Topic: Buy the DIP, and HODL! - page 487. (Read 123031 times)

@Wind_FURY- and this could be BTC or any others assets like stocks or like property if you can afford it. I have bitcoin and stocks though, so I'm good with it. But if  I will add diversification, and if my chance my bitcoin holdings will be enough for me to buy a good property than I can afford then I will do it. And then I will continue with my bitcoin strategy to collect again, at least in another 4 year cycle and then still maintain that property or even can make money out of it by renting it monthly, that will be perfect diversification for me.

To the readers of the topic. In my humble opinion, diversification for plebs like us is a bad investment strategy. VERY bad in fact. Why? Because we don't have the same amount of capital as Warren Buffett to make it effective. If their $1 billion invested makes 20% in one year, that's $200,000,000. I believe that's more than enough especially if they outperformed the S&P 500 index.

Plus we don't need the hedge to reduce volatility because we are not asset managers who manage OTHER people's money. For us, we concentrate to one or two investments, if we want to truly make an amount of money that matters.

Diversification is always encouraged in investing, but don't make the mistake of thinking that investing in shitcoins is considered diversification. Don't forget, the entire crypto industry is largely dependent on bitcoin, every market move follows bitcoin, so it's naive to invest in shitcoins and think it can save you risk. 

You can see, during last year's extreme bear season, bitcoin fell from $69k to $15k but only in the first few months of this year. Bitcoin has recovered and is at $30k, while thousands of shitcoins are still dropping hundreds of times and haven't had any significant recovery yet. So investing in shitcoins is not called diversification, diversification is when you invest in non-crypto assets.

In the crypto market, bitcoin is the only investment we have, the rest should only be considered gambling and not investment.

Your arguments in favour of Bitcoin's superiority as store of value, hedge against inflation and growth potential are truly very convincing. Since Bitcoin emerged onto the global financial stage, its unique attributes have cast shadow over the effectiveness of other assets that traditionally held these roles. The gradual diminishing effectiveness of these assets can be attributed to the profound impact Bitcoin has had on the landscape of global financial system.

It always depends on the type of investor you want to be and the level of risk you're comfortable with in your investment strategy. Bitcoin offers an opportunity for those with higher risk tolerance, while physical gold provides a long-term and secure investment option. One thing I am certain about is that Bitcoin poses a threat to gold due to its use of blockchain technology, which offers strong security for owners. Unlike gold, which can be stolen if physically accessed, Bitcoin's digital nature provides protection. If enhanced security measures can be applied to various exchanges, then why would I keep my assets physically visible when I could store them digitally and keep them hidden?

Yeah your actually correct but from my observation similar to what Jay said, selling off your gold to Bitcoin is actually a wise decision but the security of your key phrases are are not guaranteed because loosing the key is equal as losing your money and even if you should entrust it to someone, what are the chances that he will not scam you and made away with your money but the safest way is to keep it at your only reach were no one has access to except you.

Basically I don't mind someone's decision to diversify their assets instead of just bitcoin. Of course I don't want to elaborate on the potential benefits of diversifying them, but let's be honest that such an approach can never go completely wrong in your investment plan.

Buy dip and hold is the best way for anyone looking to accumulate. A limited/small budget is not the main problem as long as they have the desire, it's just that a lot of people are greedy where they want to get rich quick without understanding how best to do it. You don't need to rush to own 1 bitcoin, but just do it consistently and get yours within your budget.

You are right; that's the reason why some people cease to invest in Bitcoin and land themselves in a hot soup of shitcoins, but still end up regretting their decision when they can't get any profit. Some people usually have the mindset that Bitcoin is too expensive to buy a whole, but I still try to convince anyone I come across with such a mindset, telling them that they don't need to buy a whole of Bitcoin at once, nor do they need to save for many years before they can buy one Bitcoin at once. If one is still consistent in their accumulation, either weekly or even monthly, depending on how often they are getting the cash inflow, then they might still be able to accumulate a huge fraction of Bitcoin before they realise it.

