Topic: Buy the DIP, and HODL! - page 62. (Read 121870 times)

Yes you're absolutely correct.
Bitcoin can be a very reliable and efficient store of value for anyone who wish to store their wealth under the umbrella of bitcoin, but this isn't advisable when the intention is to store the wealth for a short-term,  due to the uncertainty and unpredictable nature of the bitcoin market, there's no way to predict the next move of the market, hence considering the long-term trajectory of the market remains the only to secure one's holding.

If a guy buys bitcoin today (with intentions of preserving the value of his wealth and protection at against inflation) with intentions of selling in a matter of weeks, it's possible that bitcoin price can drastically drop in within weeks and it could stay within that range for the next few months, meaning that if he eventually sell as planned, he'll end up hitting a huge loss, thereby defeating his original intentions of wealth preservation. So buying bitcoin with money you have short-term plans for is a totally bad idea, because it would no longer be called an investment but a gamble because then, there chances of losses becomes pretty much.

Most definitely...
Everyone is meant to be in total control of their emergency fund, and the emergency fund should at all time be accessible to the owner at all time.  Allowing your parents to take care of your emergency fund simply means giving them the control over it. In Addition,  your parents could have their own emergencies too, and they'll definitely use the funds to sort them out, so what if your emergency occurs right after your parents just finish using the emergency funds to sort out their own emergency?  That would only mean 1 thing, and that's you dipping your hand into your bitcoin portfolio to sort out your emergency hence messing up your financial plans and foundation.

So it's very important to have your own personal emergency funds, even if you have the liberty of getting help from your parents whenever you need it. Instead, I think it'll be a much preferable idea if your parents gives you the money at a specific interval and you on the other hand puts it in your emergency fund under your custody,  that way, your parents are indirectly helping you taking care of your emergency fund, by also providing you with financial support.  This way you're sure that the emergency fund is accessible to you at all time.

Procrastination is a very bad behavior one shouldn't have because it won't only affect you in Bitcoin investment but rather it will also affect one in so many ways. But procrastination is not only the reason why people don't know the perfect time to invest because there are people who don't believe that Bitcoin will do well in future till today, so they believe if they invest it will be more like a 50/50 something which is a very wrong mentality and wrong view because Bitcoin has already proven to be one of the best assets to invest in, in the cryptocurrency world.

I don't understand what you mean by good investor and examining the market before investing doesn't make one a good investor. Examining the market sound more like trading term because since you are investing for long period of time you don't have to examine the market though checking the market price is not actually bad but sometimes you can get discourage when you looked at it that is why DCA method is always good to adopt whether there's increase or decrease you are not affected, all one need do is just invest what you always use to invest.

I don't really like the idea of parents serving as an emergency fund, even though surely there is some truth in that, yet when we start to invest into something like bitcoin, each of us likely need to get into some good practices, including the creation of our own emergency fund, even if we might be able to get away with building and/or maintaining a smaller amount because we have our parents as additional emergency funds... the same is true for other kinds of better practices in regards to using reserve funds prior to even touching emergency funds, so it may well become way and way more likely that any of us might be investing for many years and never even come close to touching our emergency funds because we use our other categories of back up funds prior to ever getting into a state of emergency (or having to use any of our emergency funds).

Not just money they can't afford to lose is also money they can't hold for long , so anyone that go into Bitcoin with money they can hold for long is only in for short-term profits, which may be risky . Because they may not be able to hold for long so the chances of them selling in loss is Higher.

But due to the fact that the world is going digital each day, it has create opportunity for young students to be able to learn some skills online , which have help alot of students to start earning in their comfort zone without it affecting their studies. So such individual can actually start investing in Bitcoin with some portion of the money usually get from that skill, and he or she  may choose to focus his own personal earning in Bitcoin investment while his parents take care of his emergency funds.In that way he or she will be able to build a better investment for he or her self in a long run .

