Topic: Buy the DIP, and HODL! - page 66. (Read 138987 times)

Why are you losing confidence in yourself, Bitcoin investment is the only reliable one, look at 2010, those who have invested have created huge wealth mountains so far. So why are you not able to strengthen your confidence in Bitcoin investment, then new Bitcoin investors will panic. If you invest in Bitcoin at any time, your investment will be successful but you have to hold it for a long time, never think about getting benefits until your long-term investment plan is over.
Whenever you think of getting benefits, greed will come to your mind and you will have to break your Bitcoin investment, so it is usually less risky if you do it for a long time and if you follow the DCA method, there is no doubt that you can invest in Bitcoin even in the upward momentum price.



You see, the government of El Salvador is holding Bitcoin, and Mitchell Saylor of MicroStrategy bought the most Bitcoin in November. And he's holding Bitcoin for the long term because he's not really thinking about the benefits right now, and he's planning to buy more Bitcoin.

Example And Saylor has deposited 386,700 Bitcoins, they're not thinking about the benefits of holding so many Bitcoins, why do you think that as a normal holder? I think people who think about Bitcoin investments in a negative way are basically idiots.

We cannot avoid fiat or ignore fiat in any way. Just because you are investing in Bitcoin does not mean that you will use the remaining money for Bitcoin investment after meeting your needs. You also need to use your money to protect your investment and it would be wise to diversify your investments.

When you are using the remaining part for investment after meeting your needs, it means that your savings are only in Bitcoin and this money is necessary for your real life. But as the general rule of investment is, never use your necessary money for investment. Choose such money for investment, if losing the money will not affect your quality of life or you will never need the invested money for any purpose. But as you say, if your investment is lost in any way, your life will change completely.

Even during Bitcoin investment, you need to focus on safety measures. If you want to be successful in long-term planning, you must have more fiat reserved. Because, you have to keep in mind the emergency and keep in mind the purchase of essential items. Suppose you use a part of your income for investment and another part for meeting daily needs. What will you do when suddenly you face a big accident? Will you agree to sell the investment at a loss? Even if you are able to sell it at a profit, you still fail in the investment. You will regret selling this investment. You should even keep another fiat fund that you can use to purchase essential items like a desktop, car or necessary furniture.

For investment to be successful in a long-term plan, you need to have more fiat. You can decide the amount of fiat savings depending on your situation. But I would say, divide your income into at least three parts, from which 1 part is used for meeting daily needs, 2nd part is saved for reserve fund or emergency fund and 3rd part is used for investment. Or you can invest another 4th by dividing it into 4ths and investing in real estate, which will be your alternative source of income and you will be able to use more money to invest in Bitcoin.

So I don't think it's wrong to keep more money in fiat. It may be your personal choice.

Using bitcoin for intra trade transactions can only be achieved when bitcoin has gotten full adoption globally but for now, intra trade transactions won't work except between countries that has accepted and adopted bitcoin as a legal tender such as El Salvador and Central African Republic.

Already, since Russia is moving away from dollars as their reserve currency, they will surely be interested in bitcoin related matters now, so a lot is expected from bitcoin next year.

It is true that we cannot completely evade Fiat entirely, in our quest for bitcoin adoption but it doesn't mean we should keep more of our money in Fiat, besides, most of us earns in Fiats so after using part of the money to invest in bitcoin, the other part should be kept for daily needs and all that but it will be unwise for anyone who owns bitcoins to convert to Fiats except for someone who earns in bitcoin.

Nice definition of bitcoin here and Kudos to Satoshi Nakamoto wherever he is now.


HODL for long term future growths that's what bitcoin investment should be all about and the DCA has become the most convenient strategy to owning a huge portfolio in bitcoin since it gives the ease of accumulating same amount or fractions of bitcoins at different intervals of time.

Sure those are likely the main qualities in which any discussion can be had, and surely we have to talk about verifiability and also in regards of costs associated with it whether transactional or storage and/or safekeeping costs.

So whether the person is an economist or not, there is value in terms of attempting to grapple with the main features and perhaps throwing around some examples.  One of the benefits of an economist or any learned person is that they may well be spending a lot of time playing around with examples, so they might have a lot of ideas in their head as compared to someone who might be doing manual labor all day long they might not be thinking about economics in the same kinds of ways.


