I am looking to lock in some profit. So I will be selling about 0.1 btc soon
The way you framed that seems quite a bit off topic....
"locking in profit" both sounds like a trading term and also a kind of valuing your bitcoin in dollars.. as if you want to lock in dollar profits, which is also short term thinking and does not even address the idea of portfolio management, which might have had been what you were trying to say but just using trading terms.. which we are trying to de-emphasize those kind of ideas in this thread.
Sure we are in both worlds of dollars and bitcoin, but still why be so blatant about desires to increase dollars matters?
Investment is not a bed of roses that you invest one day and next day or week you will get the profit.
Every investor needs to be aware of it, particularly if they are investing in bitcoin. Bitcoin didn't guarantee anyone quick wealth or financial independence, even if they decided to invest in it. Each of us is investing in bitcoin at our own free will. Therefore, we alone are responsible for whatever ultimately happens to our investment. Because of this uncertainty surrounding our future investment in Bitcoin, it is advised that we only invest with money that we can afford to lose.
Everyone has responsibility for themselves for what they will do, if they choose to invest in Bitcoin of course they must first study it well, don't just look at those who have been able to benefit from investing in Bitcoin, they immediately decide to follow them. without a good understanding of what they are doing, of course if they force themselves to invest then this will be a bad thing for them because those who have been successful with their investments certainly have a lot of knowledge and experience that they have gained from the investments they have made.
Investing in Bitcoin requires a lot of learning about investing. The more we study about investing the easier it seems to me. Studying specific topics is very important It is not just Bitcoin investing that you are asked to study but for every situation that you are in your business or situation that you are in, you have to study a lot.
You don't have to study very much to get started in investing in bitcoin (as Roseline492 also mentioned in response to you), but if you try to employ more sophisticated techniques or you want to attempt to maximize your ways of investing in to bitcoin as compared with other investments that you have versus other assets/currencies that you might invest in, then you may need to study more about that too.
But if you just start out with some straight-forward techniques of investing into bitcoin that involve dollar cost averaging or maybe some other techniques, then the starting points may well just have to do with your figuring out your own cashflow.. and setting up some areas to source your bitcoin and figuring out if you are going to hold your BTC at the place that you got it versus holding your BTC yourself, and probably the more bitcoin that you accumulate, the more security, benefits and sovereignty will come from holding at least some of it on your own and separately, and it could take a bit of learning and practice to get used to privately holding and deciding on which systems to use for such private bitcoin storage and/or abilities to privately transact, if that also might become a choice of what to do with held bitcoin..
I started studying with many people from primary school, after completing primary education, many people announced the end of their education. Those who completed their education in primary were not very focused on education, the next step is school life and there also many dropped out due to inattention to education. However, those who were focused on their studies are still studying and still have a lot of interest in their studies. The few friends we started studying together in primary life, if they were interested in studying or if they were good at studying, but they did not drop out.
It is the same in the case of investment, we can learn as much information as we try to know about investment but if ever investment seems too difficult for us and if we do not show interest to know more about investment then we cannot move forward with investment.
Sure there is value in education and even learning how to learn, and surely some people are more curious than others, and you might be correct that someone who spends more time on learning has better chances of doing better than someone who is less curious.. nonetheless I find it difficult to try to lump success in these kinds of ways because I am not sure if success is solely based on willingness to learn - even though we do like to frequently suggest that making efforts and ongoing efforts and attempting to learn from our efforts is quite valuable in the pursuit of success arena.. if we might see some folks starting from otherwise similar circumstances, we likely could presume that the one who put more efforts in learning and organizing and learning from mistakes would do better. .even though there are also some implications of action is needed too.. so learning without action can sometimes end up in NOT really benefiting from the learning.
Not everyone likes investing and not everyone who likes investing succeeds in investing. Those who study a lot about investing and who are interested in learning about investing succeed in investing. Investing does not mean that I buy any coin and wait for profit, rather investment means buying a suitable coin with sufficient understanding about investment, trusting that coin and accepting maximum risk and holding that investment in the hope of certain amount of profit.
It is normal for those who invest in suitable coins for a certain period of time to hold the investment and succeed from their investment.
These are pretty general ideas, and nothing really disagreeable about any of them.
Merely because we might end up dividing a large amount (an amount that we already decided to dedicate to BTC purchases) into three parts does not even mean that we will conclude to keep those parts equal or that we want to follow through with a strategy regarding all three parts, but the three parts can be areas to consider, and after we employ them into our system, we might end up being content with the results that happen and/or we might end up regretting what we ended up doing, but it is most likely that if we thought through the situation and considered all three options, then at least we will know that we had decided what to do within the various the three options that were available instead of merely rushing into one of the options without even considering the other two options.