Than wasting money in some irrelevant things because now and days most young students can differentiate want from need , so they may start leaving a luxurious life style.

I think that part of these points about knowledge and/or how much knowledge is needed or how much is prerequisite, a lot of them are discretionary, which means that it is up to the person to figure out how much knowledge that he wants to have in order to protect his income, and to get started most of the knowledge is not needed beyond just knowing whether he has some extra money within his disposable/discretionary income (whether it is $10 or some higher amount) to put into bitcoin to get started.  Surely, to call it an investment rather than a trade, then there are likely going to be more requirements of knowledge that may well need to be built along the way in order to make the investment successful, so surely we have a bit of presumption that we would like our investment into bitcoin is going to be successful in terms of putting us in a better position for having had invested in bitcoin as compared with the position we would have had been in if we had not invested into bitcoin.

Maybe even getting started the person buying BTC might not even be sure if he is investing or trading, since he might not have had even established that he is going to be able to put his money into bitcoin for 4-10 years or longer, yet I would argue that if he ends up not being able to commit to 4-10 years or longer then he is more likely engaging in trading rather than investing, yet I doubt that there is any requirement that he establishes those kinds of parameters upon himself right from the start.  It may well take an investor 6 months to 12 months or even longer to figure out that he is going to be investing 4-10 years or longer, even though many of us would likely argue that the guy is going to be better off to engage in some planning rather than just being whimsical about his investment, since the more likely that he has not set any parameters, then the more likely he is either going to engage in trading behaviors including having more likelihoods to be scared (or greedy) in selling his BTC without committing to any kind of longer timeline, in which a longer timeline would likely end up being more to his advantage.

The more knowledge we gain along the way, then the more likely we will be able to tailor our BTC investment plan in long term kinds of ways, yet we still may well realize that there are various  levels of knowledge about BTC, and even the DCA investor does not need to have a lot of knowledge about bitcoin as compared with other investments in order to still set a DCA plan and even to consider himself investing into bitcoin merely based on his belief that bitcoin has number go up technology built in... which is not even really a very informed kind of way of thinking about bitcoin, yet there might not need to be much more knowledge than that in order to invest into bitcoin and build, establish and maintain a bitcoin position.

Surely, a lot of the bitcoiners also consider that a lot of the value that comes from bitcoin relates to its individual sovereignty attributes, so in that sense it seems that a lot of bitcoiners will need to hold their own keys for bitcoin in order to retain its value, yet each individual does not need to engage in self-sovereignty behaviors of building knowledge and/or employing self-sovereignty practices in order to still profit from getting price exposure to bitcoin, including holding bitcoin on exchanges, or through ETFs or other third party investment mechanisms, and  yeah, some of us might argue that they are not really participating in bitcoin, even though they are engaging in practices to get price exposure to bitcoin and they might be running risks of rugpulls, and that is their choices (even a choice if they want to even learn about the difference between holding actual bitcoin or holding bitcoin through 3rd parties).  Of course, personally I believe that it is better to hold most if not all of your BTC in self-custodial kinds of ways, yet I am not going to argue that all individuals need to make those kinds of choices or engage in that kind of learning prior to their buying BTC (or buying BTC price exposure).

When DCA investing into bitcoin, a person might not need to know very much about bitcoin in particular, yet they may need to know some particulars about from where they are sourcing their bitcoin, and know whether they are buying manually or automatically, whether weekly or otherwise, and surely they need to know that they are spending within their discretionary income otherwise they may well make the mistake of spending money that they need for their expenses whether in the short-term or further down the road.. So there may need to be some knowledge of current and/or future cashflow and expenses in order to assure not getting put into a position of having to sell some or all of his bitcoin investment at a time that was not of his complete own choosing.


