Topic: Buy the DIP, and HODL! - page 84. (Read 121931 times)

All of this are distractions to a beginner who is just starting out to start buying bitcoin. The aim of accumulation using DCA is to keep buying at every interval that you’ve the opportunity and funds to buy more. The market will always be what it is, it will rise and it will fall. For a beginner, those fluctuations in the market especially when it has moved above away from his starting point of buying can make him feel discouraged but that should be something he should be able to overcome psychologically and continue the DCA method. A lot of distractions may come in along the process of DCAing, but he should just remain focused and determined to achieve the set goal he has set for himself before starting the accumulation. Ups and Down are part of the market and cannot be avoided but learned and accepted by every investor whether beginner or old investors.

I am not saying anything about the market condition right now affecting purchase decisions for a newbie no coiner, whether the current BTC price is in dip or not.

I am saying that no matter what a beginner or a no coiner is not prepared for up if he does not have any coins.

I am saying that the ONLY way to prepare for UP is to buy some bitcoin.

Of course, as a beginner, you can choose how much bitcoin that you want to buy and whether you even want to prepare for up, but you are not going to be prepared for up until you buy.

No matter what the BTC price, there is always a chance that the BTC price might go up and not go down, and so if you are a beginner and you choose to not buy any bitcoin, then you are choosing to bet that the BTC price is not going to go up.  I doubt beginners (or anyone else for that matter) is really prepared to say that they know 100% that the BTC price is going to go down before it goes up, but at least a person who already owns bitcoin is already going to be prepared for up since he already has some bitcoin, as compared to the no coiner (or precoiner) who has absolutely no coins.

In the end, do what you like beginner, newbie no coiner (or is it precoiner?), yet as a beginner no coiner, it is your choice to stay on zero and ONLY prepare for the BTC price going down.

I suggest that no matter what everyone who is in BTC should attempt to prepare themselves for either BTC price direction.  So in that sense, the beginner should always buy some BTC in order to have some preparation for up.  

At the same time, I am not saying that the beginner uses his whole budget to buy BTC and ONLY prepare for up, everyone, including beginner no coiners, are responsible for their own choices regarding whether to buy bitcoin and how much to prepare for up versus preparing for down, and if they buy bitcoin how much bitcoin to buy and the various ways to begin their BTC accumulation journey, including their use of DCA, lump sum buying and/or buying on dips - including how much they prepare themselves for UP versus DOWN based on the totality of their own financial and psychological factors.

Sure that is just the accurate definition because as a beginner is assumed that they have not gotten any Bitcoin on there portfolio and they would be discouraged if the Bitcoin price has gone up because they would be thinking about their chances of getting or accumulating a good amount since the price must have gone up, so in that case starting there Bitcoin accumulation now will be better for them since the market is already consider a price dip now because if a newbie still decides to wait for more dip I wonder how long is going to take them before they could start, so actually you are very correct because as they said action speaks volume and in terms investment the first step is the most important stage to consider because the moment a beginner makes the move to start accumulating that's the moment they will start blending in.

The ability to invest with any strategy at a comfortable range matters for example, if anyone should have the available money for lump sum it all depends how the investor will manage his/her plans. Lump sum is actually not a bad choice for both parties including newbies and experienced investors, you don’t have to understand the market flow before a newbie can use the lump sum strategy neither buying during the dip. The honest advice is staying consistent and learn more, secondly the finance might not be available at the moment so investors still use dca anytime to accumulate. Sometimes we humans can’t predict how and when the available resources will be available for example buying the lump sum or during market dip, buying both is brilliant but how sure can anyone predict during the season for example most cases I decided to continue the dca just because of my income management during the season. I think this is where dca strategy can come till whenever an investor is ready to lump sum.

It depend the person that impact that newbie before going into bitcoin investment, because there are some Newbies you will teach how the market operate, they will catch up with some of the criteria you have given to them concerning bitcoin movement in the market, and it will be hard for them to make mistakes like those newbies that pretend they know it all which they didn't. Despite all the things we are discussing concerning newbies, do you know that newbies have the right to make their choice from those advice be given to them in this thread? Yes,  but they should make the one that will help them to accumulate bitcoin in the nearest future.

Your ideas about lump summing are strange, and they likely have very little to do with whether you are a beginner or an experienced investor, even though the quantity of bitcoin that you already have could factor into how you treat a lump sum amount that you might have available.

So first of all with lump summing, you are dealing with an amount of money that you already have available for investing into bitcoin, which could happen when you first get into bitcoin, or  you could have money come into your budget at any time while you are already investing into bitcoin.