I totally agree with you that it is good to try the three methods than sticking to just one because it will give you the best experience on which you will choose at differs time interval based on the market, and you will also have an advantage to see the benefits or the opposite in using these three methods in combination to accumulate bitcoin. I believe that such person using the three methods of bitcoin accumulation will do better than that investor using only one accumulating strategy in his bitcoin size.
I hate to be overly nitpicky, but it seems that I did not say that you have to use all three methods, but that they should be considered at various points in time. Maybe when you are really early in your bitcoin investment journey, you might reject both lump sum and buying on dips, but after you are in bitcoin a year or two, you investment portfolio shows that you have been accumulating a decent amount of BTC (especially relative to when you started), so then you start to consider adding lump sum and/or buying on dips.. and maybe even at some point you might stop with DCA.
On the other hand, you don't necessarily need to start with DCA, you might consider DCA from the start, but you decide to lump sum around 2 years worth of what you would have DCA'ed, and then after a couple of years you would reconsider whether to start to DCA at that time or to buy on dips or to otherwise add to your investment, and surely even if you lump sum a large amount from the start, you are not necessarily precluded from DCA'ing and/or lump summing along the way in the next two years, even if your initial idea was to just sit on your investment for the first two years, but then after some subsequent happenings, and/or maybe even changes in your situation and/or your perspective you decide to change some of your tactics to add in buying on dips and/or DCAing.
It is good to try all methods since our main focus is on bitcoin accumulation so that you can navigate with the market based on the size of your income and at various level.
I agree that trying makes something more concrete and easier to relate to, but there might be circumstances in which you decide not to try all three, but you just consider all three and perhaps reject one or two based on the then circumstances that you perceive to be relevant and applicable to your situation.
I have only used two strategy which is my regular monthly DCA and lump sum, but I will try to start keeping any extra cash on me now for the dip, even though I know that the dip might not come soon, but it doesn't stop me from my regular monthly DCA, I am only trying to have more experience on the road to my bitcoin target.
You are making an example of my exact point of considering all three but so far only applying two, and whether or not you ever actually employ buying on dip, that is going to be up to you.. but I would speculate that the longer that any of us is in bitcoin, we likely would end up employing all three techniques, even if we might start with only one at a time, and there might be some folks who start with all three, even though I frequently suggest that DCA is the most superior of all of them for the most people, but each person is not most people and therefore the more that someone is able to study and figure out his/her own particulars, the more reason that s/he might have to deviate from any kind of a strict DCA, even though DCA still might end up being the most superior, even if they might have ended up deciding to employ one or more of the others or emphasizing his/her BTC accumulation strategies in various attempts at creativity.
I guess that it is better to try than not trying.
When it comes to bitcoin, I do believe that a certain amount of action does help to teach, so even if you might have some techniques that emphasize DCA (for example), you might still experiment with some smaller amounts for buying on dips to get used to the idea or how you might put it into practice without hurting your overall goal to accumulate as much BTC as you can, too much.
I am a low income earner and I don't have a huge amount that I can divide into three for buying at the dip, lump sum and DCA,
That is part of the reason why DCA makes sense for so many people, but even low income people might sometimes come across some extra cash, and so even if you are ONLY able to invest $10-15 per week.. because you earn something like $250 to $350 per month, so you are already investing around 12% to 15% of your income into bitcoin and you feel that you might be pushing the matter a bit (presuming that you have an emergency fund of around 3 months or more of $800 or more), then let's say that all of a sudden you receive some kind of a bonus payment or somehow come across $300 extra, so that is like a bonus of a whole months extra pay all of a sudden available to you and that you are able to use it to buy bitcoin or anything that you want, since it is extra cashflow. You could then divide that into three categories and decide how to employ it as compare to (what you already suggested) it had not previously made sense for you to divide your $10-$15 into either 2 parts or into 3 parts.
and that is why I have use the gradual saving of extra cash for the dip and if I am privilege to come across a good amount of money that I can use for lump sum, I will but that doesn't mean that I am not on my regular DCA.
I agree that it feels really good to be prepared for such circumstances, because sometimes when we get surprises in life, including extra cashflow, we might not have any kind of plan or we might be so buried in debt and various obligations, or we might even have some fantasy about engaging in some kind of a consumption behavior that may or may not be necessary that we have already spent the extra cashflow by the time the extra cash comes in.
Investing in Bitcoin requires a lot of learning about investing. The more we study about investing the easier it seems to me. Studying specific topics is very important It is not just Bitcoin investing that you are asked to study but for every situation that you are in your business or situation that you are in, you have to study a lot.
