Topic: Does the DCA strategy inspire newbies to invest? - page 2. (Read 1568 times)

What I know about the DCA method seems a little different from what you are saying. I agree with you that the DCA method can be started at any time provided the capital is read as it is an ongoing investment strategy. I defer with you on the aspect that the DCA method will not be profitable on a bullish market because it can be profitable in any market condition provided the plan is the hold those coins for a long period of time. I also know that the DCA method does not care so much about the price so any time is fine and any price is a fair price for the DCA method.

DCA method can be started at anytime when a person is ready, it's your money and you have the freedom to start at anytime, it is the beauty of decentralization, the decision solely depends on you. But I can agree that there is a best time to start the DCA journey and that is during bear run when price has dumped so that your money can get you more value of Bitcoin, as price starts to increase so will the value of your Bitcoin will also be increasing. Unlike starting DCA method in this bull run when we are constantly seeing new ATH, it will not be profitable for a new investor to start now because anytime bear run will start and price will start to dip, which will depreciate the value of Bitcoin..

As you may think, DCA is popular for its affordable price, but it is completely wrong. DCA does not allow you to wait for the investment money to be deposited. You can call DCA buying Bitcoins continuously with a part of your income. If you decide to do monthly DCA, then you can buy regularly every month without any delay. There is no specific amount of investment in DCA, you will have the opportunity to buy small or large amounts depending on your income.

Investing in DCA does not mean that you can take profits at regular intervals. As is the basic rule of investing, you need to plan for the long term. DCA will not give you any advantage in terms of taking profits. You are trying to be a trader here. Of course, you need to learn to think like an investor. To make your investment successful, you must plan to hold it for 5-12 years or more. I would advise you to focus on buying rather than selling investments.

DCA doesn't only inspire newbies but everyone in the industry is inspired by DCA investment. Aside from its affordable, it is also more durable and bring about comfortability in investment. It allows you manage your risks and take profits at good intervals. It also helps you keep your mind up and eye on the goal. The benefits of DCA cannot be overstated hence the reason it will be more encouraged than the other forms of investment

Or whenever you have some money, you'll consistently invest it to Bitcoin or any other assets you think. But since we're discussing this with Bitcoin, you'd buy that whenever you are ready.

It can also be no specified time for you to buy. And that's what DCA is, with or without specific time as long as you'll do that for you to accumulate more BTC, that's what DCA is.

We've been doing that and you'll sell whenever you want to as long as you're in profit. Like what most of the sellers did right now, they have DCAd for so long and how many years until the $100k/BTC came for them to sell.

In this case, the price at which you start DCA is very important. And if you decide to start accumulating Bitcoins at the current price using the DCA method, then you will not need to be surprised that the price may decrease and your investment will have a negative balance.

DCA strategy is a strategy for accumulating Bitcoin that is very unique in it's way and functionality, it entails buying Bitcoin in fraction with as little as you can since anyone can come in to Bitcoin with their own level of finance, the DCA strategy talks about buying Bitcoin Bit by bit either weekly or monthly irrespective of the price points on different intervals, it is much efficient and effective if it is carried out consistently since it takes fewer and fewer of Bitcoin to realize up to a reasonable amount over a long term. The DCA strategy mitigates the risk of market volatility by making purchase on different price points, it also allows investors to make investment decisions without a pressure since you are only expected to buy within your discretional income. The functions of the DCA strategy is numerous but just few to mention.

Agree with your opinion. This is also my understanding, please correct me if you think I'm wrong. When he said loss with DCA when the market goes up, you don't really lose, you just gain less than investing all at once. Likewise when the market goes down, you lose less than investing all at once. So, overall, DCA serves as a safety net to minimize losses, while limiting profits. The DCA method is more like value investing.

So it's true as you said, investing in bitcoin using the dca method is actually never too late. Even if you look at the analysis of several bitcoin observers also say that bitcoin will continue to rise until next year, so it's never too late. Analysis is not always right but can be taken to match your own research results before making your own decisions.

DCA mean Dollar cost averaging. It is one of the popular strategy for risk management.
Before anything else I would like to give you example-

Like you want to invest in bitcoin and here you are doing a regular investment in a certain time like per week or the per months. Now if you want to invest on bitcoin 10$ per week for the three years then this is how you will get the profit just check this site- https://dcabtc.com/

Buying at one time with all money you have, is not easy for all investors. Because you will have to be very sure and confident that entry is good or even perfect for your purchase and chance to get profit in future.

It's not about your capital is small or big with that one-time purchase, it's about risk and possible profit you can get from that entry. With DCA strategy, no more importance of a perfect entry, because your entry price will be averaged with many entries at different time and prices. With this strategy, there will be no pressure to break your bank account and use all of its balance for a Bitcoin purchase. Less risk of entry with bad price, and less risk of empty hands for emergency after your Bitcoin purchase.

DCA is a good strategy method you can use to accumulate BTC during the bear run for you to be able to earn some reasonable profits from long term, and the strategy method is made for any investors to use to earn profit from their investment . If the newbie have the knowledge of DCA strategy method,  he or she can make use of the strategy method to accumulate BTC for long hodling before he or she can sell when the bull run occur in the market to earn profit that will give he or she another opportunity.