Vulnerability is one of the biggest issues facing us as Bitcoin custodians and how best to transfer our Bitcoin holdings to the next of kids, we have a lot of security issues in the custody of our Bitcoin, and every time one needs a lot of knowledge to be able to stay above the various challenges that may come along while we safe keep our bitcoins, starch because the security of our wallets are much more important than making gains or profits on the long term since there is no need to accumulate Bitcoin in a wallet that you may lose control or does not have control over.

Aside from the fact that we need a concise meeting point as to when the right time to buy bitcoin or increase our current bitcoin holding, that same point should also be considered for how strengthen is our wallets and how secure is our bitcoin balance.

Well, and to be honest I also often recommend, especially to some of my close friends, to invest in Bitcoin according to their individual abilities. Everyone has their own financial problems and they also have ways to improve their finances. Actually we don't really need a lot of money to then buy Bitcoin if our finances don't support it, everything starts small, I mean someone just needs to be consistent in buying Bitcoin even though the purchase nominal is small but better than not, what they have to do is continue to consistently buy Bitcoin at least once a week and lo and behold, in the next few years they will feel a significant advantage from the results of their hard work in setting aside money for Bitcoin.
So don't be too ambitious to force something that is beyond our ability, even though we know the benefits are very large but we also have to see some of the risks that are in it, and do it with money that has a long term term to use.

The 3rd party custody has always been a risky thing for the holders of Bitcoin and it will remain as the riskiest thing for all those people who are still holding their Bitcoin in 3rd party custodial wallets. I'm more than sure that most of the investors who have invested in Bitcoin are keeping their coins on those custodial exchanges without even knowing the risks. If you check the Bitcoin holdings of the top exchanges then you will know that most of those coins in real belong to the users not the exchanges. If they get the awareness that all of their coins are at risk of getting lost or stolen by those exchanges then they will never keep their coins in those custodial wallets.

I agree that software wallets also have vulnerabilities and which can be penetrated by the hacker to steal the Bitcoin out of those wallets, but still they are safer than the custodian wallets because at least in those wallets you have your own control over the private keys. Yes, most of the people will of course left their Bitcoin for their heirs as we all know that there are people in 80's holding Bitcoin and if they have heirs then they will most probably leave those Bitcoin for those heirs, and if the heirs don't know the proper use of those coins then they will misuse the hard-work of the one who has sacrificed most of his/her desires to keep those Bitcoin safe for their next generation.

This aspect of transferring Bitcoin holding to heirs and the next generation is full of uncertainties. Unfortunately, you never can tell what the heirs will do with the wealth and that scares me somehow because I will definitely leave Bitcoin for my children after teaching them about it from early stages of their lives. 

Another thing is that I am yet to figure out how Bitcoin portfolio can be captured in a WILL because this will mean revealing the secret codes of the wallets. So I feel the best approach will be to share ones portfolio among the heirs when they come of age and you are convinced they can manage the wealth well. I am open to learning other ways this can be done.

Everyone has their own way and while it may be good for some to be in the gold, it doesn't mean others will agree.
The context of the initial discussion still leads to bitcoin so I think including other options such as shitcoin or other investments in this case gold has deviated from the path that should be the initial discussion because in the end when discussing other investments this will only make the discussion wider and make comparisons that are actually unnecessary.
I think our focus should be on the initial discussion where bitcoin is the main focus in this discussion.

There still are various learning curves to bitcoin including a variety of ways that any of us could end up losing our bitcoin in terms of losing our private keys or even believing that we own bitcoin when a third party is holding our keys.. and maybe some of the legal requirements around 3rd parties will change in the future, but right now, a lot of the rules around 3rd party custody include risks that the 3rd parties may well end up getting away with stealing, losing, mismanaging the bitcoin that people believe to have had been theirs.

