Buy the DIP, and HODL!

[Agbamoni]

Of course, when we are in the earliest stages of building our bitcoin investment and perhaps also building up our emergency funds at the same time, it may well end up being the case that we end up tapping into our emergency funds for non-emergencies because we are still in the earliest of stages of building up such fund, and surely we are also running risks while we are building up our emergency funds, yet at the same time our bitcoin stash is likely not going to be much BIGGER than our emergency funds, at least going from the amount of value that we put into each of them.

Ideally, once we get the emergency fund up to at least three months of expenses, and perhaps our bitcoin investment is also getting to be at least that size too, then we may well strt to build up various other kinds of reserve funds, so by then we would tap into our other reserve funds prior to touching our emergency funds, and our emergency funds would be the last thing that we touch prior to having to dip into our bitcoin, so we already realize if our finances have gotten to such a stressed point that we are having to dip into our emergency funds, then we should realize that we are in a place that we don't want to be..

and that ideally, like you said Merit.s, we are not going to be touching our emergency funds at all absent an actual emergency and not merely our own inadequate cashflow management skills... but it can take a while to build our finances to such strength that we both have various kinds of back up funds beyond just our emergency fund, and we also are attempting to invest somewhat aggressively into bitcoin too, and perhaps our bitcoin investment is growing faster than our emergency funds and our back up funds, since once we get  our various back up funds to certain levels, we may well not need to keep growing them and we likely are going to want to focus more on aggressively (perhaps?) building up our bitcoin investment.

I largely agree with you here, after reading how detailed your explanation is. That is why in the early stage of its either we have already build our emergency funds before starting the investment because there is risk on both side when the accumulation isnt big. When the emergency funds isnt strong, while still figuring out the monthly investment it will take time to have a solid emergency funds perhaps 3 months before things will start to maintain equilibrium.

Actually, it will be safer than we endure patience in building our emergency funds first then we can start focusing more aggressively or gradually through DCA on growing your Bitcoin position.

A financial fund is a portion of the monthly income that is set aside to deal with unexpected or emergency situations.

What are you referring to as financial fund? It's meant to be emergency funds.
This is the meaning of financial fund, always try to use the right word so newbies won't misunderstand the meaning of things.

Code:

A financial fund is essentially a pool of money collected from multiple investors and managed by professionals, with the goal of generating returns for those investors through investments in various assets

[Just Say]

Earlier investors used to save money like this for three to four months or more before investing and then invest with that saved money, but now the style of investment has changed. Now investors don't need to save money, but now the amount of money that investors used to save every month, every week or every day, they directly invest in Bitcoin,DCA investment strategy. If the investor buys bitcoins step by step without saving money, then it will be seen that when the price is there, the investor will buy bitcoins, so that even if the market goes up and down, the investor's investment will not have a bad effect. This investment strategy is generally considered as a smart investment strategy.  

The investors you mentioned earlier here who saved money for three or four months might have saved money that way to build an emergency fund. Because I think everyone is at risk of life so it is important to save people three months or four months or even more money to deal with the risk.

Based on your bolded part, I'm saying that investors still need to assembled their money but if they don't invest and just assembled their fiat, then maybe it won't grow according to their needs. Because everyone probably has a clear idea about this matter that Fiat can never give the desired profit but from Bitcoin investment, at least we can always have this hope in our minds that we can earn a profit at any time.

Raising a generation wise enough to see beyond fiat.#Bitcoin

https://x.com/TheBitcoin__/status/1908127417710911508?t=B42S5q46nFaJ9DC6kkGBxQ&s=19

[JayJuanGee]

After I have finished pursuing through all the posts that is related to emergency fund,  i have really learnt enough ideas on how emergency fund is important when it comes to Bitcoin investments in other to avoid touching your main income, i took personal because ever since i came across this thread, if i have not practice anything but this emergency fund i took very seriously and it have been helpful to me in such away that my accumulating without touching my investment.

The goal itself is like that, namely so as not to interfere with the funds that you want to use for the Bitcoin investment path itself so that you can invest continuously without any obstacles when you want to buy Bitcoin. In addition, it can also support you in collecting Bitcoin slowly until it becomes very much because you really don't touch it to sell in the near future under any conditions. So that emergency funds can be said to be an important option for long-term investment support because everyone also doesn't know what their life conditions will be in the future. So as much as possible you have to have really mature preparation if you want to invest in Bitcoin in the longer term.

Emergency fund is a major ingredient if you are planning to hodl for a very long term, with the fund you will not be tempted to touch your Bitcoin stash inorder to spend on emergency expenses that inevitably arises on the way. Without emergency funds to take care of unexpected expenses, hodling Bitcoin cannot be realistic, the temptation to sell will always arise almost everytime, investors can even sell when the situation on ground cannot be qualified as emergency. If you don't have emergency funds on ground, it is better to reduce the amount that you set aside for your DCA and keep the balance in the bankroll of emergencies, if an investor goes ahead to concentrate on DCA buying when they don't have enough left for emergency funds, there is likelihood that they will sell when emergencies arises. Setting aside emergency funds might not be necessary for very rich people who have excess money to spend from when emergencies arises but for people that are not rich who are managing their income, it is imperative that they should set aside emergency funds so that they will not tamper with their Bitcoin stash.

I will consider setting emergency funds as necessary and essential for everybody irrespective of how rich you are,  there should be what can be considered as your emergency funds based on your finances status, we can't say that because we are so rich that we can should not have separate emergency funds.

