Bitcoin Forum

ok, I know for a fact that I am not the only one, but Im having an issue with it. I discovered several months ago, that I had a personal liquidity issue. My income is decent, but have little to no liquid savings. If I save a few hundred bucks, by the end of the month, it has gone into bitcoin. The ideal picture is to have an emergency cash savings and to have some dry powder on the sides to buy the dips or DCA into my bags, however, I end up DCA-ing anything I have left over or think that I might have left over after bills and even then, sometimes, I may sacrifice $100 of a $300 bill knowing it does not have to be paid for another week.
I want to stack as many sats as possible especially at its current price range, but it has become almost a destructive behavior or a sickness. I DCA into BTC everyweek on a schedule, but there is alot of extra being bought. You would think I was in a hurry or something like its going to go to 500,000 and never come back. (mental perception)lol. I know I need to instill some discipline and get cash plush especially with our economic outlook right now and be able to weather the storm if it comes without having to sell to cover an emergency or a bill. If I was single with no mortgage and no kids, I wouldnt care but.....

How have some of you stopped doing this over leveraging. Crypto rich but cash poor. Tips and advice appreciated.

You need to look at this from a differ rent perspective (and take some time to reflect while doing it).

If you put just $200 into bitcoin in 2015, you'd have $40k now. If you put $100k into bitcoin in 2015, you'd have had more than $50k last November.

It's now a case of how much money you can get into an asset, it's how much you can comfortably HOLD in it.

If you are able to, try to keep 3-6 months og an emergency fund away from anywhere you'll actually be able to touch it (such as a savings account) and then you should be a lot safer with any investments you make. Making investments that are too risky for your tolerance (or that are you can see yourself panic selling) might start to turn towards gambling and you may want to look up self help/therapy for that (attempting to fix a problem you don't have is better than ignoring one you do)

It's like gambling addiction(though obviously far less bad), all you need to do is to stop doing it because you know it's not the responsible way of doing it. It's not like we're going to just shoot up to all-time highs next month dude, take your time. Obviously we don't know how long we're going to stay in 'lower' prices, but the last bear market, it took almost 3 years to recover.

Take. Your. Time. and manage your money responsibly. When emergencies come(hopefully not) and you're forced to sell your bitcoin, it will definitely hurt especially if you're selling at a loss. You definitely don't want that. In my first year of learning about bitcoin, I put literally everything to BTC as well; but the difference is that I was a fresh grad living in my parent's basement. I could literally lose everything and I'd be fine.

Absolutely great advice. The solution seems like common sense, but I guess I needed to hear it. I’ll continue my $50 week automatic buy and leave the smash buy button alone. You both are absolutely right. We don’t know when we are going to stay at these lower prices but it’s not like we are going to the moon next month. Not 100% but pretty sure we’re not. You always hear about how many BTC there is left in circulation and all of these big companies and whales are buying now a days so it creates a sort of panic and sets a “get as much as you can before their all gone” mindset. Not remembering that people are constantly buying and selling. Thanks for the reinforcing advice. I’ll keep reminding myself. Over and over and over. Lol

Use your money to stack sats with time. Don't borrow money to stack sats.

Because when you have a loan, you will have a loan repayment day, then you will have pressure to make loan repayment. In bear market, you will don't know what to do. If you hold your sats, price falls and more pressure for your loan repayment. Worse you will have pressure from liquidation when your collateral falls to the liquidation price.

As in anything in life, too much even of things we perceive to be good can have some dire effects we may not desire at some point. In your case, learn to control yourself and do things within the parameters that you must establish. And of course, think of the long-term and not just of what can happen in the next few months because here in cryptocurrency there will always be ups and downs. I am sure a year from now, you can start to see the many bright and colorful "fruits" of the labor that you put in. Good luck.