Nothing wrong with that.  You hold the most valuable asset and you spend the least.  Is anyone going to starve to death because he does not want to spend his bitcoin?  I doubt it.  We have certain preferences to satisfy our desires rather than to delay gratification, so there are going to be trade offs between spending right now versus spending later, and if we have a variety of assets/currencies, then if we know the difference in their value, then it is quite likely that we are going to chose to spend from the one that has the least storage value first... ...same thing if we have some food and we are not getting any more for a week or more then we would likely eat the more perishable kinds of foods first.


It seems to me that currently a lot of our goods and/or our assets are mispriced based on various ways that fiat is currently corrupted and even we are brainwashed into believing that our money is meant to lose value with the passage of time.. .which truly is not even a valid characterization of a quality of money.

Bitcoin likely helps to bring back some honesty in the money, even though fiat systems such as use of debt and/or other ways of financializing are not going to disappear overnight...so I doubt that any of us can really particularize how systems are going to evolve as bitcoin becomes more and more dominant and people realize that there is an asset/currency that they can hold their value and it goes up with time rather than down. 

Maybe once bitcoin were to reach widespread adoption it would not go up, but instead just hold its value, yet when we are in earliest of adoption phases, bitcoin's value (price) is going up based on increasing adoption rather than changes in bitcoin's relative value compared with other assets/currencies.
 

As long as various monies exist then the less valuable will be spent first, and sure it could take 50-200 years or longer before all monetary value gravitates into bitcoin.  Houses, food, cars etc still have utility value, but their monetary value may well end up getting sucked away by bitcoin being a more efficient monetary instrument, yet you are correct, there still may be some utility in the use of other kinds of monies or tokens.

The beginning of every subject is difficult, if one does not have full experience of investment before investing, but one has to know about investment from the beginning and invest accordingly. Before investing in Bitcoin, many people fear that if they invest in Bitcoin, they can lose a lot of money and because of this fear, many investors do not invest. But those who are willing to take risks and are willing to invest even if money is lost, do so. But there is a big difference between investing and holding an investment for a long time. 

There are many challenges to be faced in holding the investment but those who overcome these challenges ultimately get good profit. Now many investors are holding on to their investments and the price of Bitcoin is now at its highest level, but those investors will now get a good amount of profit from their investment.

It is true that fiat cannot be replaced by Bitcoin, but it is recommended to trade Bitcoin for intra-trade transactions. Recently, Russia is trying and they are going to launch a domestic crypto exchange for using their domestic cryptocurrency by 2025, which can be expected to increase the use of valuable currencies like Bitcoin on a large scale.

News Link: https://invezz.com/news/2024/08/27/russia-to-start-cryptocurrency-trials-for-cross-border-payments/

Yes we need fiat to meet daily needs, where an investor keeps injecting fiat to increase his wealth. A part of the growth of Bitcoin should be allocated for fiat investment, which will increase the possibility of your Bitcoin holding increasing with the growth of your real wealth. It is true that Satoshi created Bitcoin to introduce an independent financial system, which is a financial hedge against fiat. He may have wanted to create a separate asset class, in contrast to the imbalance between wealth and purchasing power that inflation creates among people, through which investors can create their own independent financial system.
One of the benefits of long-term investment in Bitcoin is that an investor allocates a portion of his real assets and income to accumulate Bitcoin, as his holdings grow over time.

Of course, if I talk about holding, then El Salvador will come to mind, because El Salvador has been holding Bitcoin since 2021. And you mentioned the country of El Salvador where Bitcoin has paid transaction fees and the government does not have to pay any taxes. Because the legal tender section has accepted Bitcoin as the main currency of that country, so the country has provided benefits to the people in every way for the benefit of the people. He has constantly taken sufficient steps for Bitcoin education, but his country's Bitcoin holding system is very good and will hold more Bitcoin in the future.


But if we talk about holding, only those who hold it for the long term can be included in the scope of Bitcoin holding. There are some people who receive and sell Bitcoin for a short period of time and they cannot be included in the scope of holding, but holding is those who will hold it for the future, such as MicroStrategy Company, the government of El Salvador, Nayib Bukele, and those who hold Bitcoin following the DCA method. All these investments are generally included in the scope of long-term investments, and they will increase their holdings more in the future. So basically the current time is still a very suitable time for Bitcoin holding.

Of course, FIAT cannot be replaced with bitcoin because they are to work hand in hand i.e, you need FIAT for your daily spending and to buy bitcoin if you are not being paid in bitcoin. Don't forget that FIAT is from the government and no way the government will get rid of FIAT which is their ultimate power that they use to manipulate the economy and cause inflation.