Actually in as much as I will agree with you on the importance of learning but I will also have to disagree with you on the aspect you mentioned that investment on Bitcoin requires a lot of learning, on the contrary the little I understand from Bitcoin investment is that we don't need too much learning about Bitcoin before we could start investment but however is mostly required to have a basic knowledge about Bitcoin investment after then you can start investing.
Because if serious learning was much involved most beginners would have find it difficult to invest, don't get me wrong because I'm not disputing the fact that learning is not important but the point I'm only trying to state is that Bitcoin doesn't involve much of learning, all you only need is just the basic then you are good to start.
You probably missing the point of investment if you are investing blindly. Learning more about what you are investing will give you a solid ground as foundation to value your investment more so that you will not be easily shaken on the price action especially when bear market.
Don't let the perfect be the enemy of the good. Many beginners have a problem in getting started, and getting started is going to help to motivate them to focus their learning because they are also learning through the process of setting up an account and/or figuring out ways to acquire bitcoin and then setting some budgetary ideas in place. So maybe even if they know that they can afford $100 per week, they start with $10 per week and they study bitcoin while the invest rather than just sitting on the sidelines and following bitcoin, supposedly studying it but never doing anything. It can take years and years and years to really start to get better ideas about bitcoin, and even if someone studies bitcoin for a long time, there seems to be a never ending list of things to learn, so when you are you going to suggest that any newbie starts to invest into bitcoin if you don't start to get the fuck started right away and work out the details later?
I will admit that there are a likely a very large number of people who have somewhat screwed up finances, but at the same time most people should be able to give you an approximate number for what are their expenses for the month and what is their income, so if they start with those basics, then they will have some ideas regarding whether they are able to afford to buy $100 per week of bitcoin or maybe $10 per week or $1,000 per week, and sure it may well be better to start out with a bit of a smaller number while they are getting their finances and psychology together, and their view on bitcoin as compared to other possible investments is only one of the categories, so sure it could be true that they have hardly any clue about what differentiates bitcoin from other investments,
so maybe they just have to go with their gut feeling from the start and then just invest a small amount, such as $10 per week, even though they are pretty sure that they could affort $100 per week, and when they are low balling their bitcoin investment, maybe they will become motivated to study bitcoin for the next 1 week to 6 months, and surely the sooner the better if they are able to figure out if they are able to increase their weekly amount, but some peopel are busy and they have to put aside time (and prioritize) if they are going to spend a bit of time figuring out their finances and their psychology in order to figure out if they might be in a position to be able to increase from $10 to $100 and then after they continue to study bitcoin for a while, they might end up putting themselves into a better position in which they are able to increase their cashflow and/or decrease their expenses and maybe go up to more than $100 per week to invest into bitcoin or maybe consider some other strategies that might include lump sum investing, front loading, and/or buying on dips.
Learning more about Bitcoin will make you solid for long term.
How much is necessary to learn in order to get started? Moar? More than what? Why not buy a little while learning? Wouldn't that help the learning process?
The one you are pertaining are those buying and easily when there’s price movement because they didn’t know the real value of what they are holding because they purchased without proper knowledge on it.
You have been registered on the forum since early 2016. How long did it take before you started to buy bitcoin? Do you have some kind of a recommended reading list for the newbie? or a test of prerequisite knowledge that some newbie needs to know beyond knowing if they have an extra $10 that they could put into bitcoin while they are learning? maybe they have to spend a day or two to figure out sourcing and where they are going to hold their BTC to set up bank accounts? Maybe they have to spend some time learning who in the community is available so that they could do a peer to peer transaction, and which application do they use to first get bitcoin price exposure?
Can you tell that I am not so excited about your idea of learn first as opposed to the idea of get the fuck started first?.. sure there might be some basics that take a few days to figure out like sourcing of the bitcoin and whether or not they have $10 extra that they can spare to buy some cornz, but still.. what more do they need to know as a prerequisite rather than learning as they go and largely just tempering their conceded lack of knowledge with position size and some deference to their need to figure out some things on their own anyhow or to have some decent resources to study while they are simultaneously getting started. .to the extent that they are not at their work, sleeping, eating or doing other basics because they might need to spend a little bit of time to at least set up some kind of a wallet even if the very first time might be using an exchange.. will it kill them to buy $10 worth of BTC? I hope not. Most people should be able to get their finances and psychology together enough to buy $10 worth of BTC otherwise maybe they need to work on increasing their cashflow and/or cutting their expenses, first.. but studying bitcoin at the same time while they are getting their basic financial shit together.