Your problem doesn't seem like a problem at all.
If you need cash, just sell a part of your BTC for fiat money and spend the fiat for buying necessary stuff or paying the bills.
I don't expect a massive bull run to come anytime soon, so the BTC price stay around the 30K mark, or it might go down to 25K. There's no problem buying Bitcoins to replenish your Bitcoin reserve, after you have sold some.
I guess that you have a weird syndrome, where you like to gather and hoard bigger amounts of a resource, rather than wasting resources.
It's like a squirrel wanting to gather as much nuts as possible. That's why I call it the "squirrel syndrome" (there might be a more scientific term for that particular condition). ;D

Investing in bitcoin is really good practice but when we start overdoing it and start going beyond our levels that could affect our financial daily life that's a problem which you should avoid.As you said you have no funds in saving which is wrong because you should always have some fiat with you in case of emergency as bitcoin is not acceptable everywhere.You can stack bitcoin but slowly with constant money flow and have your budget allocation through DCA but disturbing the normal lifestyle for it is risky so try to limit yourself.

I think a lot of people have that way of thinking. Michael Saylor said before that he used
to go to bed at night worrying that he didnt have enough Bitcoin!

DCA is just that, it can happen over a long period of time with whatever finds you allocate,
There are many people who would love to put $50 per week into Bitcoin.

The priority is keeping a roof over you and your family's head and making sure bills are paid
and food on the table. Bitcoin after that is the next important thing.

With what you explained above, I have not seen you using any leverage not to talk of overleverage or what so called. Leveraging means you are borrowing and it is a term used most in crypto while trading in a way traders can borrow x amount of money with certain amount of collateral.

But your case is not the same but totally different, just that you earn and buy bitcoin with almost all or all your money while not having enough in cash and the need for cash may arise, but you think bitcoin price may not favour at the time and not able to sell.

I will advice you to just not convert all your money to bitcoin, have some for emergency in fiat if you feel good that way and you will be able to have fiat during emergency purposes. The fiat converted to bitcoin every week should be for long term and not short term, in a way you will not even think of converting to fiat for like 2, 3 or more years.

Don't worry. There will be plenty more large altcoins collapsing in the future which will bring the price down and let you buy some cheap bitcoin.

As above, there will never be a shortage of newbies and other weak hands willing to sell their bitcoin to you at a discount.

The general advice of don't invest what you cannot afford to lose holds true here. You should never go in to debt in order to buy bitcoin, and skimming money off your bill payments and risking going overdue is doing exactly that.

There is a great flowchart on how to manage your fiat income from the Personal Finance subreddit (https://www.reddit.com/r/personalfinance/) you can view here: https://i.imgur.com/lSoUQr2.png
Obviously, such a sub will never mention bitcoin and so it doesn't appear on the chart, but in my opinion you should get to step 4 or 5 before you start buying bitcoin. That means paying all your bills in full, maxing out any retirement fund matching you can get from your employer, paying down high interest debt, and having an emergency fund of at least 3 months expenses. Once you've done that, then whatever money you have left over each month you can start allocating to where you prefer it to go: Retirement accounts, fiat investments, bitcoin, etc. If at any point you find something from step 4 or 5 (bitcoin) starts encroaching on something from step 1 (paying your bills), then you have done something wrong and need to re-evaluate your priorities.

I think you are just a diehard Bitcoin investor that have so much confidence on the sustainability and profitability of Bitcoin. I like your destructive behavior and am open to learn from you. Its a good thing you are not addicted to drugs or alcoholism but to Bitcoin investments. It is good you are investing and not wasting. Although it seems risky since you might not have any fund to fall back to when there are emergencies but I like your courage. But you must always consider your immediate family because investing all is more riskier when you have dependents. Hence it important that you have savings to take care of uncertainties. It would also be advisable to invest in other sectors. Diversification is important in investment because it helps in risk sharing.
       
This is the golden rule of investing. Obey it and you would be safe.

An uncommon analysis by JayJuanGee about investing can be viewed using this link. https://bitcointalk.org/index.php?topic=5389661.msg60073555#msg60073555

An example is CZ, he said that you'll not be rich if you don't know how to hold. And meanwhile, he's the richest billionaire in Asia and then amassing a current loss of a total of $89B. But it's due to his portfolio is down and when the market goes up again, that will shoot him up again with billions of gains. It's okay OP, you just need to think that the current bitcoin you hold shouldn't be spent in nonsense things and if ever you come up to the point of selling to an important matter, that's still a win for you. Allocate your budget wisely, spend for your needs as a family man and then for bitcoin as an investor. Take one step at a time.