Emergency funds are essential for people of all classes. The rich or the poor should create emergency funds. A day laborer needs to have an emergency fund. You may have a lot of money but you do not have an emergency fund, then you will not be able to deal with any problems economically. If you are rich, if you do not have emergency funds in an unexpected situation you will not be able to rescue yourself from that situation. There must be an urgent fund to deal with such natural disasters, health problems, danger, etc. Suppose a poor person has a certain amount of money for emergency funds. On the other hand, a rich person did not create any emergency fund. Now the poor will be able to cope with natural disasters because they have an emergency fund, and the rich will have difficult problems due to lack of emergency funds.

I think a certain part of our daily income should be kept for emergency funds that will play a very important role in meeting our unexpected financial needs.

Of course, you are correct to suggest that there are going to be circumstances in which any person who exercises poor cashflow management, he is going to end up getting himself into trouble based on his cashflow management practices.

Sure, it is true that rich people can become quite disadvantaged by both their poor cashflow management and also their choices of where to put their value, whether to consume and/or to invest.  Yet, by definition rich people have a lot of advantages over poor people in terms of already having a variety of resources upon which he can fall back upon when making mistakes.

Yes, poor people can catch up and even pass up rich people in terms of their cashflow management and their organization skills getting them ahead, and surely historically investing in bitcoin might have also made some very big differences in terms of shifting wealth from rich folks to poor folks.

Poor people, on the other hand, need to exercise way more discipline to make sure that they are building and/or maintaining back up funds and resources, since by definition poor people do not have those various kinds of back up funds or resources to fall back upon, including potentially family/friends that can also bail them out... and so poor people have to consciously build and maintain their various back up systems.

People could really start without savings but make sure that they have passive flow of income so they can increase their long term investment plans to succeed.

Your use of the passive income flow expression is quite ambiguous.

People tend to build their investments from work income and to get their investment up to a high enough level that they are later able to live off of their investments (without having to do very much work, except maybe managing their investment).  So getting income from your investment is passive income, and it is not very common  to get to such a status of being able to completely live off your income and to potentially minimize the amount of work that you have to do for any of your income.

We tend to assume that in the earlier years of investment, guys are mostly getting income from various kinds of work, and perhaps even moving money around and trying to manage income from money.

Sure, it could also be the case that a person is already living off his investments, yet at the same time seeking better places to put money, and so then may well end up using some of his income from other investments in order to invest into bitcoin. which seems to be unusual, rather than common situations that we should discuss.

To me, it seems better to presume that in the earlier years of investing guys are getting income from their work and their labor and they are building up their investment portfolio in order to attempt to get it to a large enough status, rather than presuming that they are already able to live off of their investments and are merely trying to figure out ways to improve their income from the investments that they have.

I think that many guys would like to get to a status with their investment portfolio that they either no longer have to work and/or that they are able to earn quite a bit of money from their investments so that they might be able to minimize their work and/or to be more selective about which work they choose to do.

Of course, when we are in the earliest stages of building our bitcoin investment and perhaps also building up our emergency funds at the same time, it may well end up being the case that we end up tapping into our emergency funds for non-emergencies because we are still in the earliest of stages of building up such fund, and surely we are also running risks while we are building up our emergency funds, yet at the same time our bitcoin stash is likely not going to be much BIGGER than our emergency funds, at least going from the amount of value that we put into each of them.

Ideally, once we get the emergency fund up to at least three months of expenses, and perhaps our bitcoin investment is also getting to be at least that size too, then we may well strt to build up various other kinds of reserve funds, so by then we would tap into our other reserve funds prior to touching our emergency funds, and our emergency funds would be the last thing that we touch prior to having to dip into our bitcoin, so we already realize if our finances have gotten to such a stressed point that we are having to dip into our emergency funds, then we should realize that we are in a place that we don't want to be..

and that ideally, like you said Merit.s, we are not going to be touching our emergency funds at all absent an actual emergency and not merely our own inadequate cashflow management skills... but it can take a while to build our finances to such strength that we both have various kinds of back up funds beyond just our emergency fund, and we also are attempting to invest somewhat aggressively into bitcoin too, and perhaps our bitcoin investment is growing faster than our emergency funds and our back up funds, since once we get  our various back up funds to certain levels, we may well not need to keep growing them and we likely are going to want to focus more on aggressively (perhaps?) building up our bitcoin investment.

I largely agree with you here, after reading how detailed your explanation is. That is why in the early stage of its either we have already build our emergency funds before starting the investment because there is risk on both side when the accumulation isnt big. When the emergency funds isnt strong, while still figuring out the monthly investment it will take time to have a solid emergency funds perhaps 3 months before things will start to maintain equilibrium.

Actually, it will be safer than we endure patience in building our emergency funds first then we can start focusing more aggressively or gradually through DCA on growing your Bitcoin position.

If a guy is starting out with absolutely no back up funds, and he wants to build emergency funds up to 3 months, it would take him more than a year to build up 3 months of an emergency fund, especially if he is ONLY putting around 10% of his income into an emergency fund... it might even take him 2 years at that rate.  So there is value in being aggressive in both building an emergency fund and also simultaneously building bitcoin holdings, and frequently guys are not used to investing and so they might even have struggles to set aside even up to 10% of their income for investing and/or building up back up funds.  Surely, if they can do more than 10% then they will likely be advantaged by their taking an even more aggressive approach.