The only thing that will make us change money from FIAT to something else if the government have agreed on a new currency that's acceptable worldwide by all government. For example, back in the olden days, we use cowries to buy goods but it started through trade by barter, and gradually we started using gold before we started using paper note. So it's only if a new item is found to replace fiat that we will no longer use fiat. Apart from that FIAT continues to exist because Satoshi created bitcoin to be an alternative to fiat. Bitcoin is good to be a long-term investment that's when you will benefit from it most.

You are correct, Bitcoin is an investment even though some countries has now legalize it as a legal tender and some supermarket now accept payment with Bitcoin even buying properties a lot of people prefer you pay them with Bitcoin, however a lot of people won't trade there Bitcoin just to buy things in a supermarket or buy car this is because Bitcoin has the tendency of growing to a more bigger money for them so they prefer paying with there fiat currency than there Bitcoin.
However there are some people who can see paying with Bitcoin as no much a big deal and that is those who has reached a fuck you stage where they have accumulated enough and can even decide to quit there job and live by there Bitcoin investment.
You can't expect someone who is still accumulating Bitcoin and has not Accumulated enough to start using his Bitcoin for basic payment, I know some people do it but such persons are not Bitcoin investors.

Some common misconceptions of other people since they think they need to be good first to know a lot before you can invest on bitcoin. This will just stop or delay their participation or even worse this might be the reason on why they cannot take action because they afraid to accumulate. But I guess at this point he into trading which is not advisable and been discourage to do here that's he say something about that also got afraid with good pumps gotten by bitcoin for past few days.

If they could just start right away then for sure they will be force to do more research after that since somehow its necessary once we start to invest or commit for long term we also need to learn some new knowledge on daily basis since this would help us to understand each situation happen and could provably increase our patience to successfully deal with this long term investment choice we made for bitcoin. For doubters for sure they cannot get anything for bitcoin, but for those who start their journey to hold their bitcoin for sure that they taking good decision that provably beneficial for them in future.

You don't need to be very knowledgeable to invest in Bitcoin, just a little knowledge is enough. As per your statement you have already achieved that. You mentioned that you have invested in bitcoins and have been able to earn profits from it, so you have an understanding of bitcoin investing. You may also know that before investing in bitcoins you need a certain source of income that you can use to continue investing in bitcoins.
Give priority to your own opinion rather than depending on the opinion of others. Because you have to provide money to prolong your investment. So invest in such a way that your investment lasts till the next halving at least. Investments should always be prolonged and that is the main goal of a successful investor.

There is one thing I would love to discuss with an open-minded excellent economist though. Money is good money when it preserves value, serves as a unit of account, is fungible and portable, which implies that it meets demand for high velocity. The last point is the interesting part here because bitcoin doesn't only preserve value, but due to its scarcity and all the other characteristics, it is very likely to go up in price.

For as long as bitcoin is a promising investment that increases in value instead of only preserving it, people will tend to hoard it instead of using it. Doesn't that mean that FIAT will be needed because psychologically people would at least tend to use their inflating FIAT to either buy bitcoin or, also very important, keep the economy thriving due to investment in other assets like real estate and consumption of goods and services. Low investment quotas or high saving quotas so to say, can have negative effects on an economy. I don't know if I have a logic error here at hand, but that's a question I could never find a satisfactory answer to yet. What is your thought on this?

The reason I bring up the idea that FIAT would still have a function is similar to what happens in casinos when people are supposed to buy chips. Those chips are easier to spend psychologically and it feels the same with bitcoin. Touching bitcoin is almost painful if you have to. FIAT not, I don't care if I have to pay something and I got FIAT, not an issue at all. But selling bitcoin feels bad. That is why I think FIAT might still have a certain function for a very long time. Hope this makes sense.

Many times we keep talking about this things but it still looks like some people don't understand this things, that's why we will keep saying it hence it will straighten up intending and existing investors that doesn't understand that waiting without investing because of price increase is very dangerous, though some persons will say I have heard about the dip as the best time to buy, it's very funny to hear those craps, as an investor who is ready to invest, why will the price of Bitcoin be an obstacle to you, although sometime this might as well be as reason of lack of understanding and information that exist among new folks in Bitcoin.