It all boils down to discipline and self-control. Foremost, you should assess, evaluate, and establish your boundaries and limitations in investing in bitcoin and other cryptocurrency. You should allocate a certain amount only intended for investment or your relaxation doing bitcoin buying. Everytime you have money, make a list of the things you will budget your money to. List all of it form your necessities such as rent, groceries, and bills, savings, emergency fund, allowance, cash on hand, and investment purposed in crypto. Make an intelligent division of these in accordance to your lifestyle.

You shouldn't let yourself be emptied out of cash because emergency situations can happen. You cannot rely on anyone but yourself in dire situations, hence, you should be prepared yourself. Having cash every time is important because there are certain businesses and establishments that don't accept card or e-money. Typically, these enterprises are the small and local ones.

Yea, that’s one that I don’t do( borrow to get more). What I meant by over leverage is now the crypto definition. I meant over leverage as in putting more liquidity into assets that aren’t immediately available. Or to allocate too much into one thing. Yep, if I was to hoard cash savings like I did for Bitcoin in one month, I’d be doing ok, but it’s always in hind sight when looking at my budget for the previous month. I look at my investing category and go, “Jesus!!!” I needed to have this discussion because the more I talk about it, the more screwed up and ass backwards my actions seem.

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Thanks all for your kind words and advice. I consider myself done for the month except for the one weekly recurring automatic buy at the end of the month. I am going to work at this and also not try to watch the price so often as well, which I’m sure is a factor. If I see the price drop from 30k wick down to 25k again, I’m going to leave the house and leave my phone at home on purpose. Lol. It’s funny but not funny. But thank all of you for your input.

[moderator's note: consecutive posts merged]

He's not become a billionaire by holding Bitcoin alone, he have the most popular and highest trading volume centralized exchanges. His profit mostly because of the exchanges, not the Bitcoin, look how ridiculous he charge fixed withdrawal fees while Bitcoin fees currently is pretty cheaper.

I know it's frustrating to see our portfolio are decreased, but the golden rule if you want to start to invest in Bitcoin is HODLING. Bitcoin already faced many crash events, it's normal the price drop 10-20%, since it ever dropped 80%.

Putting all your spare money into Bitcoin and not having a fiat safety net is dangerous and irresponsible. You never know when you're going to have an emergency - an issue with health, a natural disaster, unemployment, a broken car or something that requires fixing in your house - lots of things can happen in life that require immediate spending. And if you only own Bitcoin, it means you'll have to sell it, and if you're currently at a loss because your average price buy is above the current price, you achieved the opposite of store of value.

That is very true and I should feel blessed. i already spent waaaayyyy too much this month. Instead of being proud of it, in hind sight, its kind of embarrassing.

You are absolutely correct. Reality check time.

What you just said above needs to be printed, framed, and hung on a wall. It does not pay to be "scared as shit" when something happens, then it hurts worse when you're cash broke plus have to sell at a loss. Perfectly said.

I think the problem lies in financial management and I guess you know that already.  It is quite hard to stop if you have an obsession with things.  Since you know the problem already, I bet you can manage it easily.  You had not tried to control yourself because you know and believe that one day all your DCA-ing will give you a huge profit like those who invest in the early years of Bitcoin and you don't want to miss accumulating since BTC is selling at a discount at the current market price.  If you wanted to stop your obsession, you must convince yourself that you had accumulated enough.



this sounds like a good start.

At some point you have to set certain priorities. You simply can't have all your savings put into Bitcoin. Especially that you have a family and kids and mortgage to pay, and also at this point in our economic life, it is hard not to have some extra cash.

Of course you have to minimize saving in fiat because it is fast losing value but it is still the money that everybody accepts. So in times of emergency, fiat is the one you could easily withdraw. Bitcoin's price goes high and low and you cannot sacrifice selling with a loss because you need cash.

This is my way of doing it.

Without a doubt this is a problem, I understand your desire to get as much bitcoin as possible as you think that maybe we are never going to see bitcoin at the current prices again and you want to take advantage of that, however it is important to have an emergency fund of at least 3 months so in the case you lose your job or there is a family emergency you do not have to sell your bitcoin for a bad price and you can endure that storm, so while taking all of this into consideration then it could be a good idea to invest in bitcoin only every other week while putting the money on your off week into an emergency fund until you reach your goal, then once you do you can keep investing in bitcoin and keep doing DCA if you want.