Also wallets have issues, and sometimes there may well be needs to change wallets or even vulnerabilties are discovered, and best practices are not even easy to learn and/or to follow, even for people who are active in bitcoin and relatively smart... and probably, we are going to find either a lot of people dying with their bitcoin or the instructions for heirs to be difficult to figure out.. and on the other hand, some of the leaving instructions for heirs can end up in coins being transferred to people who might not deserve them, but some of us might end up trusting too many heirs or the wrong heirs or even get a bit sloppy in an attempted inheritance process that results in undeserving people with our coins.. and I am not even claiming to know the solution or even to have ways that even smart people can end up getting tricked out of their coins, which could even cause more incentives for some people to choose to just die with their coins.

Hahaha Jay what a coincidence, I also want to say fuck gold!!

2 days ago my wife told me that before getting married she collected 6 pieces of Antam gold which she repays every month but she forgot to keep them. 2 hours later the gold was found in a shabby wallet. I laugh how much it costs now? while showing my Bitcoin portfolio and saying this is a lesson for you, don't keep gold, rather sell the gold and put the money from the sale into Bitcoin, the results will show. If you lose gold, no one can return it, whereas Bitcoin can be returned if you hold the seed of recovery. The simple lesson of this short story made my wife follow the advice. This morning he went to the market to exchange his gold and handed me the money saying put it in Bitcoin!!!!

This is one aspect I have been viewing this. We cannot completely dispel the fact that governments of nation will do their best to support gold given that they can control that only Bitcoin that is decentralized. So, politics will definitely play a part in all this. Remember how Chinese government decisions have affected the price of Bitcoin in the past. So, it will take time for Bitcoin to beat the popularity and mainstream acceptance of gold but I don't see the time as being too long.


No doubt, Bitcoin have a lot of advantages. The freedom it offers a lone is one unique feature that endears many to it. Another aspect is that Bitcoin have limited supply and this make it attractive to hold because scarcity will always create demand cum higher prices.

I hope you read what started my post first, I referred to what @armanda09 said, because he decided that it is better to save bitcoins with an amount of $ 20/day than to do social gathering.

I agree with you, when it comes to the issue of quantity, because it is a dynamic and fluctuating matter, because everyone who has a stable income doesn't necessarily have stable needs, sometimes they go up and down.
That's true, those who miss several periods of buying don't matter if the goal is long term in accumulating bitcoins because it's true as you say, and they can continue at a later time when they find enough stability to continue their bitcoin accumulation.

But what I'm trying to suggest is for the main point of the point is, if someone has the intention of accumulating bitcoins every day for a certain amount, it is not effective, because it is based on transaction costs, which you might be able to take as an additional investment if you reduce transactions to make purchases, although only accumulated from all fees 1-5 dollars.

Fuck gold.

It is not a good idea to incorporate gold into your investment portfolio.. especially when we are here talking about bitcoin, and are we again going to getting into those nonsense gold versus bitcoin discussions when we are supposed to be talking about bitcoin - and surely there are other threads about that or if not other threads can be made.

Ok... let me bite a bit on this topic. Sure if you are used to gold, and you have some systems to actually interact with gold that you already know, then sure maybe get a bit of exposure to it.  Otherwise, you should realize that bitcoin is in about the territory of 1,000x better than gold, so even if it takes 100 or 200 years for bitcoin to actually reach its fair/appropriate price in respects to gold, you should be able to pretty much recognize and appreciate the direction that the whole thing is going (when it comes to gold versus bitcoin and the fact that currently bitcoin is priced about 1/20th of the current market price of gold. which surely we can already see that bitcoin has been closing the gap and has closed the gap a lot over the past 10 years or so - and maybe the first few years of bitcoin's history might not count as much when it comes to having some kind of a monetary starting point), so in that regard, gold remains a BIG ass waste of time, energy and value (and in essence a distraction - and likely a way to help you in terms of your having fun staying poor) to be fucking around with gold - when there is bitcoin.