Buddy I have seen where you wrote that you have invested a few bucks in Bitcoin and as a matter of fact the profit turns out to be very good so why are now afraid? If it's the price, haven't you heard of DCA method, you don't need to occupy your mind with such stress called price, get back to business with DCA method because it allows you to invest with the little you can consistently without any form of panick stress, you said you don't have a versed knowledge on Bitcoin, but do really need such knowledge as you said to keep doing what's expected of you, you have started this journey already which means you already have a portfolio no matter how small, for me it will be better for you to continue with the little you can, but I must be sincere with you remove your mind from anything short term because it won't do you any good, what you need is to set a long term goal and work towards achieving it, the future should be your target, the price shouldn't be a problem because at all time you can buy Bitcoin with DCA method, the increase in Bitcoin price should be an encouragement to you that Bitcoin can do more than the price you are seeing now, if am to advise you, I will say keep doing the needful to avoid regret in the future.

Only those people trading their bitcoins would really got a problem with current situation occur on bitcoin.

But for those people who engage with long term this situation where bitcoin experiencing a short dump is somehow a great opportunity for them to accumulate since this is good opportunity to acquire a little bit more larger than they usually spend because price is experiencing a dip which provably a good recovery might happen soon.

To many good things to look forward in future and I guess this current dump happened cannot affect the decision of holders to continue their accumulating activities. And positive for it that bitcoin will go up again soon.

You are correct; any investor who is accumulating bitcoin on a long-term basis will not be so worried when there is a price correction because he will see it as an opportunity to accumulate bitcoin at a low price if he has enough money left to do that. This is why the DCA strategy is a good strategy in accumulating bitcoin because if you don't have enough money left to buy the dip at the point a dip happens, the DCA strategy will allow you to do that because your DCA accumulation money might be readily available at the point when a dip happens and you use it right away to accumulate bitcoin, which will allow you to take advantage of the market.

The price correction could be a problem for some people probably traders but it’s no problem for us hodler, we investors have seen worse and we can not concern ourselves with dumps because the target is always long term investment and a lot will definitely happen in a long time. Investors just need to keep investing and accumulating no matter the outcome and keep holding for a long time because bitcoin still has more in store for us.


Market fluctuations can be intimidating, but with a well-executed DCA strategy, you can manage downward trends with ease. Instead of panicking, focus on consistently accumulating bitcoin and holding for long-term. This approach helps you ride out market volatility and make the most of your investments.

Buyers will always see Bitcoin price corrections as a good enough opportunity even though without corrections they will also buy as much as they can, but because there has been a price correction like now, it is clear that this has become a bonus for them because basically they always set purchases to store them in the long term. And people who always make DCA purchase accumulations must be quite happy when they see price corrections like now because they also do not set sales in the near future even though they have bought at a price that is slightly higher than the current price.

First, you can start investing in small amounts, such as 10% of your income per month. Then it will not be that difficult for you because you can invest in Bitcoin in small amounts consistently. If you can invest in this way for 2-5 years, you will be financially ahead of others.

I just feel like there is a serious gamble going on in the market within the bigger investors, otherwise i see why the price couldn't reach $100k when it already got an ATH of $99,800. They know that if the price eventually gets to $100k, there will be a panic selling between short term investors and those that has marked $100k as their price targets before they sell, so i assume that is the reason for the corrections the market experienced and it is good that the correction came because it has helped ease tension a bit, as it would have been if the price had continually gotten to $100k when everyone thought it would. The correction has also helped some investors to acquire more amount of bitcoin at a lesser price while anticipating the price to hit $100k, so it's still all advantage for investors but more advantageous to long term investors.

In other words we Buy the DIP and HODL! In all honesty, I feel happy seeing the correction because I was thinking that all my entries would be above $100k but it is obvious I still have an opportunity to enter below $100k with my expected end of year pack from work. I been applying the DCA method but I feel my Bitcoin portfolio have not gotten to where I want it to be so I have to adjust my approach a little by adding some lump sum buys starting from end of this month when I'm expecting some bulk funds. This is the reason I'm a kind of excited that this dip occurred, although I seem to have forgotten that corrections will always happen in the market.

I understand my stand may appear pessimistic to some people who are anxious to see Bitcoin price cross $100k, these set of people being in the majority but I guess my stand is just my wish and person opinion and not necessarily what the market will do. Also it is normal for humans to have personal expectations that is favorable to his plans and targets so those that are feeling bad about the correction whereas I'm feeling excited, should bear with me. It is not fud from me because in the end, we all wants more Bitcoin to our portfolio.