First of all you could reduce your monthly BTC purchases by 50% for example, in that way you can keep buying BTC but also having some cash ready. Another solution would be to sell part of those BTC every time they go in price, buy them again if and when they go down again, and keep the difference.

He may not be an all-out bitcoin holder but those words came from him about holding. He got businesses and ventures and there's a likelihood that those profits he made all came from holding bitcoin and as well as other cryptocurrencies that have been produced through his exchange.
Although the point here is that is about what he said about being a holder and a being rich.

No matter how much money we earn at the end of the day how much we spend really matters because many people earn decent salary but they stuck with the lifestyle inflation so they keep spending equal amount what they are earning but we really have to spend less and save as much as we can then we can decide how can we diverse the saved amount that can go for investment purpose.

Yes but most people like us only got used to the fact of HODL at this moment, which means that the price is too high and sometimes goes down too low, gets even more volatile and then ends up crashing which means people are loosing a lot of money as well. People who only have a like 100-200$ to spare at the end of the month are looking to invest in things like doge or Shiba but their price is also going down drastically, but then again it's an excellent trading choice if you are interested. I do think if you are crypto rich and cash poor, you should try and put some cash savings in the bank for backup this way you would have something to rely upon in case it all goes down. But then again be patient and don't sell everything.

Yep, I’m going to put some cash savings aside and go at it as hard as I did Bitcoin. We are going to start with a cash goal. And maybe instead of stacking before the price goes up, we can stack before a catastrophe happens. Lol. Thanks to y’all that gave me some perspective and busted my chops a bit. I also need to pay off some debts too. I struggled a bit this month and in hind site, didn’t have to had I done the responsible thing. Thanks again.

You have to get your priorities in order and then review your investment strategy.

1. Your first priority are to pay your bills (Get a roof over your head and food in your cupboards)
2. Buy the Dip (Do not buy every time you have spare cash .... because you are not buying the dip then)

My strategy is to pay the bills and then to shift the surplus funds into a savings account, to be used to buy bitcoins when there are a dip in the price. (While I wait.. that money also gather a little bit of interest)  ;)

Bitcoin as a investment strategy should not be a wild obsessive buying and hoarding of bitcoins ..whenever surplus funds are available, but rather a calculated strategy to buy low and to sell high.  ;)

So you are receiving a monthly income which means you can very well plan everything out.
Clear all the debts and expenses first and then consider investing into bitcoin and saving for the emergency fund.
Once you have settled your debts and expenses you can take the rest of the amount and invest 50% of it in bitcoin and save 50% of it for the emergency fund.
This way you will be able to manage everything at a better level and not feel guilty about over investing in bitcoin.

I think you have a “good” problem so to speak. In my scale of preference, buying bitcoins is a good investment. After taxes and bills, my next priority is buying as much bitcoins as I can afford. It’s good you have a stable income, save some money in the bank for emergencies. It will be crushing to need money for emergency and you have to dip into your bitcoin stash. The price may have greatly reduced.  Save some money for emergency funds.

it takes skill to control emotion over funds and organise your life.
something purposefuly not taught in school because they dont want people managing funds correctly, they love people getting into debt as thats new business oppertunities for banks/services to make fee's on debt.

you really need to organise yourself to properly calm your emotions and ensure your essential bills are paid first and then only invest your disposable income later.

the way i trained myself was back when i started out years ago(share trading before btc was a thing). if the fiat(money) was to pay for a bill.. pay the damned bill. if the money was to pay for a luxury or fastfood. then invest it... you can always buy new clothes later

my main reminder is fast foods only return is a bowel movement and a toilet flush the next day. and so wasting money on a toilet flush was a bad decision. where as missing a rent payment means your thrown on the streets starving.

its better to be strong in changing your diet to a basic foods, saving money there.. instead of trying to juggle bills by getting into debt.

