anyhow?  they say dumb and meaningless shit that happens to be a kind of amalgamation of what's being said.


This is a good point Sim_card, and I did not really argue it because I kind of went along with a kind of implied presumption in DVlog's scenario in which the SIP practitioner is going to end up spending as much money on BTC as the DCA person, which is far from clear, and I have frequently argued that the employment of a decently aggressive DCA strategy can end up contributing to a BTC accumulator to engage in higher levels of BTC accumulation because s/he is ongoingly in the game.. so even DCA combined with buying on dips may even potentially end up in more BTC accumulation for the person who is trying to be more active with his/her ongoing BTC accumulation, and the waiting for dips and the longer term strategies like that may well end up with the SIP practitioner to end up being a lot more whimpy than he thinks that he is being.

Frequently I have brought up an example of someone who might have lump sum bought BTC in 2015, and s/he bought 20 BTC for around $6,660 (so the average price per BTC is around $333), as compared with someone who might have ended up buying more regularly and more frequently and spending $100k in order to buy 100 BTC between 2015 and 2019 with an average cost of $1k per BTC

Today.  Which one would you rather be?  The one who has 20 BTC has much greater profits 3x more profits since his cost are only around $333 per BTC as compared to the one with 100 BTC and a cost that is 3x higher per BTC.  Total portfolio value is $520k for the one with 20 BTC and $2.6 million for the one with 100 BTC.


Of course, you likely realize that you need to be careful with these kinds of front-loading strategies in terms of figuring out if you are taking too much risk.. or can you justify the risk, and perhaps in the end,  you end up being correct, but you do have to play various downside scenarios in your head to make sure that you will still be o.k. if any of the downside scenarios end up playing out.


All of these sound like great considerations.

I don’t see what you’re saying as a different perspective, maybe you can help me understand this. My perspective is trying to understand if it’s a dip and should I buy into it. I think for your perspective what is important is who caused the dip and why did it dip. My perspective doesn’t need to consider any of these points because the impact(if any) is baked into the dca avg price trend month on month. As to what’s going to happen in the future if you have some way to show you know what’s going to happen I’m all ears. Tell me when it’s going to go up to an a new ATH please.

Nice strategy you gat @DVlog called SIP. I haven't thought of this method to use in accumulating bitcoin,from what i have noticed with the market,your strategy shows that you will only depend on the dip to use as an advantage to accumulate at a discount price. Personally,this strategy like JJG said will only benefit those that are old in their bitcoin journey, and they have accumulated a significant amount of bitcoin and not for begginers who just started their bitcoin journey. The reason is because you might have reserved some funds targeting and waiting for a dip market and if it doesn't come,after a long time,you might be forced to buy at a price that you never planned for,so that you don't end up missing out. No one can predict when the price will dip and this is one big challenge in your strategy,because you are only doin DCA partially during the DIP. I don't also think that your strategy will accumulate more bitcoin than someone who does DCA weekly or monthly in a regular base because he is always buying and increasing to his bitcoin portfolio.

 I am using DCA method because i just started my bitcoin journey and it is not up to two years,and when there is an opportunity to see a price dip,any extra funds that I have and is not useful, I use it to buy higher amount,let me say like 4X my DCA price. What i did recently, was to meet my Boss at work to give me 40% of my salary,which he gave me and i used it to buy at this dip to add to my investment portfolio. This will help me incase, the 25k+ price is the lowest that we will see before the bull run.  I have also spoken to my Boss that i have a project that am working on that will need me to come meet him for 40% percentage three months advance payment,if the current funds on me exhaust. I told him all these, so that if the market goes dipper than this to 20k level,i can go and collect the money from my Boss and invest in bitcoin to take advantage of the dip, because it is better to invest in bitcoin at a discount price than leave for fiat money with your company and get paid monthly with the high rate of inflation in my country.

Then when the market pumps back i continue with my DCA weekly or monthly method, this is my strategy to accumulate more bitcoin. Why i don't like to depend on the dip to buy is because inflation depreciates fiat currency and there might be some unforeseen challenges that are very important that might come and consume that funds that you are piling up to use for buying bitcoin at the dip that no one know the time it will come. Although every investor with their own strategy based on their cash inflow and for how long that they started accumulating bitcoin.

Bitcoin is highly volatile but i still think there is no wrong moment at which you can accumulate Bitcoin, at this current situation even accumulating Bitcoin at a price of $37k is not a bad Idea as long it is for long term holding.
And how sure can you also be, that there will be more dip?
The price of Bitcoin is not controlled by anyone but the only main factors which can affect the price of Bitcoin is the Demand and Suplly so even if any company wants to accumulate it wouldn't stop you from buying now because you never can tell when the bull run will start.