[Justbillywitt]

personally, i think that the approach one adopts in making provision for an emergency fund should be one that is finance friendly such that you don't delay investing in bitcoin just because you want to make provision for your emergency fund. remember that the main thing here is that you are investing in bitcoin and the emergency fund is just what helps you stay invested for the long term. having this understanding helps you to set priority right such that your attention focuses more on building your bitcoin stack above just setting up an emergency fund.

using the first three months to build just an emergency fund is unnecessary but there are better approach of going about it. for instance, for the first five months, you can discipline yourself to use 60% of your earning for your basic needs, 20% for your emergency fund and the remaining 20% for bitcoin investment. for that period of five month, things might go a bit slow for your investment but since you know that you are making a sacrifice for what will eventually help you in the long term, then you should be ready to follow up your plan without being worried of your short term difficulty. at the expiration of that period, you know that everything about your emergency fund is well sorted out and the 20% can then be added to either the allocation for your bitcoin investment or your expenses.  again, the way you decide to split your earning is going to be totally up to you to decide but the main point here is that building an emergency fund can still go hand in hand with building your bitcoin stack.

another thing to take note of is that an emergency is not something we know how much it will require of us to get it fixed. there is never a guarantee that what you have kept as your emergency fund as a newbie investor will be enough to sort out the uncertainty that might unfold even though it is possible that you might eventually make use of it. but even at that, it is better to set a reasonable fund aside that can keep you moving rather than expose yourself to the risk of uncertainty.

from the little period i have stayed invested, i have had a first-hand experience when my income source seems to slow down a bit and the urge to take out a portion of my holding creeps in, fortunate for me, i have a working plan that helps me stay invested through whatever short-term storm that arises. failing to set out a good emergency plan or funds on ground is a clear indication that you don't value the safety and longevity of your asset.

You are correct however I will like to make something clear so it won't be confusing to some set of people or make them do something that will affect them later in the future especially the newbies now you said one can discipline his self to use 60% of his earning for his basic needs, 20% for his emergency fund and the remaining 20% for his bitcoin investment now this advice you gave here can lead some people into financial problem because is not clear the reason why I said so is that the only money we should use for building our Bitcoin investment and our emergency funds is our Discretionary income and not money meant for our basic needs if you want to discipline yourself in building your Bitcoin and emergency funds together use only your Discretionary income to do that, if your Discretionary income is 20 percent of your income then divide it 10 percent for your Bitcoin investment and 10 percent for your emergency funds, I'm making it clear here so some newbies will not make the mistake of using the money meant for there basic needs to build Bitcoin and emergency funds all in the name of wanting to discipline there self's because if they do they will surely get into a financial problem that will make them dip hands into there Bitcoin and emergency funds when the time is not right there by destabilizing them.

Are you sure you know the meaning of descretionary income? Because I don't see where  @Marvelockg said we shouldn't invest in bitcoin with our descretionary income. Discretionary income is gotten when you remove your basic needs money from your salary the remaining percentage is your descretionary income. And I can see he allocated 60% of salary to basic needs which I think it's fair enough, considering that an investor needs to make some level of sacrifice and the remaining 40% is the descretionary income. @Marvelockg never said people should invest in bitcoin and build up their emergency funds with money from their basic needs allocation. It's you that not understanding what he's saying. Probably you are not reading through the lines to understand him. I took my time to read through his post that you quoted him and everything he said there was in line with the principles and teaching of this thread.

[ginsan]

Investors certainly target profits in investing, so it's no wonder that we see them managing purchases quite well by using the DCA strategy. Indeed, many of us see at a glance that bitcoin investment is a very easy investment because we only need to buy and hold, but if there is no good stance I think many mistakes can be made.

When we start something, we need a strong stance to achieve success by making a profit. The long road certainly has many obstacles, of course we need a lot of preparation, including managing time well and allocating a budget to buy bitcoin.

If we look at the price of bitcoin, where in early 2025 bitcoin reached its highest peak, of course we see a lot of interest from novice investors who continue to buy bitcoin, and today we see the price correcting again which creates an opportunity to continue to accumulate bitcoin at a low price.

[Gost ms]

While every investors does need an emergency fund available for obvious reasons, you don't have to save up for emergency before you start investing, you can start with your investment first and then start saving for emergency situations later or you can do them simultaneously, and both funds should come from your discretionary funds so as to not disturb your necessary and basic expenses.
Emergency funds are like a fail-safe that helps to ensure your investment isn't disturbed during accumulation, it also makes provisions for situations like you losing your job, it helps keep an investor going until they secure another job and get their income flowing again all while keeping their investment intact.
I'm sure there are situations where investors had to sell the bitcoin stash early to take care of emergencies, it could be an accident and your insurance isn't coming early enough or it's not able to cover your expenses, it could also be a serious health condition that requires alot of money to treat, your emergency income accounts for and helps take care of these situations.

In this case, people's choices may vary. Some prefer to set up an emergency fund before they invest, but there are also those who immediately choose to invest and save up for their emergency fund while at it. However, this should not be an obstacle for someone to start investing in Bitcoin, because they can also invest in Bitcoin even before having an emergency fund. But they need to create an emergency fund as soon as possible because they just don't know when the situation will become unfavorable to them—having an emergency fund will greatly help them face unexpected situations without having to sell bitcoin at the wrong time.

An investor without an emergency and backup fund will find it very difficult to invest for a long-term, therefore it is important to have your emergency funds, not necessarily very huge amount in as much as it can meet up your needs when the need arises for it, its an extra fund, which you need to save within 3-4 months so that it can save your investment from being sold off before the time that you wish to sell it within your long-term journey.