When you get a lump sum that comes available, then if you have determined that you are going to use some or all of it for bitcoin investing, you have the option to plug it into one of the three categories, which is DCA, buying right away or buying on dips...  It is not an all or nothing proposition, and you have quite a bit of flexibility regarding how to consider your use of such money.

Many folks get into bitcoin nearly completely through DCA because they might not have very many lump sum opportunities, yet whenever they do get lump sum amounts, there is a decent amount of liberating power to be able to decide how to use such lump sum, within the three categories for the amount that is decided to put into bitcoin, and surely the amount can also be used for building finances in other ways too, in the event does not end up getting allocated to consumption rather than investment.


By definition a beginner does not have any bitcoin, so by definition, a beginner is not prepared for up if the BTC price goes up.  Therefore, a beginner has to buy bitcoin right away in order to prepare for up. There seems to be little practicality for a beginner to say that he wants to get into bitcoin, and does not get in since he is only preparing for down, and the BTC price may or may not end up going down.

How much BTC a beginner buys in the beginning is another question - which likely relates to the totality of his 9 factors that he would be advantaged in taking into account.


You are creating some other examples, so maybe you should flush out how your investor A and your investor B reach their respective average cost per BTC, including that you are making a different point from me.

In my example, I was showing two different kinds of investors.  The first one invested a small amount in the beginning of his investment between 2014 and 2016, and when the BTC price went up the first one choose to discontinue investing in bitcoin because he had a goal to keep his average cost per BTC down.  

The second one continued to invest in bitcoin and overall had a higher cost per BTC and also way more invested into bitcoin over the years, including investing 2014-2016 but continuing to invest throughout the years.  Sure I could have even included that the second one did the exact same thing as the first one, but he continued to invest after 2016, even though the BTC price was higher and that is why he ended up with 30 BTC rather than 5 BTC (and his first 5 BTC cost him $6k-ish but the next 25 BTC cost him $54k - since his total amount invested ended up being $60k), yet even with my own example, the numbers work better if my second guy had accumulated more than guy one in the first 3 years.. so guy 1 was more persistent throughout his investment into BTC as compared with guy one.. but my guy 2 had more of a limited budget in the first three years as compared to guy 1.. so guy 1 spent more in the first 3 years as compared with guy 2 who had an improving budget so he was DCAing throughout the whole period starting from 2014 to present.

You cannot even appreciate that you are changing the hypothetical and trying to suggest that all things being equal, then it is better to have a lower cost per BTC rather than a higher cost, and that is a different point than what I was making and also a different hypothetical

Of course, if all things are equal it is better to have a lower cost per BTC, yet in my situation, all things were not equal, and one of things that happened to be different, is that the first guy (in my hypothetical, which I understand to be extreme but it is not unrealistic) was obsessed with making sure he kept his cost per BTC down, and so in accordance with his own belief, he refused to buy more BTC with the passage of time since the BTC price was going up because that would have increased his average cost per BTC beyond $600 per BTC and he wanted to keep his average cost per BTC down, and in my example, the second person did not have such restriction on his own approach and he continued to accumulate BTC (and he even could continue to this day) even though his average cost per BTC is much higher than the first and through his investment his average cost per BTC (and the BTC price) is continuing to go up as long as he continues to accumulate BTC.. even though the second guy is already with 30 BTC so he might be starting to feel that he has enough BTC - which also is a personal choice to consider how much is enough.. and he cannot go back in time and buy more at certain price points.. he feels that he did the best he could in regards to his own BTC accumulation under his own cashflow circumstances.

But you want to assert that there could have potentially been a way that guy two could have gotten his BTC cheaper and that he would have had been able to get more if he had been more strategic with his BTC purchases rather than what he ended up doing, which was buying BTC every week within his budget? I have continued to suggest that it is can be quite difficult to know where the BTC price is going, so yeah, afterwards you can look back at the BTC price and determine when you would have bought and when not, yet it is still difficult to apply that across the board.

Sure there might be some weeks where any guy could choose to invest less that week and to hold back some of his money because he thinks that BTC prices might be lower the following week, so if he successfully buys more BTC on dips than his regular DCA buys, then he might end up with lower costs per BTC and also with more BTC on the same budget, but the mere fact that he might be able to buy more BTC cheaper does not justify that he should stop his weekly DCA, and so those end up being variable determinations that any guy can make based on his own circumstances which also includes having more liberty to hold back buying as many BTC when he has already spent a considerable amount of time and money already accumulating what he considers to be a decently sized BTC stash.

some persons doesn't do all this point you said, theirs is some certain things we don't need to mention just like that, if you have intension of accumulating Bitcoin, you can do that without observing any market procedures, theirs people who just go into bitcoin investment and after something they regret about it, and theirs also some people who go directly to invest in bitcoin and they don't have anything in mind of bitcoin increasing anytime soon but after their investment bitcoin increases to a levels that is unbelievable or surprised to them.

