Topic: DCA'ing isnt a bad strategy - page 5. (Read 627 times)

DCA is a very good strategy and it is no doubt because with this we can set targets regularly and not be too impulsive in determining purchases because we already have a reference by looking at the income we receive and the expenses that must be made for Investment.
This is a conventional method but very good to do, I also still do this especially when bitcoin is like today in terms of price because with this DCA it will be very possible for us to add to the portopolio we have but not too burdened with purchases made.

DCA does literally mean that investors are going to make more smallish profits because everything depends on
1. The weekly or monthly income of the investors
2. The time span the investor plans to hold the investment and the season the investment was made.


It has to do constant investment of a percent or fixed amount split from your income and still perform well with other financial expense

This is not for everyone. It is mostly used by wealthy people or people who invested in the market for the short term.

I personally like DCA strategy for those who know little to nothing about trading but want to invest. No need for the signals following a dump if one is truely invested in the idea of DCAing. Just accumulate irrespective of the market season you find yourself in. Maintain a reputable wallet and adhere to security tips and protocols.
After the elapsed DCA time, I believe that any other knowledge required on how to reinvest or liquidate the funds will become more clearer.

Crypto investment is always risky either direct investment or DCA strategy. But investment strategy depends on the situation, in different circumstances, investment strategy must need to change in real time. For when when find a sudden big dump, I like to capitalize it. Because its pretty sure we have seen recovery after every big dump. Sometimes it doesn't work perfectly hence crypto investment is always risky. But if I don't invest my full portfolio and continue dump instead of recovery then I apply the DCA strategy. That's the reason we have to make real-time decision.

Actually this would really be actually be depending on how much money you do really have.Even if you do say that lump sum or going all in type kind of approach when it comes to your position then this is something that would really be that according into your financial capability even if you do say that dca is best but on the time that you do have  that big amount of money on which you could really make that one time kind of entry
specially if you do believe that it is already that the bottom price then you would really be definitely having that kind of insight that you should really make at least that a bigger put up or entry amount on which you would be having that assumption that this is the sweetest spot but its true that on the time that you would really be having that kind of strategy then DCA would be always the best but we know that not everyone could really be having that funds anytime whenever the market would be making out some dumps on which if it do keeps on going down or having that price decrease then not all the moments you would be having the funds on doing such accumulation from time to time and this is why it would really be varying on this kind of point on which does means that it do depends on your financial capability in the first place.

Lump sum also gives you a bigger chance of making a lot of losses. You can buy and the price will start dropping which means you are making losses. It could also work that immediately you buy, the price will start rising. But you rarely lose in bitcoin except if you have a short-term plan or you panic sell. But you nailed it mate, DCA remains the best strategy because it is more convenient and spreads risks. You are not under any form of pressure because you are buying based on your capacity and timing.

I might consider the lump sum strategy if I have a huge amount that I have planned to invest at a certain time. But for now, DCA is my best option because my income comes in small sums periodically. It is easier to budget some part of my earnings to buy Bitcoin every week or month. DCA is the best for salary earners while lump sum might be suitable for businessmen who make huge profits at once.

You are right, but as far as I know the time period of holding the BTC which are accumulated by doing DCA is longer then 1 or 2 years. i have seen people doing DCA whole year or maybe more then 2 years who know for how many years. But all that matters for them is to get more satoshi. So from them and from my own experience I can say for sure that DCA is the best thing if you wanted to do holding for like 2 or 3 halving. But if you are looking for instant profits in lesser time then Lump Sum is the only thing we should prefer because it could provide better results than DCA if we are talking about shorter timespan.

DCA is really not a bad thing instead it help one to become puntial about his or her money. For example if you have a earning of 100$ weekly which I know is lessee but lets just imagine then after spending the money on your required things you left with $400 and from those $400 you started to invest $200 weekly in BTC by doing DCA and you planned to do it till you have steady job making you $100 weekly. But let's say if any dips comes or any emergency came and you need instant money to cover them up. And at that moment you will realize the importance of not investing the whole $400 all at once because you still has $200 in your holdings in the form of fiat.

DCA is for those who have bigger plans while buying at dips, or doing Lump Sum does not meant that it will generate you high results in short time period too because proper analysis is also necassary. And if the path to success is as easy as it seems then almost everyone try to accumulate BTC more and more

It's not secret, I mean if you will hear others advise this strategy for many years, even those who have been in bitcoin for so many years. Perhaps it's how you manage risk, and you can start as little and then you can ramp it up as long as you have a good to decent capital.

Specially in the condition that we right now, specially in the bear market, you can used it and then steadily accumulate bitcoin overtime without you noticing it. I mean you have to used this method overtime to really take advantage of it.

DCA is still run weekly or monthly this must be consistent while prices are still low or even prices rise slightly you can still do it.

No one says that the DCA strategy is bad, but for those who say it is not planning with certainty, even if someone does this for years then he can accumulate more bitcoins than buying at once it will burden you financially but with DCA with a small dollar cost input it is certain to continue to accumulate over time.