Many people save some money before starting to invest, while many do not. So, you earn $200 per month and after deducting all your expenses, you have $50 left to invest. But you do not have an emergency fund. In addition to investing, you need to create an emergency fund. In that case, you can invest $25 and keep $25 for the emergency fund. And what if you reduce your extra expenses and keep them for the emergency fund or invest. For example, eating out at extra restaurants, smoking too many cigarettes, etc., you can reduce all these extra expenses and put money in the emergency fund. In this way, you can very well fulfill the amount of money you want to put in the emergency fund. Try to put 3 times your stable income in the emergency fund. When you are able to create an emergency fund, you can create different types of reserve funds if you want. It is completely up to you. For example, if you have a son or daughter, you need to pay for their education expenses. You can create some reserve funds to meet such financial risks.

[Futurexxx]

While every investors does need an emergency fund available for obvious reasons, you don't have to save up for emergency before you start investing, you can start with your investment first and then start saving for emergency situations later or you can do them simultaneously, and both funds should come from your discretionary funds so as to not disturb your necessary and basic expenses.
Emergency funds are like a fail-safe that helps to ensure your investment isn't disturbed during accumulation, it also makes provisions for situations like you losing your job, it helps keep an investor going until they secure another job and get their income flowing again all while keeping their investment intact.
I'm sure there are situations where investors had to sell the bitcoin stash early to take care of emergencies, it could be an accident and your insurance isn't coming early enough or it's not able to cover your expenses, it could also be a serious health condition that requires alot of money to treat, your emergency income accounts for and helps take care of these situations.

In this case, people's choices may vary. Some prefer to set up an emergency fund before they invest, but there are also those who immediately choose to invest and save up for their emergency fund while at it. However, this should not be an obstacle for someone to start investing in Bitcoin, because they can also invest in Bitcoin even before having an emergency fund. But they need to create an emergency fund as soon as possible because they just don't know when the situation will become unfavorable to them—having an emergency fund will greatly help them face unexpected situations without having to sell bitcoin at the wrong time.

An investor without an emergency and backup fund will find it very difficult to invest for a long-term, therefore it is important to have your emergency funds, not necessarily very huge amount in as much as it can meet up your needs when the need arises for it, its an extra fund, which you need to save within 3-4 months so that it can save your investment from being sold off before the time that you wish to sell it within your long-term journey.

Many people save some money before starting to invest, while many do not. So, you earn $200 per month and after deducting all your expenses, you have $50 left to invest. But you do not have an emergency fund. In addition to investing, you need to create an emergency fund. In that case, you can invest $25 and keep $25 for the emergency fund. And what if you reduce your extra expenses and keep them for the emergency fund or invest. For example, eating out at extra restaurants, smoking too many cigarettes, etc., you can reduce all these extra expenses and put money in the emergency fund. In this way, you can very well fulfill the amount of money you want to put in the emergency fund. Try to put 3 times your stable income in the emergency fund. When you are able to create an emergency fund, you can create different types of reserve funds if you want. It is completely up to you. For example, if you have a son or daughter, you need to pay for their education expenses. You can create some reserve funds to meet such financial risks.

You just need to have a good money management skills to be able to invest in Bitcoin because even though you have a source of income, if you cannot manage your finances properly, you may be caught in a very difficult situation in the future which might result in you tempering with your holdings, that's why a good money management skills is required in Bitcoin investment, so that from the little you are earning either weekly or monthly you can still keep your emergency funds out of it, and possibly a reserve funds, because in other to be able to hold successfully and on the longer term, all these needs to be in place, so that you wouldn't have to temper with your holdings if a serious emergency situation arise in the future.

[MainIbem]

Investors certainly target profits in investing, so it's no wonder that we see them managing purchases quite well by using the DCA strategy. Indeed, many of us see at a glance that bitcoin investment is a very easy investment because we only need to buy and hold, but if there is no good stance I think many mistakes can be made.

When we start something, we need a strong stance to achieve success by making a profit. The long road certainly has many obstacles, of course we need a lot of preparation, including managing time well and allocating a budget to buy bitcoin.

If we look at the price of bitcoin, where in early 2025 bitcoin reached its highest peak, of course we see a lot of interest from novice investors who continue to buy bitcoin, and today we see the price correcting again which creates an opportunity to continue to accumulate bitcoin at a low price.

It may seem as though holding Bitcoin for a longer period is not easy but when an investor is determined and invest on Bitcoin the rightful way then everything would become less difficult, Bitcoin investment is something that involves the future therefore an investor who is serious about it would have to be patient, discipline and even start with the right strategy that would make it very easy and we all that agree that the DCA is the most preferable strategy for a newbie to start with. Many investors have missed out on buying Bitcoin at a cheaper rate cause the price was very costly back then but along the line when the price increased they saw the need to buy and regret not buying earlier, that's same thing that would happen to people are still in doubt or confused concerning the price of Bitcoin. Correction is something that's bound to happen when it comes to Bitcoin, that has been proven overtime but it would be a wrong approach to wait before the price drops before buying bitcoin and that's why the DCA is very important cause its not affected by volatility.

[MusaPk]

You just need to have a good money management skills to be able to invest in Bitcoin because even though you have a source of income, if you cannot manage your finances properly, you may be caught in a very difficult situation in the future which might result in you tempering with your holdings, that's why a good money management skills is required in Bitcoin investment, so that from the little you are earning either weekly or monthly you can still keep your emergency funds out of it, and possibly a reserve funds, because in other to be able to hold successfully and on the longer term, all these needs to be in place, so that you wouldn't have to temper with your holdings if a serious emergency situation arise in the future.