As a beginner there is yet a low level of understanding on how the market flows, anything could hinder one's success of accumulating a good amount of Bitcoin, relatively with how much funds the person has invested already. Beginners are expected to play safe, even those who understands and also are wealthy to lump sum preferably choose to DCA rather than alone lump sum. Both can be done in the whole process of accumulation but it is not advisable for a beginner to prioritize the root of lump summing other than DCA, wrong timing to lump summing is one big effect as to yet a beginner.

It is only those investors who are interested in bitcoin for short-term profit that need to constantly analyze bitcoin so that they can accumulate it at a low price and sell it at a higher price for their short-term profit. However, investors who are investing in bitcoin for the long term don't necessarily need to analyze bitcoin before they can accumulate it; they can use the DCA strategy to accumulate their bitcoin. When you are accumulating bitcoin with the DCA strategy, you don't need to do any market research. The DCA strategy allows investors to freely accumulate bitcoin without doing any research when their DCA money is readily available, and it can be either on a weekly or monthly basis.

It is not advisable for newbies to concentrate on the price of Bitcoin because it could serve as an act discouragement to them, a newbie that does not understand the concept of Bitcoin may discontinue his or her plan if the market keep dipping but if a newbies concentrate on their set goals without giving attention to the price of Bitcoin at any time, these set of newbies will not get a divided attention, for me I don't see price checking as a good thing because it has more negative impact than good side, I think as a newbie your concentration should be how to have a bulky portfolio if really you want to remain relevant in the system to achieve your aim of being a Bitcoin investor.
Why would newbies even think towards the lane of checking the market price unless such newbie did not understand the basics of the said investment, long-term should always be the goal of newbies considering the fact that Bitcoin is driven by fluctuation and volatility.
My advice for newbies is that market corrections and dip itself must happen to pave way for more intending and existing investor to buy at a lesser price but it shouldn't be a form of discouragement that's why am of the opinion that newbies should keep doing the needful irrespective of what the market says at anytime.

Yea, I support your idea here and I also share the same sentiment as you bro, wether newbie or veterans investors, their is absolutely no point monitoring the market, that is what traders do which to me is very irrelevant to a long term investor especially.

Secondly, why I think that it's actually a very bad idea keeping your attention mostly on the market as a long term holder is that it can make you make emotions decisions, due to a sharp dip in the price of Bitcoin or a strong rise of it price, so you might sell at a loss due to fear or you might sell when you are at a profit, no knowing that that is a very wrong way of building a generational wealth, by taking small profit, so in essence of what am trying to say is that, it's not a good thing as an investor to pay too much attention at the market, because if you have been accumulating Bitcoin since 2020 without tempering with it, by now, you are definitely going to be in a whole lot of profit, so the best is to just be buying gradually and forget about it if you can.

I disagree with you that every strategy is suitable for a brand new investor because it means that you are encouraging new investors to wait for the dip when we all know that waiting for the dip is not ideal and improper way for a new investor to start his bitcoin journey with because he does not know when the dip will happen and he might end up not acquiring any bitcoin s the dip did not come.

The last time I checked, we have three methods of accumulating bitcoin which is buying at the dip, lump sum and DCA. For new investors DCA is the best strategy for them because it gives them room to buy bitcoin constantly with part of their discretionary income without jeopardizing with the financial responsibilities. Not all new investors are rich to have huge amount of money to buy lump sum and even if they have because they are still new to bitcoin, if they lump sum, they will miss the opportunity which the market offers to those that DCA strictly constantly, persistently and consistently.

When you lump sum as a new investor, it is only when bitcoin price is above the amount that you lump sum is when you will be in profit but if you use DCA method some point or with time your average bitcoin price will be reducing as long your DCA is ongoing overtime because he will buy at the dip, when the price is high and at price consolidation. Lump sum is good when you mix it with your regular DCA buying, or when an investor bitcoin size has reached a certain level. Imagine a new investor who lump sum at 73k because of the hype from the approval of bitcoin ETF, since that time till date his bitcoin portfolio value is still low compared to when he bought.

Every strategy is well suitable for every beginners, so I wouldn't discriminate beginners in terms of utilizing the strategy, perhaps I think your advice should be that if beginners does not have an additional plan or having a good source of income that would easily backed them up if they Lump sum they should not go into it but if they have there is nothing wrong in adding more fraction to there investment portfolio while DCA is still there major target, we shouldn't feel or have the mindset that all the beginners are not financially stable because on the contrary there are so many rich people who chose to diversify there funds into Bitcoin so perhaps as they are doing there DCA whenever any opportunity come out for them to Lump sum they would always buy more.