Another supporting point is that if you consider bitcoin to be a kind of hedge against the whole system in the context of history in which gold was serving that purpose, then bitcoin has largely taken that use case for gold and is about 1,000x better than gold in terms of its verifiability, divisibility, transportability, securability (and cost of security) and even scarcity.

There might be a few use cases in which Gold's physicality is of value, including its industrial and jewlery uses; however, for the most part, when it comes to actual money, physicality and even those other uses cases are both hinderances to actual value. Try to move $20k, or $500k, or $10million or $88 Billion worth of gold, good luck with that in terms of both cost and/or in terms of not getting your gold jacked (which means someone else taking it from you).

Now, like I already said, if you would like to keep around 10% (even though that might be too much) of the value of your bitcoin holdings in physical gold because you are preparing for the Armageddon (which surely is not a very high likelihood event even though March 2020's outrageous liquidation event and even oil going bellow zero likely showed us how fragile some of these traditional pricing systems are), then sure keep something around 10% in gold, even though maybe 1% or 2% would be more prudent.. and may I remind you, there are likely ways that you can diversify your portfolio in assets other than bitcoin (and I am not referring to shitcoins) and those categories are property, equities, bonds (and cash equivalents) and commodities, which actually might include gold in that.. so in the sense of overall portfolio diversification there could be some use for gold, but if you are brand new to investing and you are just building your investment portfolio, then there is likely hardly any reason to have gold in there or anything else beyond bitcoin and cash... you can surely start building your investment/savings portfolio with ONLY bitcoin and cash, and not diversify until you get to some threshold amount, maybe even 30%-50% of your annual income or even some higher amount, such as 1x or 2x of your annual income, and you will need to decide for yourself at what point that diversification is starting to make sense, but there is likely no need to consider diversifying from the start and the extent to which gold might end up coming into any kind of justification for diversification likely is way less than you might have historically considered it to be, especially given some of the already existing dynamics of bitcoin's 1,000x ish superiority to gold in the various money, store of value and inflationary hedge categories that I already mentioned.


Sounds like a fantasy if you really believe that BRICS nations are going to be able to realistically coordinate a gold standard era sufficient enough in order to overcome the various ways that we already know that gold can be corrupted, and part of it's problem is both its paperization and its physicality, so it is not so easy to force possession of gold, but there are ways to force possession of bitcoin in order to keep the auditability of bitcoin in check.  And, sure a lot of BIG institutions are attempting to corrupt bitcoin in the same (and similar) ways as gold has been corrupted, and so they are able to trick people into contracts for their bitcoin in which people cannot get possession of their bitcoin, but so long as people are not entering those kinds of contracts, and either demanding possession of their bitcoin or ongoingly creating systems in which they are not giving up their private keys, then bitcoin remains way more possessable than gold.. and some of those institutions (and probably their clients) that are holding paper bitcoin -- or claiming to have bitcoin that they do not actually have  - are likely going to get fucked at some point.


Yep.. there are likely going to be ongoing battles on these grounds, but bitcoin remains superior in terms of the power of being able to possess and verify it relatively easy, and likely people are going to continuously have to learn lessons about holding their actual keys and avoiding getting rug pulled by people who either do not hold the bitcoin that they claim or that they are not being honest in terms of ability to access such coins (and in which circumstances, which is still likely going to continue to enforce ideas about the values in regards to who hold the keys and whether the key holders are actually honest players when they are supposed to be holding those keys on behalf of others.. and it seems that one the the best ways to test those who possess the keys, is to demand possession of the coins).

I never bought Gold neither am I planning to buy now... Like you said, Bitcoin have proven to be a better option. In other words, I feel the era of Gold is gone unless maybe the BRICS nations are able to reinstate the Gold Standard era which I have seen many people pontificating about. Howbeit, even if this happens, Bitcoin will still triumph given the ease of access, ownership,potential, security and many other advantages it hold for the generality of humanity.