If you are looking to invest for long term like 5 years or more then invest what you can afford easily weekly or monthly. If you unease yourself by investing large portion of your earning into bitcoin then you will stop investing after few weeks or months. It's very important that you keep an  adequate amount for your daily living and also for emergency funds that you can consume in case of emergency requirements. After that we can invest what is left behind. By following that strategy you can continue to invest in bitcoin for longer duration. Don't just rush to invest everything you have into Bitcoin but plan on how to invest.

[ChocolateBitcoinK]

Investors certainly target profits in investing, so it's no wonder that we see them managing purchases quite well by using the DCA strategy. Indeed, many of us see at a glance that bitcoin investment is a very easy investment because we only need to buy and hold, but if there is no good stance I think many mistakes can be made.

When we start something, we need a strong stance to achieve success by making a profit. The long road certainly has many obstacles, of course we need a lot of preparation, including managing time well and allocating a budget to buy bitcoin.

If we look at the price of bitcoin, where in early 2025 bitcoin reached its highest peak, of course we see a lot of interest from novice investors who continue to buy bitcoin, and today we see the price correcting again which creates an opportunity to continue to accumulate bitcoin at a low price.

It may seem as though holding Bitcoin for a longer period is not easy but when an investor is determined and invest on Bitcoin the rightful way then everything would become less difficult, Bitcoin investment is something that involves the future therefore an investor who is serious about it would have to be patient, discipline and even start with the right strategy that would make it very easy and we all that agree that the DCA is the most preferable strategy for a newbie to start with. Many investors have missed out on buying Bitcoin at a cheaper rate cause the price was very costly back then but along the line when the price increased they saw the need to buy and regret not buying earlier, that's same thing that would happen to people are still in doubt or confused concerning the price of Bitcoin. Correction is something that's bound to happen when it comes to Bitcoin, that has been proven overtime but it would be a wrong approach to wait before the price drops before buying bitcoin and that's why the DCA is very important cause its not affected by volatility.

Waiting for the price to drop for Bitcoin investment can never be the right decision. The price will always fluctuate, that is why you should never wait for a specific price, since Bitcoin is a moving market and it never stops in one place, that is why investing consistently and regularly will be the best investment strategy.

When Bitcoin starts to be valuable, investors are attracted to it, this is a natural thing, because everyone wants to profit. But when Bitcoin is in a pumped state, they want to invest, but later when it starts dumping a little due to volatility, that is when they panic. That is why Bitcoin investment is not for everyone, real success will only be achieved by those investors who can maintain their holdings for a long time, that is, they have to plan for the long term.

There are investors who come to Bitcoin investment with this kind of mentality and want to make quick profits. They only see the profit while investing, but do not see the loss and risk. But when the market starts to fluctuate later, they panic because they don't have real knowledge about Bitcoin. Because they don't know that this volatility is a normal thing, that's why they see this volatility as a big disaster, because they don't really know Bitcoin, and that's why they panic and decide to sell their holdings, which causes losses for them.

That's why if someone is upset by seeing normal fluctuations in the market, then they should first research the right thing. They should understand that volatility is an opportunity, keep collecting Bitcoin at low prices and average prices through DCA and hold it for the long term, keep collecting Bitcoin with consistency, if the investor can collect Bitcoin at low prices, when Bitcoin increases in the future, he will be able to make a lot of good profits, and in the long term Bitcoin will definitely have the highest value.

[JayJuanGee]

Investors certainly target profits in investing, so it's no wonder that we see them managing purchases quite well by using the DCA strategy. Indeed, many of us see at a glance that bitcoin investment is a very easy investment because we only need to buy and hold, but if there is no good stance I think many mistakes can be made.

When we start something, we need a strong stance to achieve success by making a profit. The long road certainly has many obstacles, of course we need a lot of preparation, including managing time well and allocating a budget to buy bitcoin.

If we look at the price of bitcoin, where in early 2025 bitcoin reached its highest peak, of course we see a lot of interest from novice investors who continue to buy bitcoin, and today we see the price correcting again which creates an opportunity to continue to accumulate bitcoin at a low price.

You are likely correct that there is a certain amount of focus on the level of profits, and perhaps in the first several years of investing, profits might be a tangible way of attempting to measure progress in the bitcoin holdings, yet it also seems to me that the more time that passes, profits are likely going to become more of a side interest rather than a central area of interest, since one of the most important measures become whether you have enough BTC and how to valuate your bitcoin to figure out if you have enough or not. 

Surely, the more that your bitcoin is in profits, then you might feel that you have been able to get advantages from that, even though the greater punchline might be two question whether your bitcoin holdings can be valuated at 2x your annual expenses, or 5x, or 10x, or 15x or some other number and surely I start to consider that any of us should be able to live off of our bitcoin once it reaches 10x our annual expenses using the 200-WMA.   For me, I am anticipating that the bitcoin holdings would be in profits, yet the amount of profits are not as important as compared to what is the overall valuation of the holdings in light of the 200-WMA.

[promise444c5]

..
using the earlier method of investing in Bitcoin now will look awful and it will be like someone that is not serious in Bitcoin investment and the reason it was like that back then was because there source of income then wasn't stable and jobs wasn't rampant as it is now.