..
organise your life to pay all bills first. and cut out the luxury/excess food costs.
work out how to have more disposable income by not buying that beer on a saturday or the trip to the beach at the weekend. rather than getting into debt by skipping bills that keep a roof over your head and heat in your room
..

write down all your income. and your outgoings
that means all bills, all luxuries, all spending. and work out what you can actually live without.
EG can you live without netflix for a few months. do you really need new sneakers/shoes/clothes so often. is there cheaper brands of essential food.
yep the foodbill is usually the main cost that you can alter. especially if your wasting some of your income on fast food often. . make a sandwich instead
a $20 pizza or a $1 sandwich. its an easy decision that nets you $19 disposable income to invest
do that 5 days a week and you have your $100 without sacrificing yourself or have any debt fears

some people organise themselves where the had (us min wage of $10/h for 40h) $400 a week,  but live in a lifestyle as if they were on U.S. social security/unemployment payments($250).
that way they would have $150 spare

Oh my god, dammit I shouldn’t have looked. Solana is down to $42 and Eth is at $1700. This is killing me. I wanna be y so bad but have to refrain. My next auto DCA isn’t till Saturday afternoon. It’s tough but the more I successfully resist the easier it will get. I hope. I put some $ in savings yesterday and it has to stay there. I’m doing good. I’m going to bed.

edited to add explanation to relationship to post


do not buy ethereum.

ethereum is going to 'detonate' into PoS
this means the underlying cost to mine. is no longer going to be millions of asics PoW mining which is/was over $1k of electric cost. instead its going to be 'staked' and only a couple dollars of cost to sign blocks to create fresh coin. this will cause cheap new coins meaning alot of sell-off cheaply while still profiting. causing a massive price correction down to a new low of only a few dollars of value.

Oh, ok. I understand what you said but don’t see the relationship to the post.

actually it doesn't matter if you collect as many sat as possible at this time, but you should have planned everything in advance and divided your finances so that it is neatly arranged between investments, living costs and unexpected funds, maybe in % maybe only you can share to avoid debt when you need money

What you do is the same as what I experienced.
I also save a little Ethereum but now the price is very sad for us all like a dream I almost feel half of my funds will be lost if I sell now.
There is no other way now other than being patient, even if at that time I immediately sold it when the Ethereum price was still decent, maybe even a few dollars in my savings didn't decrease too much, I really regret saving Ethereum if everything happens as they say.

Every one of us earns money, but that's not enough to gain some extra gain, to be honest. Proper management of the money is quite important. We always need Liquidity for life, we can't ignore that. So always should keep some USD or any fiat to manage emergency situations. Some funds should hold in the wallet to catch the dip. On the other hand, you may buy some sat regularly after filling your needs from the savings. That's how I try to manage. But sadly when I use my holding funds during the dip, sadly it becomes more dips, and can't take advantage. But that's how I am managing earnings.

Your decision to put money aside is good enough, but you also have to agree with yourself that you have to be as strong as you can to resist the temptation. Especially now that his status is still single, of course, the reality of life and his style also doesn't want to be left behind. The cost of living that has to be pegged in a month and set aside a few dollars in Bitcoin is not as easy as those of us who already have families.

So your decision now will pay off in the next few years. I guarantee if you are able to become a long-term holder for the next 2 or 3 years, the results will be amazing. Trust me no one has ever been let down by Bitcoin as long as they bought the dip and committed to the long term.

While DCA (Dollar-Cost Averaging) may be the suitable method for some investors given that most does not have a big capital to invest everything in one go, you must need to prioritize or allocate the amount that you are willing to invest on without compromising your daily/weekly/monthly obligations.

One thing you also might need to understand is that investments are cash. They are investments in a way that you can actually withdraw or cash them out if the emergency calls for such situation. The beauty about investing into cryptocurrencies is you can always cash them out without the need of going through a complex process, compared to other investment methods.

This is still a world of fiat. You have to remember that. My guess is that your regular bills and mortgages can't even be paid in Bitcoin yet. When health emergency comes, your hospitals probably still don't accept Bitcoin yet. If your kids are already in school, my guess is that tuition fees in your local schools can't yet be paid in Bitcoin as well. When the family eats out together, it's most likely that you'll have a hard time looking for a restaurant which accepts Bitcoin.

The point is you have to have fiat. Going all-in with Bitcoin, a volatile currency, is highly risky and, in your case, even irresponsible.

Accumulating bitcoin is good, but if you put all your fiat money in bitcoin while you have family and kids, that is quite risky. Fiat is depreciating rapidly but right now we cannot live without fiat money, our utility bills and our children's school fees...In life, there are always surprises so a savings from fiat is really necessary.
DCA into BTC every week is not a problem if you are a single guy but for a married man you should renew your DCA plan at the end of the month instead of weekly.