From the price of $40K to the current price still with the DCA method I can see the average price purchased with DCA.

It's indeed the best way to invest money especially if you want to lowkey invest without worrying of the money you staked, since other techniques probably needs time and knowledge for you to gain profit like checking everyday the market's behavior, trends, hypes and news. I think "Dollar-Cost Averaging" is actually effective especially for starters and it's not consuming on your money as you all you need to do is to follow a certain schedule/money when to invest. Cause other's prefers to invest in a huge amount of money which I think it's really risky you can be a big-time millionaire or in debt so if you want to play safe in crypto maybe DCAing is the best techniques for you. It might take slow but in few years you might be to the moon.

Dollar-cost averaging was never a "bad" strategy. It's just that people frequently foil their plans when it's the case that the price moves greatly in a certain direction(panic sell or not following the scheduled buys when price drops, or not following the scheduled buys when price increases).

And ultimately, DCAing is a sort of 'boring' strategy, so people tend to get restless.

DCA encourages you to continue to invest regardless of the amount of money you start investing with. DCA discourages investing once and not continuing.

If the money you can afford to spare to invest in bitcoins the very first time is huge, DCA encourages you to continue investing even after that first huge investment.

DCA is not only for small amounts, that is a limited way to think of the strategy. DCA is not only for the not so financially strong, it is also for the rich.

Not bad? It is probably the best strategy any person can use and make money. It takes no brains to follow a strategy like that, completely fool-proof. Other strategies needs you to have knowledge and luck. You need to know how to analyze charts and follow the news and still you can make mistakes here and there. DCA on the other hand, it is just so easy. You buy $xx of btc every week or month and that's it, sooner or later you'll come out on top and make yuuge moni. Almost everybody except the dudes who bought it at ~$30k+ made money that way.

As far as I know DCA is to determine how much money to invest, then make a time period/schedule to make purchases with the same number of purchases up to the total investment target amount.

And this is very effective for investors who have long-term plans, whether they have big profits or not, this depends on how long you hold Bitcoin and the cycle you enter the market, this will determine how big or small the profits are.
If you enter at the beginning of Q4 at the end of 2022, and make the investment period until March, surely you will get a sizable profit in June and July.

You are right about lesser profits, but that applies only when you are trading. Because in trading, we should avoid DCA instead, lump sum is better. While holding, we should definitely follow DCA. As DCA will increase the chances of buying at dips. As you had not inserted your whole money in the market, after 1 or 4 buys you still have some funds, and if the market dips unexpectedly, at least you will have the opportunity to buy at a low. Means you could get more satoshi.

Actually, at DCA, we have the opportunity to buy more BTC. And keep one thing in mind that. DCA is for holders not for traders.
I am doing DCA and weekly. And will wait for the next ATH which might come in 2025.

Does it need to say, dude . In my personal opinion, I think DCA strategy is the best for most of the person.
If you divide investors into different categories, then there will be less category of professional traders who know more about technical analysis. And there are few people who can hold a lot of funds at once for investment. Here is my real point. Now if they are going to invest, one of the best ways for them is to make investments through dollar cost averaging. I think if someone invests in Bitcoin like this for five years or with some strategy like that than keeping money in the bank, then I think he can earn more profit from this investment than the APR he will get in the bank.
I myself have taken a study to invest an amount of Bitcoin weekly or monthly for five years or more than that time.

If you can see that using DCA as the best techniques in buying bitcoin and accumulating it as enough as you could afford just to help reduce lost, then know that this same DCA could present you with the best opportunity for making the desired profits you aimed at only if you give your investment time to mature before releasing it.


It could also means buying little by little over time and accumulating in other to avoid high lost over a short period of time if the market dips after you invested, it also could renders you more opportunities in buying more subsequent dips the more the market dumps to increase your chances for high profitabilities.

People are trying to figure out the best way to invest in cryptocurrency because it can be very unpredictable. If you're an investor looking to reduce your risk, you might consider a strategy called dollar-cost averaging (DCA). However, using this strategy means you're less likely to make really big profits.

Dollar-cost averaging means putting the same amount of money into an investment over time. It's nice because it makes investors feel more comfortable. By spreading out your Bitcoin purchases over time, you're either buying when it's doing well, or you're getting it at a lower price compared to your first purchase, which is a good thing.

Some people prefer to invest a large lump sum all at once because you might end up with more Bitcoin quickly. But there's also a chance you'll end up with less. To decide between these two methods, you need to think about the risk involved.

If you want a bigger chance of making a lot of money, go for the lump sum. If you want to slowly accumulate Bitcoin with the least risk (even if it means having less Bitcoin in the end), then DCA is better. For most regular people who just want to accumulate Bitcoin, DCA is a good choice because it helps you get a decent amount of Bitcoin based on the money you have to invest.

What is your opinion?
And and which method do you prefer to be used in this present market conditions?