You talking about lump sum btw...
It's not actually  awful to lumpsum now as well, it just better to use the DCA approach . Also, there were jobs then, just as it is now , so there's  nothing like more job opportunities now, the only  difference is that it's not that common then as there wasn't that much of people who embraced it earlier, it was only later they began to realise  it's worth.. Besides, there wasn't  that much of people  who were into Bitcoin then compare to now and it was more cheaper to get then so there isn't that much need for DCA compared to it price now.. DCA as a strategy isn't termed to Bitcoin only ,  it's used in the world of investment generally and known already since mid 19s.. here's a wiki definition

Dollar cost averaging (DCA) is an investment strategy that aims to apply value investing principles to regular investment. The term was first coined by Benjamin Graham in his 1949 book The Intelligent Investor. Graham writes that dollar cost averaging "means simply that the practitioner invests in common stocks the same number of dollars each month or each quarter.

[Miramax12]

Investors certainly target profits in investing, so it's no wonder that we see them managing purchases quite well by using the DCA strategy. Indeed, many of us see at a glance that bitcoin investment is a very easy investment because we only need to buy and hold, but if there is no good stance I think many mistakes can be made.

When we start something, we need a strong stance to achieve success by making a profit. The long road certainly has many obstacles, of course we need a lot of preparation, including managing time well and allocating a budget to buy bitcoin.

If we look at the price of bitcoin, where in early 2025 bitcoin reached its highest peak, of course we see a lot of interest from novice investors who continue to buy bitcoin, and today we see the price correcting again which creates an opportunity to continue to accumulate bitcoin at a low price.

It may seem as though holding Bitcoin for a longer period is not easy but when an investor is determined and invest on Bitcoin the rightful way then everything would become less difficult, Bitcoin investment is something that involves the future therefore an investor who is serious about it would have to be patient, discipline and even start with the right strategy that would make it very easy and we all that agree that the DCA is the most preferable strategy for a newbie to start with. Many investors have missed out on buying Bitcoin at a cheaper rate cause the price was very costly back then but along the line when the price increased they saw the need to buy and regret not buying earlier, that's same thing that would happen to people are still in doubt or confused concerning the price of Bitcoin. Correction is something that's bound to happen when it comes to Bitcoin, that has been proven overtime but it would be a wrong approach to wait before the price drops before buying bitcoin and that's why the DCA is very important cause its not affected by volatility.

 I understand Bitcoin is the bedrock, the foundation. Value flows through Bitcoin first then goes into altcoins. You can’t expect altcoins to do well without Bitcoin doing well. Wait, be patient. Let Bitcoin do its thing first and then you’ll see money pour out from there. It takes time.

[Gost ms]

Investors certainly target profits in investing, so it's no wonder that we see them managing purchases quite well by using the DCA strategy. Indeed, many of us see at a glance that bitcoin investment is a very easy investment because we only need to buy and hold, but if there is no good stance I think many mistakes can be made.

When we start something, we need a strong stance to achieve success by making a profit. The long road certainly has many obstacles, of course we need a lot of preparation, including managing time well and allocating a budget to buy bitcoin.

If we look at the price of bitcoin, where in early 2025 bitcoin reached its highest peak, of course we see a lot of interest from novice investors who continue to buy bitcoin, and today we see the price correcting again which creates an opportunity to continue to accumulate bitcoin at a low price.

It may seem as though holding Bitcoin for a longer period is not easy but when an investor is determined and invest on Bitcoin the rightful way then everything would become less difficult, Bitcoin investment is something that involves the future therefore an investor who is serious about it would have to be patient, discipline and even start with the right strategy that would make it very easy and we all that agree that the DCA is the most preferable strategy for a newbie to start with. Many investors have missed out on buying Bitcoin at a cheaper rate cause the price was very costly back then but along the line when the price increased they saw the need to buy and regret not buying earlier, that's same thing that would happen to people are still in doubt or confused concerning the price of Bitcoin. Correction is something that's bound to happen when it comes to Bitcoin, that has been proven overtime but it would be a wrong approach to wait before the price drops before buying bitcoin and that's why the DCA is very important cause its not affected by volatility.

 I understand Bitcoin is the bedrock, the foundation. Value flows through Bitcoin first then goes into altcoins. You can’t expect altcoins to do well without Bitcoin doing well. Wait, be patient. Let Bitcoin do its thing first and then you’ll see money pour out from there. It takes time.

Bitcoin and altcoins should never be seen in the same way. You need to know the difference between Bitcoin and altcoins. All the coins that have been launched in the market after the success of Bitcoin are called altcoins. All coins except Bitcoin are called altcoins. And Bitcoin is the first coin.

Let Bitcoin do its job? I think Bitcoin has no job. Because when the demand for Bitcoin increases in the market, the price will continue to increase. When investing in Bitcoin, you should aim for long-term investment. For example, a period of 2 to 3 cycles. And along with the investment, an emergency fund should be created. So that you do not have to sell the saved Bitcoin during an unexpected financial disaster. You need to have financial management skills.

[New Judgement]

While every investors does need an emergency fund available for obvious reasons, you don't have to save up for emergency before you start investing, you can start with your investment first and then start saving for emergency situations later or you can do them simultaneously, and both funds should come from your discretionary funds so as to not disturb your necessary and basic expenses.
Emergency funds are like a fail-safe that helps to ensure your investment isn't disturbed during accumulation, it also makes provisions for situations like you losing your job, it helps keep an investor going until they secure another job and get their income flowing again all while keeping their investment intact.
I'm sure there are situations where investors had to sell the bitcoin stash early to take care of emergencies, it could be an accident and your insurance isn't coming early enough or it's not able to cover your expenses, it could also be a serious health condition that requires alot of money to treat, your emergency income accounts for and helps take care of these situations.

