I think that it's harder to keep bitcoin than it is to get it. If the user has it down in his mind and is convinced that BTC is here to stay its easier to hold on to and accumulate more of. Someone who doesn't have a high pain tolerance or risk tolerance will not do well with crypto in general lol. BTC accumulation no matter how big or how small is always a great thing.
Topic: Wrong way to accumulate. - page 6. (Read 812 times)
There's nothing wrong if someone convert all of his money into Bitcoin as long as he believe in Bitcoin and don't trust with any other currency. Even he's need a money to buy something, he just need to sell some of his Bitcoin and withdraw fiat, Bitcoin is a currency and high liquidity, no need to worry.
I believe there is something wrong with that, BTC is not yet accepted everywhere as a currency and method of payment, if that was the case and people could spend their BTC's on the go everytime, then there wouldn't be anything wrong holding only BTC for those who choose to. But it is surely inconveniencing to have to convert your funds from BTC to fiat everytime you want to spend, adding the tx fees makes it even more difficult to do.You should surely hold some of your money in your local fiat currency for spending, and also have BTC in a hot wallet for spending on the go, that is if you live in a country where you can buy a few things with BTC, the rest of your BTC's should either be in a hardware wallet or airgapped wallet.
What are your own thoughts on wrong ways you think people follow in bitcoin accumulation.
There are plenty ways one acquire bitcoin in a wrong ways. By scamming others, borrowing money to buy bitcoin and planning to pay it in a short time is also wrong. These are some the wrong ways I call recall for now. Bitcoin is not get quick investment so long term investment is the best way to go about it. Accumulating bitcoin at the right time is a good thing but the investors should invest it with a long term. 
Accumulation can't be wrong way, because even if you accumulate wrong way, you are still gaining something. In my opinion, it is better to accumulate wrong way than to spend correctly.
The processes of stress and pressure on themselves when investing in bitcoin are peculiar only to beginners. Experienced investors don't accumulate wrong way, as you put it. With experience comes a sense of calm, which avoids the discomfort and anxiety, which allow not to invest more than what an experienced investor can afford to lose. In general, an experienced investor will do everything to avoid losses and think through his actions carefully.
The processes of stress and pressure on themselves when investing in bitcoin are peculiar only to beginners. Experienced investors don't accumulate wrong way, as you put it. With experience comes a sense of calm, which avoids the discomfort and anxiety, which allow not to invest more than what an experienced investor can afford to lose. In general, an experienced investor will do everything to avoid losses and think through his actions carefully.
There's nothing wrong if someone convert all of his money into Bitcoin as long as he believe in Bitcoin and don't trust with any other currency. Even he's need a money to buy something, he just need to sell some of his Bitcoin and withdraw fiat, Bitcoin is a currency and high liquidity, no need to worry.
How can someone don't want to spend 1-20% of his earning to buy food? if you not eat you will die.
How can someone don't want to spend 1-20% of his earning to buy food? if you not eat you will die.
What are your own thoughts on wrong ways you think people follow in bitcoin accumulation.
They are too imposing but never how other needs and demands, see how the cash flow that is obtained every month should not be entirely for bitcoin at least 20% can be put into bitcoin accumulation.Actually there is nothing wrong with the accumulation of bitcoin I think it is good than nothing, but does it become pressure to become stressed because too much is spent on accumulation? For me it's the wrong way we never force to invest in bitcoin unless we are ready for the risks it faces, for me accumulation is good it just has to be in accordance with other needs so that it can be balanced.
Personally, I think investors are just those who think long term and they all follow some kind of simple formula that doesn't think of Bitcoin any differently than all the other assets they may have in their portfolio.
That's the mistake most people make. They see Bitcoin as special, like it can go 10x normally just because of past growth. And you never presume in investment.
Now you should not expect such a big growth from bitcoin, or rather, growth will be expected, but it most likely will not reach such high levels as it was before. The reason is simple, the more expensive bitcoin becomes, the more money it needs in order to double. I don’t expect anything supernatural from bitcoin, x3-x5 I think it will be quite within reach in this bull market. That's the mistake most people make. They see Bitcoin as special, like it can go 10x normally just because of past growth. And you never presume in investment.
Personally, I think investors are just those who think long term and they all follow some kind of simple formula that doesn't think of Bitcoin any differently than all the other assets they may have in their portfolio.