You are correct.  There are some folks who psychologically price themselves out of buying bitcoin because they prematurely judge where that the current price is over valued, and most likely they don't really know about bitcoin, yet they come to a premature conclusion that it is overly priced.  They likely have to spend a lot of time researching bitcoin in order to unlearn their wrong perceptions of bitcoin, and so they may well have to end up have fun staying poor, unless they can overcome some of their own wrong perceptions and perhaps even spend a bit of time studying bitcoin in order to come to some better understandings of it. 

It is true that some people (even very smart people) have difficulties wrapping their heads around what is bitcoin and why bitcoin is valuable... and sometimes even that they might still be better off to take some kind of a small position in bitcoin, such as 1% of their investment portfolio, even if they don't really feel that they understand it...

So sometimes folks can be skeptical and/or even somewhat ignorant of bitcoin (or unable to wrap their heads around it), and so those kinds of doubts might well be better to justify taking a smaller position in bitcoin rather than completely abstaining from investing into bitcoin. Yet, surely people are going to make their own choices, and a lot of times, they fail to take any position in bitcoin rather than taking the more prudent route of just taking a small position in bitcoin, such as 1%, even though since 2020, I have been recommending everyone (even beginners to bitcoin) should shoot to take a 5% to 25% position in bitcoin, so the ones with more skepticism would error on the lower side of the range rather than the higher side... yet in the end, each person has to decide for himself/herself in regards to whether to invest in bitcoin and if so what position size to establish that will satisfy a balance of their own budget but also potentially their skepticisms about bitcoin.

I'm actually 50/50 on this because I think learning about something before starting is indeed an important thing especially when it will deal with the finances you have (that you want to invest) so it is quite natural when we explore and learn about this first including the objectives made and the market value that is of course included in it. But when we have plunged and are in the investment section (in this case bitcoin) and we have determined that this will be a long-term strategy for you, then do not focus too much on the current price because in the end it will make you dizzy and confused whether you can buy it now or not.

When the long term has become your goal as long as there is an opportunity to buy in the sense, you already have money to buy and understand about the risks and are ready to lose then why do you delay just because you focus on the price. It is precisely things like this that sometimes make it difficult for us to be in bitcoin because of our inability to take risks that ultimately make you regret not entering from the start.

That is the question I have been meaning to ask those who always say that Bitcoin is too high for them to buy now because that means they will not be able to buy Bitcoin in the future when the price must have gone very higher, actually what those people do not understand is that any assets that has serious value tend to have a great potential and when the assets is of a great potential it tends to have a very high increase in value as time goes by and of course Bitcoin is the assets of a great potential so the more people are waiting for the right moment that's the more the value will be drastically increasing and only those who understand the worth are the ones who is continually buying.

when you fail to understand Bitcoin price regulations you will be scared of bitcoin investment, people that procrastinate don't know the perfect time they can invest in bitcoin, actually good investors take time to examine the market before they invest but newbies who just knew about bitcoin doesn't exercise patients and make research before they invest in bitcoin, so that's one of the elementary thing that makes people not to understand when the price is low and when the price is high for them to invest in bitcoin, I believe that people just invest base on their understanding of the market or prediction of the market of Bitcoin

"I think that it is important to point out that no one is really rejecting the idea of having knowledge or even suggesting or promoting the idea of ignorance"
 These were the exact words @JayjuanGee used when he was addressing similar post as this your statement here in this thread last week. And I think there is enough sense in what he was saying. In as much as some newbie can make his first investment in bitcoin without having adequate knowledge in bitcoin, does not mean that such investor should stand on his ignorance and make it look like it is the right thing to do. To successfully hold his investment, there are things he needs to figure out immediately before making his subsequent investments, especially if he is buying through DCA. Knowing his disposable income and and separating it from his reserve, emergency funds and daily expenditures funds are very important thing he need to figure out. These things forms part of the in dept knowledge that an investor need to have and they are crucial to the investor.

To my fellow plebs.

