Continuing to buy BTC via lump sum investing. Some wait for another drop, but if it really happens in the near future, i'd doubt that it will be going very low, considering the current market dynamics. Seems i'm sharing parts of Og's view on this.
Technically, you are not lump sum investing. You are trying to buy the dip... whatever dip there might be.
Lump sum investing tends to be a kind of investing that involves either money coming available or your making the money available, so then once the lump sum is available then you have the choice to 1) buy right away (lump sum), 2) defer based on time (DCA) and/or 3) defer based on price (buy dips that may or may not end up happening).
In your case, you likely sold bitcoin earlier or you were just saving up money to build up a lump sum so that you can try to buy on dips, which is really (technically) more about the category of buying the dip rather than lump sum.
In udder wurds, dip buying and lump sum buying are two different things, and the mere fact that you are calling your practice lump sum does not cause it to be lump sum because you are likely both using dip buying money and/or you are trying to buy dips with the money that you had not sufficiently/adequately already gotten on the bitcoin rocket.
Yes. I understand that we have traders in these here parts trying to pick up pennies in front of a steamroller. How has that been going for you guys? Of course, some guys (ie traders) only bang 10s, so for sure they will be telling us how successful their trades had been going in the past 8-12-ish months, no?
Thanks that you brought this up in such detail.
It seems to be a yes-and-no, in my actual case, because i am holding back fiat money for financial reasons, mostly ongoing plans about the house etc. - which can change quickly
Of course, you can attempt to rationalize your holding back money to buy the dip in terms of having dual (or multiple) purposes for the money that you are holding back, and then at some point in time, you decide to authorize that money to buy bitcoin rather than to use it on some other purpose that it could have had been used.
I am still going to quibble in regards to the extent to which you are lump summing instead of buying the dip, since those are two different ways of buying bitcoin, and sure, you may well be jumping through rationalization hoops in terms of how you are labelling what you are doing and the rationale for it.
For sure, another thing is to avoid labelling it and instead describe what you are doing.. at least to yourself since it may not really matter so much about what guys here (including yours truly) think about the categorization of what you are doing and what you are calling it.
Yet, if you choose to use certain kinds of terms in regards to buying bitcoin that are frequently abused by guys who fail/refuse to DCA, and they ongoingly strategize to buy dips, but they label their dip buying as lump sum buying, and yeah, it may well be the case that you are not dip buying, yet it is also ambiguous in ways that you do not necessarily need to explain, even if some guys (well really talking about myself) want to battle with you regarding what you are calling what you are doing.
- and there was "surprise-income", like getting paid earlier for the solar-power i export to the grid, getting back more for overpaying electricity a bit, doing more work as a part time employee than expected...
Actually, if there was surprise income, I would not quibble about that kind of money being called lump sum buying rather than buying the dip.. .since there are guys who are in their bitcoin accumulation phase and they might have a regular income and they might choose to allocate some portion of their regular income for buying bitcoin, such as 5% to 25% or some other amount, and so then every once in a while they might receive extra funds such as bonuses or maybe some sudden resolution of a matter that results in "additional income" and perhaps their additional income may well be several times higher than what funds they usually have available.
So then, I frequently suggest that whenever guys have extra money come available and they had authorized that money for the buying of bitcoin, then they should consider the three categories of buying which are 1) buying right away, 2) DCAing and/or 3) buying dips that may or may not end up happening. And of course guys can apportion their amounts in whatever way that they like including completely putting one or more of the categories at $0.
When the sum goes over my "active-savings" limits, i invest the excess money into BTC. If the price just was on a rise, i try to catch the pullbacks, the breathers, the corrections, of course.
For sure, I don't expect that I am talking to a bitcoin newbie, even though we can never be sure about who might be reading these posts and considering how they might structure their bitcoin buys.. and for sure, a guy who had been accumulating bitcoin longer may well be in a position in which the size of his bitcoin stash may well affect how aggressive he chooses to be in his bitcoin accumulation and surely the longer a guy has been buying bitcoin, then he might develop systems of buying or maybe he does not buy any bitcoin unless the amount of his cash goes up to a certain amount (as you mentioned) and perhaps he might have certain price performance ideas in mind too, yet a beginner who is earlier in his bitcoin journey would not necessarily be advantaged by trying to strategize his bitcoin buys rather than buying bitcoin regularly, consistently, persistently, ongoingly and perhaps even aggressively. Levels of aggressiveness can (and likely do) go down for guys who have been accumulating bitcoin for more than a whole cycle, and surely I seem to recall that you have been in bitcoin for close to two cycles (perhaps a congratulations is called for.. .hahahahaha).
And i don't necessarily push all the money into Bitcoin, but in a few portions. This is where i try to "ride the waves" and it was working out more often than not. We're talking about single percent values here, no biggie, but still not nothing.
Well.. some guys are ONLY able to invest in bitcoin since they are in their early stages of buying bitcoin, and other guys may well have other investments or even come to bitcoin with various other investments, which was the case for me and perhaps several of the other longer term guys on this thread.
On the other hand, if guys are still fairly early in their bitcoin investment journey, they may well have ONLY bitcoin and cash in their investment portfolio, and neither their bitcoin or their cash have grown to a high enough value to justify diversifying into other assets.... so I suppose that I am wanting to clarify rather than to lecture you, even though it seems that there tend to be quite a few needs to make sure that we are not misleading newbies in regards to various strategies, and some members don't even proclaim themselves as newbies, yet they are still quite engrossed in what seems to be early stages of bitcoin accumulation and frequently they mix up lump sum buying and buying on dips, and frequently they are not even in a position to do either, since ongoing DCA may well be the better practice based on their need to ongoingly accumulate bitcoin and also their income is coming in in such a way that they are not getting the benefits of having the options that flow from receiving pay bonuses an other kinds of money that comes in from time to time that they can consider in terms of all three categories of buying rather than DCAing only.
Waiting for a dump?
Waiting For The Miracle.
A great Cohen song.
Yes.
I can name that tune in 5,7,5 notes.
Anybody else want to try?
Anybody?
Anybody?
O.k. Since I did not hear any volunteers within my relatively generous time delay.
The song is:
wait...
wait....
wait...
wait....
Everybody knows.
That is the song that is perhaps "great," but also scary
(I did not say depressing) at the same time.
Poll