That's the mistake most people make. They see Bitcoin as special, like it can go 10x normally just because of past growth. And you never presume in investment.
That's the mistake most people make. They see Bitcoin as special, like it can go 10x normally just because of past growth. And you never presume in investment.
The most popular way of doing it is Dollar Cost averaging or DCA. Basically, buy some BTC every time the price dips. Doing this in the bear market is obviously stressful so you gotta doing it while the bear market is over and has calm down already.
If you are a trader you already know how to check it on a weekly scale where to bottom is somehow calmer and we are about to jump up. This is the time when an investor planning to DCA makes a huge profit.
The present market is identical to the 2015 market movement, Let's not forget that the dump of 2020 hit that hard because of a COVID-19 virus outbreak, it's better to keep DCA whenever you have the spare money, and if a new dump happens it's still all good.
Many people will lose the buying opportunity because they want a certain big dump, like $10,000 a Bitcoin, I am not saying this is impossible but the chances are very slim already.
What are your own thoughts on wrong ways you think people follow in bitcoin accumulation.
Trading is another thing that can be a bad strategy towards bitcoin accumulation. Some newbies that lacks the understanding on how to accumulate bitcoin will think that it is possible through trading without them having the fundamental analysis,technical analysis and risk management. They will end up losing their bitcoin through trading and this will make them weak and demoralized to achieve their targeted amount to accumulate. This doesn't apply to only newbies,even professional traders also loss during trading. In trading one losses more than making profit. I will call it greed because instead of hodling for long, you want to double your coins and you end up losing it.
Basically almost every bitcoiner is in for accumulation committing certain amount of investment with a timeline to it. It could be for short term or long term plan.
I'm not sure if this part is true. Not everyone in the Bitcoin community is a conscious investor and many don't have any strategy at all. There's also a large group that would just "hodl" indefinitely without trying to time the market by buying/selling in the right time. Those don't have any st timelines that you mentioned.
For it's healthy when people set an accumulation target in accordance to their financial strength,
What do you mean by "accumulation target" here exactly? A target set a X amount of bitcoins is a flawed strategy as you can't predict the price, so your initial target could turn unachievable (if the price goes sharply up) or insufficient (if the price takes a nose dive).
Setting up a target as a percent of your total portfolio is also not ideal. If you stick to it, you could end up selling in the wrong time (just to rebalance your portfolio) and miss out on potential gains.
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They probably have idea about DCA after experience in the market a few months or years. Sometimes they do DCA without idea about this method, just buy more when they smell chances.
It is better than just seeing when the opportunity is very good and can provide accumulated profits and increase assets more and more. They probably have idea about DCA after experience in the market a few months or years. Sometimes they do DCA without idea about this method, just buy more when they smell chances.
Knowledge of DCA should be known not long after trading if indeed they are active in trading.
Nowadays, gaining trading knowledge is quite easy and there are many contents that can be learned.
I also often do DCA on Bitcoin until now because I take advantage of the moment every 4 years, namely Halving in 2024.
Continue to buy and hold it is the current Bitcoin recommendation.
In addition, doing financial management will help manage every money that will be used, so it is clear where the money will go.
You also risk investing beyond what you can afford to lose which is not what any wise bitcoin investor would do. Bitcoin accumulation is not supposed to be a stressing and self-pressured process but some persons doing it in that way thinking they had arrived late to bitcoin and have to meet up, but that's all a fallacy. With bitcoin you're never late, you only arrived at your right time.
What are your own thoughts on wrong ways you think people follow in bitcoin accumulation.
I think the wrong way of accumulating bitcoins is when new investors put in all their money at once because they think they price will move very quickly in their favor. Every investor should be realistic with themselves, and in the current market phase the time of making large short term gains are over. There are big risk in making only one big purchase and if the short term gains are not coming the investors can feel disappointed and leave the crypto world again. For me the best approach is DCA, buy a fixed amount every month with money that you don't need and would save anyways.
You also risk investing beyond what you can afford to lose which is not what any wise bitcoin investor would do. Bitcoin accumulation is not supposed to be a stressing and self-pressured process but some persons doing it in that way thinking they had arrived late to bitcoin and have to meet up, but that's all a fallacy. With bitcoin you're never late, you only arrived at your right time.