In this case, people's choices may vary. Some prefer to set up an emergency fund before they invest, but there are also those who immediately choose to invest and save up for their emergency fund while at it. However, this should not be an obstacle for someone to start investing in Bitcoin, because they can also invest in Bitcoin even before having an emergency fund. But they need to create an emergency fund as soon as possible because they just don't know when the situation will become unfavorable to them—having an emergency fund will greatly help them face unexpected situations without having to sell bitcoin at the wrong time.

An investor without an emergency and backup fund will find it very difficult to invest for a long-term, therefore it is important to have your emergency funds, not necessarily very huge amount in as much as it can meet up your needs when the need arises for it, its an extra fund, which you need to save within 3-4 months so that it can save your investment from being sold off before the time that you wish to sell it within your long-term journey.

Many people save some money before starting to invest, while many do not. So, you earn $200 per month and after deducting all your expenses, you have $50 left to invest. But you do not have an emergency fund. In addition to investing, you need to create an emergency fund. In that case, you can invest $25 and keep $25 for the emergency fund. And what if you reduce your extra expenses and keep them for the emergency fund or invest. For example, eating out at extra restaurants, smoking too many cigarettes, etc., you can reduce all these extra expenses and put money in the emergency fund. In this way, you can very well fulfill the amount of money you want to put in the emergency fund. Try to put 3 times your stable income in the emergency fund. When you are able to create an emergency fund, you can create different types of reserve funds if you want. It is completely up to you. For example, if you have a son or daughter, you need to pay for their education expenses. You can create some reserve funds to meet such financial risks.

But I thought you said before you invest you have to deduct all your  expenses and invest with what is left? Your children educational needs will have to come under the expenses you are deducting from your salary before making investment with what's left. Your children children education and welfare should be taken very serious, so we don't mortgage their future in the name of investment. Make adequate provisions for them, as you are also planning your investment.

[ejikeme24]

Investors certainly target profits in investing, so it's no wonder that we see them managing purchases quite well by using the DCA strategy. Indeed, many of us see at a glance that bitcoin investment is a very easy investment because we only need to buy and hold, but if there is no good stance I think many mistakes can be made.

When we start something, we need a strong stance to achieve success by making a profit. The long road certainly has many obstacles, of course we need a lot of preparation, including managing time well and allocating a budget to buy bitcoin.

If we look at the price of bitcoin, where in early 2025 bitcoin reached its highest peak, of course we see a lot of interest from novice investors who continue to buy bitcoin, and today we see the price correcting again which creates an opportunity to continue to accumulate bitcoin at a low price.

It may seem as though holding Bitcoin for a longer period is not easy but when an investor is determined and invest on Bitcoin the rightful way then everything would become less difficult, Bitcoin investment is something that involves the future therefore an investor who is serious about it would have to be patient, discipline and even start with the right strategy that would make it very easy and we all that agree that the DCA is the most preferable strategy for a newbie to start with. Many investors have missed out on buying Bitcoin at a cheaper rate cause the price was very costly back then but along the line when the price increased they saw the need to buy and regret not buying earlier, that's same thing that would happen to people are still in doubt or confused concerning the price of Bitcoin. Correction is something that's bound to happen when it comes to Bitcoin, that has been proven overtime but it would be a wrong approach to wait before the price drops before buying bitcoin and that's why the DCA is very important cause its not affected by volatility.

That's very correct, and of course our determination is what matters because anyone whose mind is well made up to go into bitcoin investment will not find it difficult to HODL his/her bitcoin in the long run. I guess you know the feeling when You're ready to go into something very profiting, you will just do it willingly without paying attention to anything, reason is because you wouldn't want anything that will hinder you from achieving that which you desired to get in the future.

However, the DCA method even make things very easier for everyone because even if you don't have a job so far as you have a source of getting money and you have the strong determination to invest in bitcoin, definitely you can still accumulate bitcoin using the DCA method and also with  a certain amount, no matter how small it is. So far as one is consistant in making the accumulation, Before the next one year I can assure you that by then you most have build a large portfolio.

[JayJuanGee]

[edited out]

But I thought you said before you invest you have to deduct all your  expenses and invest with what is left? Your children educational needs will have to come under the expenses you are deducting from your salary before making investment with what's left. Your children children education and welfare should be taken very serious, so we don't mortgage their future in the name of investment. Make adequate provisions for them, as you are also planning your investment.

Education expenses for kids can be considered as current expenses or future expenses. Of course, if they are current expenses, then they would be deducted prior to determining discretionary income, yet if they are 4-10 years or more into the future, then some folks will create investment funds for the education of their kids.. so their kids' educational fund could be part of their bitcoin investment.  Of course, kid education fund is more likely a discretionary expense rather than a mandatory expense, so people will not necessarily think the same about those kinds of expenses.  A kids food and lodging would likely be a mandatory expense, although there would be discretion in regards to what kind of food and what kind of lodging would be reasonable and/or prudent.  It might not be reasonable or prudent to put a kind in a palace and with the best of food, and it might not be reasonable/prudent to underly provide for them either, ..so there may well be a need for some level of balance of mandatory and discretionary in regards to the level of their food/lodging/clothing.