The outcome when you follow the DCA strategy method to accumulate BTC, it will allow you to wait for the right time to come before you can experience plenty of profits from your BTC investment, and you will like to be using the DCA strategy method whenever you have the money to buy BTC.

I was wondering why the OP is asking this question because if there was to be any strategy out there that should be inspiring to all types of investors and not just the newbies, it has to be the DCA strategy as it gives you an opportunity to buy without having to break your bank.

The one time buying will not be comfortable with many people as they mightn't be ready for that type of risk but DCA gives you control to invest the amount that you want and when you want to.

I don't want to go on adding some benefits of DCA but for those readying this if DCA hasn't inspired you yet then you don't understand what DCA is & how to do it in a way that it won't affect your current finance.

You can start with the least 10% of what you're ending weekly or monthly to invest in Bitcoin and best when you automate the process but remember keeping your Bitcoin in a self custody wallet and not leaving them on the exchanges.

Yes, there are quite a few long-term BTC investors who always use the DCA method and in my opinion that is a good step, but of course everyone has many ways to invest in BTC, there are ways to buy BTC only when there is a price drop or if I'm not mistaken, it's often called Average down, but of course there is also what is called the DCA system and the DCA system certainly doesn't look at the price of whether BTC is rising in price or not, but what is clear is that this DCA system buys BTC according to our ability, either once a week or once a month. but of course, in my opinion, you still have to have money that is ready to be lost that is worth using to buy BTC because of course, no matter what, investing in BTC will still contain risks.

Personally, in my opinion, it is good for beginners to use the DCA system if they want to invest for the long term because of course, according to my experience, the DCA system is still the safest and I like it because fundamentally we will not be disturbed because we only focus on collecting the amount of BTC and saving it for the long term. long. and that's my opinion, of course You will definitely get a satisfactory answer from our friends here.

and what is certain is that if we do DCA we will certainly have the potential to make big profits because the price of BTC always goes up from time to time.

For those that are looking for long term bitcoin accumulation process, DCA is the best strategy for them considering the fact that bitcoin investment have alot of learning process so as a newbie in bitcoin, one need a lot of knowledge of the market and the ecosystem around bitcoin, and since DCA give one the slow accumulation mechanism this will give newbies the time and opportunity to learn along the way as their invest a portion of their money and following the line up.


So for sure DCA is most appropriate for all both newbies and old bitcoin investors who lack the big cash flows to buy bitcoin in bulks and want to accumulate for long term.

When you saying buying Bitcoin when the price is high isn’t a wise choice and then, you come to say that, you don’t have to wait either; isn’t that a bit contradictory?
How do you not buy at a high price and still shouldn’t wait for price to dump?
You can’t eat your cake and still have it mate. Bitcoin have got the most guarantee it could get and that’s is in the fact that, though it might dump at some point, it’s sure to pump right back. That’s the guarantee and what makes you yo benefit from that is your plans towards your hodling. You’ve got to have a plan that extends through the various seasons Bitcoin does circle through.

I also think that it will be better to not start any kind of investment right now even if they are for long-term they can wait for the next bear-season.
Even then the DCA scheme was always good for the risk management but it has to be long-term I mean for this the investor need to be a bitcoin holder and it is not only just for one halving cycle maybe to reach his goal it will take some few halving cycles.
Even then few days ago I was thinking about to start again my DCA scheme but I take break after seeing the market position because it is better to  observe the market from investing right now if the market goes up then good and if it dump then it will be also good for make an investment on dip.

I agree with this. Starting your DCA journey when the price is so high isn't a wise move and someone should now wait for Bitcoin or the market to get back to the bear market and then they should start buying so that they can get higher returns. Buying now might generate some profits but there is no guarantee since the market can crash at any point.

Not only does the DCA strategy inspire new investments. This is a good strategy for all types of investors. Investing using DCA strategy can reduce the risk a lot and always invest according to one's ability. In this case those who are financially weak can also make some investments. DCA strategy is always able to give very good results. But if one wants to invest together, as there is a lot of risk involved, DCA also has a higher profit potential. So since crypto is very volatile it is always safe to invest according to DCA

If you are cool with waiting at the ball park for bitcoin to dip to your expected price during the bear season before you invest, that's good for you as a no coiner. Anyone that doesn't have any bitcoin shouldn't be waiting for the bear market before buying. If you have the money to buy and continue with your DCA, you should start right away. Don't see bitcoin as a get rich quick scheme or think about profits before investing, if not you will be short sighted to see the power law of bitcoin.

See bitcoin as your bank, where you save your extra funds in for long so that inflation will not eat up the value of you hard earned money in future while you are piling it up in the bank. Maybe, this will encourage you to start your DCA immediately, irrespective of the price of bitcoin. Profit is an additional advantage for investing and hodli for long.

I don't believe in blind investment. To start DCA now is late from where market and price has reached. If it was earlier then to continue now won't be a bad idea because of the profit already gathered. In the beginning of the year, btc was around $42,500 and it is now touched $100,000 which is about $57,500 profit on a coin and that is a good profit for those that started that time. So I believe to wait to begin a new DCA investment is better than to join now.

Except you are expecting the price of btc to get to $200,000 this season before the next bear.