Buy the DIP or DCA, more aggressive or less aggressive - we can debate and argue these things in the topic. BUT when it comes to actually doing an investment plan/strategy - that's up to you. You press the buttons/press the enter key, not the people in the topic, YOU.

There are larger/richer asset managers who are currently accumulating Bitcoin today than during 2020.

None of us can really make up for lost time, and we can ONLY decide how much to invest or how aggressive that we want to be based on today's circumstances and our own cashflow (and discretionary income) of today).... so it can be problematic to try to make up for lost time unless you just choose to invest more and to be more aggressive with your BTC investment, yet you are still bound by the parameters of your current disposable income, and so each of us needs to be careful, even when we are aggressive in our investment into bitcoin, that we do not over do it in so much of a way that we end up recking ourselves.

Yeah lack of understanding of Bitcoin volatility is one of the reasons but I think is went further above that because I noticed that too much expectations is also one of the major reasons because so many investors miss the right moment they should have invested on Bitcoin to seek out Bitcoin price analysis and after they most have conducted testing they started believing that anytime Bitcoin price reaches a particular place it shows that they are about entering the bull season and they will keep expecting and waiting for there analysis to work out and at the end nothing to show for, so actually expectation is one the elements that has really affected a lot of people.

DCA method is a standard method of deposit where you can deposit a portion of Bitcoins from disposable income on a weekly or monthly basis. Your consistent buying or depositing periodically may reduce the UP but you need to continue DCA for long term and at different price combinations. If the price of Bitcoin continues to increase and does not reach the current price in the future, its UP will gradually increase and finally the average price in your portfolio will be much lower than the future upside price, so this method is very useful for an investor who has discretionary money. .

Depositing Bitcoin with DCA method seems easy at first, but you must set aside discretionary money for it, like the difference between income and expenses every month, from which you need to set aside for emergency fund. If you want to know more details about Bitcoin investment, you can practice from 9 principle individual factors.

Every investor tries to perfect his investment and to do so he should be aware of these individual factors so that he does not face any problems in his long term bitcoin investment journey. Yes if you have a small amount of discretionary money you can deposit any amount of bitcoins and tend to run at least 2-3 cycles or more. Your main objective should be to have a decent bitcoin holding.

Holding Bitcoin in the DCA method is the only way to hold Bitcoin for the long term. Because the DCA method is a cost-effective way to buy bitcoins in all aspects, you will notice the highs and lows of bitcoins if you are investing in bitcoins regularly weekly or monthly then surely the level of buying bitcoins here will decrease in the average price.
 That is why it is very important for investors to follow the DCA method of Bitcoin investment, because once you start investing in the DCA method, it will attract you to invest again and again. Because Bitcoin can only be successful if you hold it for a long time.

Bitcoin is undeniable the best asset to invest. But if you keep waiting for the dump then what will happen to you on bullish times? Provably you are in standby mode doubting and trying to figure out on when you could enter. That situation you gonna choose is confusing and provably that confuse you or create fear not to buy. So instead of waiting for the dip better if you buy your bitcoins at what price you could able to buy. You are doing DCA anyway and for sure those big pumps and dumps would never affect you.

Also don't waste your time thinking about shitcoin and erase that in your system. Much better if you focus on your investment made on bitcoin then try to be consistent since this is really more important to consider.

I think people who are planning to invest in Bitcoin hoping for quick profits should put their plans on hold. First they should gain knowledge about Bitcoin, then they should decide whether to invest or not! Because when a person gains knowledge about Bitcoin, he will realize that Bitcoin is not a means of making quick money. He will also understand that in order to profit from Bitcoin, he must be long-term. After acquiring the knowledge, it will not be affected by price decrease or price increase. Instead of getting depressed or panicking during price drops, he will learn to enjoy the time.

If a person is a newbie and wants to come into bitcoin investment with a long term plan and want to invest in DCO method then I think he can do it even if he doesn't have much knowledge about bitcoin. He can start investing only if he has an idea how to buy and later learn different strategies to hold the investment which is Bitcoin knowledge. Gaining knowledge will benefit your investments as well as help you advise others to invest successfully.