Lucky for me, I am not that kind of person that is hastily investing in Bitcoin, whereas others are in a race to see how much they can accumulate until halving, but I don't see a reason why. It is because they have more extra money that they accumulate more. They are just comparing their profits? I don't see benefits in it, and you are right, you go broke with this kind of mindset. That is why you always buy when you can just afford it, like if your salary is not enough this month, then buy next month. Don't stress yourself out by pushing yourself to buy even if you need to cut your needs because of your investment.
The most popular way of doing it is Dollar Cost averaging or DCA. Basically, buy some BTC every time the price dips. Doing this in the bear market is obviously stressful so you gotta doing it while the bear market is over and has calm down already.
I think it is depend on each person because some people didn't have any experience in investment so what they know only invest their money and hope they can get profit, for people like this, DCA is the most appropriate way to accumulate BTC and the worst way is do lump sum buying at the peak of bullish market trend.
Well, in general it is worse than DCA but it also depends on how much you are going to hold what you buy. Someone who bought at the 2013 peak at $230 would lose money when the price dropped within a couple of months if they panicked and sold, but if they knew how to hold and didn't sell until the price was at $23K this cycle they made a lot of money, multiplying the initial investment by 100.
It is very difficult to hit highs and lows, but what has proven extremely profitable in Bitcoin is to hold for long periods, say a couple of cycles.
Unpredictable with some investor when accumulate bitcoin or other cryptocurrency assets, many of them have urgent needed and first planning with long term investment have cut off as short investment. For single its easy manage with urgent needed but when having family many unpredictable needed have to buy and selling assets investment is an option we have. I am so disappointed when becoming single person not accumulate bitcoin and altcoin as much possible and right now with much salary receiving from working still can't spent more than 50% for saving or accumulate in cryptocurrency.
Suggest for single person invest as much possible in cryptocurrency with long term planning, you can't have the same planning in the future when having family.
Suggest for single person invest as much possible in cryptocurrency with long term planning, you can't have the same planning in the future when having family.
Yeah, some people just think they can put everything (all the money) they have into Bitcoin because they feel they can just take it back any time they want, or probably because they see that someone has invested a huge amount into Bitcoin, and without realising that even that person might have actually left some funds uninvested (in fiat) because of their personal needs, they themselves will just invest all their money without any reserve for some need. The healthy way to invest in Bitcoin or other investments is to only allocate a planned budgeted amount that will not get them pressured when the market falls beyond what they have bought.
Whenever I observe such kind of people what comes in my mind is that these are the people that didn't take time at all to study about bitcoin technology and risk management technique in investment. They're only occupied with the mentality of making profits through the currency BTC, and they think that by excessive accumulation they can easily make profit in no time.Wether you want to accumulate or DCA you must do it under a well planned budget that it doesn't affect your physical cash (fiat) spending strength on responsibilities and financial challenges that may arises in the future. By so doing you can seamlessly give your BTC investment a lot of time as it may require to yield good returns but some persons fail to grasp this tenet.
What are your own thoughts on wrong ways you think people follow in bitcoin accumulation.
Don't compare yourself to others when investing. Your money belongs only to you. Just as you cannot be a partner in the profits of others, others are not partners in your profit or loss. Calm your mind and invest. Take responsibility for everything you do. Get rid of the thoughts like what price did others buy bitcoin, is the price I bought high?
Everyone has their own budget. We all invest with our own budget and try to increase our capital and make a profit. While doing this, we need to have knowledge about the market.
Another important issue is to consider all risks and to determine in advance the measures we will take against the risk of loss. In this way, we can get out of many difficult situations.
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You also risk investing beyond what you can afford to lose which is not what any wise bitcoin investor would do. Bitcoin accumulation is not supposed to be a stressing and self-pressured process but some persons doing it in that way thinking they had arrived late to bitcoin and have to meet up, but that's all a fallacy. With bitcoin you're never late, you only arrived at your right time.
Investing what can't afford to lose isn't investing. It's basically financial gambling and poor risk management.
The only wrong way to accumulate Bitcoin is this. You gather some BTC, the price crashes, you panic and you sell. Then you start gathering BTC again, the BTC price crashes again, you panic and you sell again. And so on... If you don't get caught in panic selling, then all the ways to accumulate BTC are right.
You are wrong about not arriving late to the Bitcoin market. I wish would have invested in Bitcoin back in 2012. I will always have the feeling that I arrived late at the Bitcoin party.
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