[Ryu_Ar1]

But I thought you said before you invest you have to deduct all your  expenses and invest with what is left? Your children educational needs will have to come under the expenses you are deducting from your salary before making investment with what's left. Your children children education and welfare should be taken very serious, so we don't mortgage their future in the name of investment. Make adequate provisions for them, as you are also planning your investment.

I prefer to say that we should try to be wiser in managing finances instead of reducing them especially when talking about equally important matters such as children's education because after all this is the same nature for a better future.

Although I know that in the end when we invest, there must be some sacrifices such as making savings in spending so as not to go over and not to do shopping that is ultimately only for things that are considered for momentary satisfaction because we will try to manage finances well but that does not mean we sacrifice other important things such as education costs. I don't really agree with this proposal.

Children's education (when we have children) is an obligation that we must provide as parents, not that we expect a return in the future but as good parents we certainly have to provide the best for our children at least that is one of my reasons for not agreeing to this reduction. Besides that, investment is also important but in the end we can still invest without having to make a reduction in this case because indeed when we can manage finances well, things like this can actually still be handled well with a note that our financial management is well maintained.

[SuperBitMan]

[edited out]

But I thought you said before you invest you have to deduct all your  expenses and invest with what is left? Your children educational needs will have to come under the expenses you are deducting from your salary before making investment with what's left. Your children children education and welfare should be taken very serious, so we don't mortgage their future in the name of investment. Make adequate provisions for them, as you are also planning your investment.

Education expenses for kids can be considered as current expenses or future expenses. Of course, if they are current expenses, then they would be deducted prior to determining discretionary income, yet if they are 4-10 years or more into the future, then some folks will create investment funds for the education of their kids.. so their kids' educational fund could be part of their bitcoin investment.  Of course, kid education fund is more likely a discretionary expense rather than a mandatory expense, so people will not necessarily think the same about those kinds of expenses.  A kids food and lodging would likely be a mandatory expense, although there would be discretion in regards to what kind of food and what kind of lodging would be reasonable and/or prudent.  It might not be reasonable or prudent to put a kind in a palace and with the best of food, and it might not be reasonable/prudent to underly provide for them either, ..so there may well be a need for some level of balance of mandatory and discretionary in regards to the level of their food/lodging/clothing.

Sir JayJuanGee don't you think when it comes to this aspect it depends on the person it self what you may see as important may not be to another person.
When it comes to mandatory and discretionary expense I think a person will determine what is mandatory and discretionary expense to him.

[Ronsbit]

[edited out]

You are right that some investors do not have an idea about emergency funds and how it works but rather, they solely depend on their profit, which sometimes does not go down well with them and when their business begins to shake or have issues, they sell their assets just to solve the problem and in some cases when it overwhelms them, they get frustrated and that is the end of their business.

I once had no idea about this aspect of emergency savings till it dawned on me. That was when I realized that I had no savings. I made a budget for it and began my emergency savings, and it has helped a lot when I am in need of financial backup.

Sometimes investors do not realize the extent to which they are lacking in back up funds until they think through the situation or an actual emergency comes and they have no fall back... So, it remains important to have some thoughts about your set up  before you end up in some situation that you had not realized that you had made yourself vulnerable.  These matters become more important with an investment like bitcoin that fluctuates a lot, and if any of us make investment plans that go out 4-10 years or more, then we likely have to try to figure out ways that we are not tapping into our investments at all, but especially at times that are not completely of our own choosing or at times that we are not able replace any bitcoin that we might have spent.

Sometimes newbie investors will also play fast and loose with their bitcoin investment, and even if they might have a plan to invest into bitcoin for 10 years or more, they will find that their bitcoin holdings are extensively in profits at a time that it still early in their investment, and then they may well end up fucking up their investment because they try to trade it.. and then they may well end up selling too much too early or ending up with way less bitcoin than they would have had if they had stayed focused on ongoing buying the bitcoin until they get enough bitcoin or more than enough bitcoin.

Surely anyone on the internet cannot resolve your situation, so it remains important that you figure out some systems that will work for you to reach your goals, and if you are trying to accumulate and build up your bitcoin, then it is good for you to think through the various aspects of your personal factors to make sure that you have put good systems in place that are tailored to your own financial and psychological circumstances.

I agree with your postulation that many investors make the mistake of not having backup funds, and this they fail to understand. Ordinarily, for every investment one ventures into, there must or should always be a backup fund to avoid falling back on their investment. I have realized that many investors have this mentality of the fact that since the business or investment is theirs, they could dip their hand into their profit and make some sales or take the profit, which goes against the main purpose for which that business or investment was set up and when they constantly engage in such practices, they derail the main aim or profit target for which they had initially setup the business for. Ever since I learnt my lessons, I always try my best to not think about my long-term Bitcoin investment after I did it and before I did it, I had a plan of saving 15 percent of my salary every month and from other proceeds as well so that I do not put eyes on my bitcoin investment for the number of years I planned holding it.

This act of falling back to business profit has caused many businesses to fold both Bitcoin investments as well. You see, they would look at their Bitcoin profit and be like Oh, I am in profit, let me take this profit and sort things out immediately and so doing they continue to tamper with their investment till it dawns on them that they have altered their bitcoin investments plan and target because they have no savings to backup their emergent situations. It ends up in a bad state, where they lose everything at the same time and have nothing to hold onto. Many businesses today have crashed because of this carelessness on the part of the owners and holders of Bitcoin assets.