I was asked exactly this question by my next door neighbor, that know I am into crypto as we hang out from time to time and since he is IT guy, that topic eventually popped up.
Since he has regular income and decent salary but not much money saved as he had some big expenses recently, I suggested him to start buying bitcoin using dollar cost average method, investing basically as much as he can afford without cutting something important. In the end he decided to invest like 100 euro on the bi-weekly basis. Worst of all, we had exactly the same convo like year and half ago when I told him to start slowly using DCA method, but many like him though that it's too late now (back then BTC was around $10k).
Haha. I think this is the most frequently asked question for us. I am in crypto since 2013. But most of the time I didn't HOLD my coins. I regret this. I don't know what is Dollar-cost average method is. But, As I mentioned before, I do this to buy BTC,
Well, here are the tricks that I've followed. If you want to buy $100 worth of BTC. Wait for a deep. If you see a dip, don't go all in. You can buy $30 worth of BTC. If it pumps, waits for a correction. If it deeps further buy more than $30 worth of BTC. Repeat the same process as long as you want to buy.
Here are another Tips, never sell in the loss. Suppose you bought some BTC on its All-time high. Don't panic and don't sell until it makes another All-time high.
Usually, I follow these steps. Don't go all in. Neither for cash out. Suppose you bought BTC at $50K. BTC hit its another all-time high of $80K Don't sell 100% of your portfolio to gain as much profit as possible. Who knows? It could hit another all-time high. Always buy partial amount, and sell partial amount. Never go for all in.
Here, $100 is just an example number. I am mining ETH With my 180 Mhs tiny rigs and turning it into BTC every week. IDK How long I will do this. But I follow a few quotes by others like "Never sell on loss. HODL until your coin makes a profit" Another is, "Sell when everyone buying on peak, And Buy when everyone selling on Dip" My friends are always curious about WTF I am doing with Bitcoin. They just know that Bitcoin is a cryptocurrency that can be used for gambling. that's it. my country doesn't support crypto payment yet. So, I frequently was asked that question.