Just convert your Bitcoin to fiat, problem solved. There are no reason to savings as you said inflation is inevitable, the correct is invest what you can afford to lose and still have cash in hand to pay food, bills etc. If you're live where Bitcoin already got accepted as legal tender, then you can directly pay with Bitcoin. At least you're need to be consistent if you do DCA.

Having little savings in the bank would be bad, unless you can liquidate your bitcoin quickly in case of an emergency. The need of the savings and liquid cash is this itself, and failing to do that you could end up in a problematic situation. So manage this fund properly for a start.

Bitcoin if an investment from your side, does not need to be bought every week. Buy it when it drops below a per-determined price during a bear market. This price will be chosen based on your current experience and the existing S/R levels that you feel are significant.

Dont be an obsessive collector, you will fall in trouble. Remember that you are collecting bitcoin to profit, not to show off. So you have to sell on the bull market and recycle the cash back.

Keep these three things going for now and see how it goes. In case you are having problems controlling your hoarding tendency, then I would say that you need to stop trading bitcoin for your own mental peace.

What I learned about buying the dip is example I allocated an amount to buy ($500), the i laddered in on a chart by diving the $500 up into 10 buys. Even $50, divide by 10. Starting at the next support level and ladder down with limit orders. Or an easier way is to put a limit order every 5% decrease in price 10 times. And just leave it there. They eventually fill. Those that don’t, you can re-allocate or send the remainder back to your bank. When we had those major red candles down recently before trading sideways, I caught all of that all the way down to $25,500. It’s exciting to watch. You don’t have to spend a lot. Just divide it up.

I also went through some long periods of DCA with BTC, but maybe a better one with OP because I can be well-off and comfortable with my money and hardly care when it will come. get profit. But, from 2019 to now, I've made a lot of money and learned a lot about sustainable things and the best time to buy and balance them in my current life. With a pleasant feeling, I have defined the concept of investing for myself when I do not always see an immediate opportunity that is created by ourselves.

Yep, I’m ok. To be honest, I just need to develop new habits by refraining. The weekly DCA of $50 is not a problem for me, it all the extra 100’s I get my grubby hands on in between. I’ve started putting it into savings this past week. Any extra cash after bills at the end of the month is going into savings. Just have to control my emotions. I’m self employed so I always have to worry about the phone ringing. Worse case, I have a way fast to liquidate if I need to. Transfer to Crypto.com exchange and top up my card. I don’t need to yet, just accumulating cash.

I believe there should be a balance here. from what you earn know what percentage is there that will go into Bitcoin investment and reserve for daily spending considering that most of our spending is still very much dependent on fiat currency since there are not many readily Bitcoin-accepting stores around. I believe every Business/investment is a gradual thing and build it up slowly over time so you don't have to go all-in every time.

Indeed investment is not a quick thing for us to get results because over time there will always be changes in price.
So we need a great sense of patience when we want to invest in anything because sometimes what we invest doesn't turn around quickly.

I buy Biitcoin when i save something then leaving my entire investment. I prefer to save a portion from my salary and consider it as my savings in the form of cryptocurrency.

I dont see anything wrong with this as long you could able to provide the needs of your family and able to have some back up plans whenever you are in need of money since you know that you do have crypto investments but you should really make yourself get aware with the risk because anything that you had put up might ending up nothing in the future(less likely to happen but its possible).

Lucky for you that you do have a decent income which you could really put up on bitcoin on every week basis which is something that not all do able to do so.
In speaking with opportunity taking then this would vary into each person.

Not all are capable on doing DCA and not all would really be having that positivity towards bitcoin.

The current issue is that we always talk about volatility in the essence of bitcoin but we forget that volatility has a correlative associated with variance, and although variance is volatility they are not the same, so if you can measure this current dispersion you could have an idea of ​​estimation of losses, beware, remember that it is an estimate but that way you can more accurately measure the risk of the money at stake. What I am telling you is not investment advice.