There is nothing absolutely wrong if a newbie could make mistakes in his or her  accumulation process, what is most important is how he or she was able to handle it by learning from the mistakes.

The narrative of first gaining enough awareness or knowledge about Bitcoin before getting started has been overly emphasis as not a major criteria for anyone before coming into terms with Bitcoin investment, the basic knowledge is what is most important, get the fucking started and figure out other things on your way up, in a nutshell i will love to say that experience is the best teacher hence, you can't gain this experience just sitting around the corner.

Apart from what you said, there is also another thing that a beginner needs to pay attention to and that is about the knowledge of what he is collecting and when he already knows that what he is collecting is the best asset of all time like Bitcoin, of course he will also know how to manage his time to continue to accumulate by collecting as much Bitcoin as he can. This means that in terms of investing in Bitcoin and also with the aim of continuing to collect Bitcoin, anyone does not need to waste more time looking at how the price chart is in the market except just to see and know about how the trend will occur in the market in the future.

I don't think that is a good idea for newbies, if a newbie is investing for long term, looking at the market will not do him any good, what he she should be concern about is accumulating enough Bitcoin and not watching the market, except the newbie is into trading which is a wrong way for a newbie to go.
As a newbie investing in Bitcoin and then always watching the market will only delay your accumulation journey for example if you are a newbie and you just started a Bitcoin investment and before you no it there's a dip it may stop you from accumulating more or reduce the percentage you are putting into Bitcoin.
I think what a newbie should be more concern about is accumulating.

I bet you didn't read his statement with an open mind rather than trying to paint him as a bad egg for pointing out the approach he has used that has worked well for him. Mind you that while we've always emphasis the need to HODL for a longer period of time it is because of the effect it will have on how much Bitcoin we would have stacked if we DCA for the said period of time. It's not as though every investor must follow that pattern. And note that it's not just about how long you invest but more of how much you invest. We are all different and can choose to make use of whatever approach we dim comfortable with and if it's working well for us, thier isn't a single negative energy with sharing such information so we get to learn from it.

He's rightly pointed out the importance of holding Bitcoin for the long run and maybe by reason of his financial capabilities, he's able to combine building a portfolio by the use of the DCA methord and was able to afford selling at certain instances which might have worked well for him. For the rest of us that don't have the financial means of trying a multiple of those kind of strategy out, that's obviously not working out well for us but You can't dispute the fact that we are not dealing with an ideal case here where Everything we've planned on doing will go out as smoothly as we expect. There are individuals that plans HODling straight up for the long run but ended up selling part of thier holding at certain point in time. It's good to talk as people that aren't robots but that are actually doing what we are saying on this thread. I believe that Newbies that joins the thread will even enjoy reading people's experience which will guide them to make a better decision.

Why spreading bad energy in a thread that’s dedicated to buying and holding bitcoin for long. If you don’t believe in buying and holding bitcoin for long, then what the hell are you doing here my friend. I Think it will be best you stay clear off the thread and go to other threads where people like you are. I find your statement problematic and misleading to the audience of this thread and newbies who believes in holding bitcoin for long. I don’t fucking care about the few bucks you think you might be making at present that’s making you think you are doing the right thing and discrediting holding bitcoin for long. But don’t come here and say things of this nature in a major thread like this, that’s mostly dedicated to long term hold.

I will say it is the best method to use for many reasons. The DCA gives you the opportunity to get your bitcoin stash at different prices. It gives room for all investors to invest according to their financial capacity. The DCA method doesn't discriminate between poor and rich investors, it gives room for for everyone to invest. If there is a down trend in the market, the DCA helps our portfolio not to be heavily impacted. After considering these benefits, I can tell you that the DCA method is actually the best method to use while starting your bitcoin investment journey. Another thing I have to tell you is that you have to be consistent with it in order to see results. Don't just DCA when the market is green. You have to do it at all market conditions, be it green or red. This is the only way to see the full benefits of DCA on the long run.

I disagree on this, though you are right that his friend is not a long-term investor but he's also certainly not a scalper. If you read the definition of scalping, you will understand this well, and I've never heard of scalping in investing but in trading.

What the guy engages in is not totally condemnable, as the practice, if used well will deliver massive success into his account. I don't buy the idea of keeping my Bitcoin for so long again, I invest and divest at the right time to maximize my profits. I've two portions of Bitcoin investment, I HODL some since 2022 and I started investing and divesting the other part regularly since last year. I tell you, the one I regularly invest and divest has grown so much more than the one I HODL.

It's practical, but one thing the guy's friend is doing wrongly is not knowing the reason why he divested but just acting emotionally.