You mentioned a topic related to Shitcoin, which mentions profit, not loss. Keep in mind that while the profit margin is high in Shitcoin, there is also a high chance of loss. You will not only lose from Shitcoin, you will also gain but the amount will be much less than the loss. That is, if you profit $100 from Shitcoin, it is almost certain that you will lose more than $100 later. As the profits in Shitcoin are high, there is a high chance of being tempted, thereby increasing the potential for losses. Because many coins disappear from the market due to the low probability of value recovery in Shitcoins, if you invest in such coins you will lose the entire money. Long term and short term investment in SHITCOIN is extremely risky and I don't think anyone would dare to advise taking such a risk.

I know if I could still recall, I didn’t emphasise on buying bitcoin at the dip only, I just said it is the best time, which means you can still buy bitcoin at anytime to accumulate as much as you can afford using the DCA strategy, so all this you are saying, I will just take it as more clarification to those that find it hard to digest the English I wrote, not correction to me, because all what is said is the same thing I also said but in different English. So I appreciate your effort in clarifying it to others. The best thing to know is that both of us are explaining the advantages of accumulating bitcoin and holding it for a long time.

As a new investor, you are not only to keep on buying bitcoin regularly only at the dip because you are still new to bitcoin and you only have very little bitcoin. A new investor should be on accumulating bitcoin using DCA regularly without stoping whether in the dip or not for 4-10 years and above so that he will be able to accumulate a significant size of bitcoin to cover up his latness into bitcoin investment.

You should also know that buying at the dip is for those investors who are prepared for it by having reserve funds available, but with your ongoing DCA you have the advantage to buy bitcoin both at the bottom line of the dip and when the price is at his peak.

When there is a dip in bitcoin, that is the best time to keep buying bitcoin. If you can accumulate a lot of bitcoin in this season then there is a potential of you getting a lot of profit in the future. That is why the best thing to do in bitcoin is to accumulate a lot of bitcoin and hold for a long time. As a newbie in the crypto space, the best place to invest in is bitcoin. Even if you have many years in the crypto space, bitcoin is always the best place to invest your funds for a long time. Many of those shitcoins always end up as scams. That is why we always encourage using the DCA method to accumulate as much bitcoin as you can without braking the bank or being stressed in your finances. 


We always have regrets about our late intervention to invest in bitcoin. I know many of us have known about bitcoin for a long time, but due to a lack of knowledge we had when we were still in school, if we have been investing in bitcoin since 2010 or 2011, even if it is a dollar every month. We would have been millionaires today. That is why a wise man says "ignorance is the worst disease ever," because it will affect you for a long time and you will always regret it, so it is best to explain and reach those in school about bitcoin investment and give them the strategy to follow. In order to make sure they are aware, they have knowledge and the possibility strategic to accumulate a lot of bitcoin. 

Yeah you are correct some people especially newbies really don't understand how Bitcoin works they just heard about someone it and feel they can just start investing and start making money from it and that is why you see some people become frustrated when they start investing and they later got disappointed by not making the quick money they expected to make.
A lot of people has left Bitcoin investment because they feel Bitcoin is too slow in it's growth and they feel investing on shitcoins will be more better because it will grow fast, the want of quick money has even blocked there eyes to see the high risk in shitcoins and that is why no matter how people keeps failing and losing money in shitcoins some people are still investing in it.
When it comes to bitcoin investment on needs to be patient and also be consistent, Bitcoin will give you more peace of mind because one won't lose money when there's a dip it's certain that it will grow again one just need to accumulate and hold for a long term.
Before investing in Bitcoin one needs to have the basic knowledge about Bitcoin and how it works it is very important, if a newbie has basic knowledge about Bitcoin and also know the history growth of Bitcoin it will help him or her to relax even when there's a dip.