Let's say you only have bitcoin savings and no fiat savings, when you need to use fiat, we just need to convert bitcoin to fiat. But what if you saved your bitcoin at $50k last year and now the bitcoin price is at $29k, do you think you will be brave enough to go ahead and convert them to fiat for $29k. I don't think anyone has the guts to do that. I will continue DCA bitcoin but will always have a fiat savings as I think it is essential for my investment as well as my life.

Yep, it is imperative to have a cash cushion. I am working on that now. It will just take some time. I set a goal to be where I want to be cash wise for August 2022. Will take some dedication and hard work. But I know I will sleep easier knowing that my security does not depend on what the market does.

My sympathies and I guess that's one form of addiction that's really hard to describe much less prevent.

It doesn't happen to me just like that, though. I don't buy but earn, and I can tell you in the early days of earning, I'd sell less than I actually needed, a little less each time, leaving off bills and stuff, thinking, hey, I might sell when it goes up, pay those off plus fines and penalties, and have more on the side. Timing my sells really.

Worked out sometimes, didn't other times. Stressful and wish I'd learnt sooner, at least after the 2017 peak, as it cost me a tad more than I'd have had if I kept it to simple DCA.

^ The cash cushion for sure. And that's key, I think. Keep the amount fixed, AND have something in the bank as regular savings.

Trust me, you want to be happy and comfortable, with a regular heartbeat for when you CAN enjoy the next peak.

So that something like that happens does not happen, the money must be diversified, if the person has their savings in Bitcoin and only in Bitcoin it is not bad, but there is an action plan, that is, you have to have fiat money not to suffer when there are Boldist season, gives pain that Bitcoin has to change for money Fiat when the price is low, but everything is an learning, if you did not take these forecasts, unfortunately it has to change part of its bitcoin to Fiat, you have to comply with the obligations, the Family should never wait, but you already have an experience and you can't let it happen more.

Many invest in bitcoin people who have a lot of money they make bitcoin as an asset for the future.
I don't have much money I only set aside a part of my salary for bitcoin investment I believe the path I chose is the right path for future savings.

Many people are doing the same and they save money only to invest in bitcoin for the long term. The method which you have explained is good but you should not consider the price of bitcoin when you buy bitcoin. For example, if you decide to buy 100$ worth of bitcoin every month, buy only 100$, no more no less.
Do not buy more in some months thinking that the price is low. This way, you will only use your extra money which you have allocated every month for bitcoins buying, and not end up buying bitcoin with the money you need for day to day purposes.

Sometimes its not bad when you do make yourself go beyond your limit specially for us that could alter out our plans or limits whenever we do see some opportunity which i could say that this is something

that cant really be avoided most of the time specially if you've been here on this market for a while then you are aware on how things do possibly work or happen thats why we cant really just afford to miss another opportunity for you to take and in regarding with op's situation then it isnt bad as long you do able to do your role as a  family man.

I like being cash poor.  It keeps me from doing stupid things like buying a Lamborghini or a $200K watch (OK, I still buy dumb cars (https://bitcointalk.org/index.php?topic=5326636.0) and jewelry (https://bitcointalk.org/index.php?topic=5053734.0)).  I think if I were to cash out all my investments I'd find myself living in a hotel in the Bahamas staring at the ocean for months on end.  Staying cash poor keeps me active with my investments and grounded with my spending.  Sometimes you need to be a little motivated to toss some ramen on the stove instead of hitting up Uber Eats.  

That being said, instead of investing all your money into crypto, make sure you have some traditional investments as well.  Sure, getting 3% per year might not seem sexy, but once your portfolio grows large enough you can use those dividends as spending money while investing your excess earnings into crypto or more stocks.  A balanced portfolio that generates crypto and cash is far better than having just one or the other.

Cash poor > Cash rich

Broke people stay broke trying to look rich.  Rich people stay rich by investing and diversifying.

Oh, I see it sounds like you are becoming an addict in terms of buying a bitcoin lol but I think that was better than becoming an addict on gambling, alcohol, drugs and other things that are not beneficial to you but can only damage your health and life in the long run. At least when getting addicted on investing in btc, you can get something in return. You can sell some of your btc by the time, the monthly billings are close.

I think that's a perfect moment because after almost a month the price prolly have changed a lot. Just don't compromise the budget that is intended for more important things like food because you could starve your self and that can affect the way your health and the way you think.