JJG’s Outline of Bitcoin Investment Ideas

[JayJuanGee]

Buying at the dip means buying when bitcoin is below the current price. That's bitcoin price is currently at $69,455 as I'm writing this post. instead, of you to buy at this price because your discretionary income is available, you didn't and choose to wait till the price of bitcoin fall to $50k before you will buy. That's what buying at the dip means.

The bad side of this strategy is that you will continue waiting for the price to reach $50k without buying and if the price did not reach that amount you wouldn't buy keeping you in a stagnate position at that moment. What if the price did not fall, you will miss out the opportunity in the market that you should have used to accumulate bitcoin with DCA every week and increase your portfolio size.

Buying at the dip limits the quantity of bitcoin that you are supposed to have accumulated assuming you kepg your DCA ongoing regularly, weekly, persistently and consistently for 4-10 years and above. There is no need waiting when you have your discretionary income. Bitcoin price movement is unpredictable making it not a good idea to wait.

Waiting for the dip before buying bitcoin is a wrong idea because what if the price of bitcoin keep going higher, that means they won't invest in bitcoin. Waiting for it to dip before buying isn't a great ideal as they might change their mind and they may never get the chance to invest in bitcoin at this rate as the current bitcoin price would be a dip in the future. If they can figure they have discretionary income to invest and apply common sense, they should invest immediately rather than wasting time waiting for the dip they aren't sure will happen.

Since the price of Bitcoin cannot be predicted in advance, it would be a mistake for someone to think that they will buy Bitcoin tomorrow. No one knows how much the price can increase in a day. If you have the available funds, you should start accumulating Bitcoin and keep going it regularly. In the future the price of Bitcoin will decrease or increase but if you can run the DCA strategy of depositing Bitcoin in every price trend as the Bitcoin holding will continue to increase, your buying price will be in a balancing state and you will be able to accumulate a large Bitcoin holding at the end of the long term accumulation process. Bitcoin investment will be a successful situation for those who will try to make profits in a short time. They will be in a continuous state of accumulating Bitcoin and try to go into a state of overaccumulation.

BTC spot price tends to be way more variable than something like the 200-WMA (which is the average over 4 years).  The 200-WMA has tended to go up at least 25% per year, yet it is possible that its slope will become less steep.

It seems likely that if we keep buying bitcoin on a regular basis, then the BTC price is going to tend to go up, even though it is going to have a lot of variance in the short-term.

One of the reasons to try to front load an investment into bitcoin  (when possible) is that the price tends to go up.. yet at the same time, the reality of the matter is that it is likely that a decently large majority of normal people are not able to front load their bitcoin investment in a lump sum kind of a way, so if their goal is to try to front load their bitcoin investment, then the best that they tend to be able to do is to invest as aggressively as they are able to in terms of their DCA amount that allows them to invest into bitcoin as their money comes in and after they have determined such funds to be available for bitcoin investing.

[Bigjoe33]

Buying at the dip means buying when bitcoin is below the current price. That's bitcoin price is currently at $69,455 as I'm writing this post. instead, of you to buy at this price because your discretionary income is available, you didn't and choose to wait till the price of bitcoin fall to $50k before you will buy. That's what buying at the dip means.

The bad side of this strategy is that you will continue waiting for the price to reach $50k without buying and if the price did not reach that amount you wouldn't buy keeping you in a stagnate position at that moment. What if the price did not fall, you will miss out the opportunity in the market that you should have used to accumulate bitcoin with DCA every week and increase your portfolio size.

Buying at the dip limits the quantity of bitcoin that you are supposed to have accumulated assuming you kepg your DCA ongoing regularly, weekly, persistently and consistently for 4-10 years and above. There is no need waiting when you have your discretionary income. Bitcoin price movement is unpredictable making it not a good idea to wait.

Waiting for the dip before buying bitcoin is a wrong idea because what if the price of bitcoin keep going higher, that means they won't invest in bitcoin. Waiting for it to dip before buying isn't a great ideal as they might change their mind and they may never get the chance to invest in bitcoin at this rate as the current bitcoin price would be a dip in the future. If they can figure they have discretionary income to invest and apply common sense, they should invest immediately rather than wasting time waiting for the dip they aren't sure will happen.

Waiting for the Dip before you buy?, Who the hell does that? A total wrong one and approach to Bitcoin because it doesn't grow your investment portfolio continually but delays you since you have to keep waiting.

Consistency is the key and gives you a balance growth of your Bitcoin investment continually. Using the DCA strategy and remaining consistent wins it all and always remains the best and helps you remain steady.  Even though we accumulate it gradually as the DCA strategy allows us, its believed that in years if we remain put and focused, we would have been able to stack something tangible.

[ruykeri]

Waiting for the dip before buying bitcoin is a wrong idea because what if the price of bitcoin keep going higher, that means they won't invest in bitcoin. Waiting for it to dip before buying isn't a great ideal as they might change their mind and they may never get the chance to invest in bitcoin at this rate as the current bitcoin price would be a dip in the future. If they can figure they have discretionary income to invest and apply common sense, they should invest immediately rather than wasting time waiting for the dip they aren't sure will happen.

Waiting for the Dip before you buy?, Who the hell does that? A total wrong one and approach to Bitcoin because it doesn't grow your investment portfolio continually but delays you since you have to keep waiting.

Consistency is the key and gives you a balance growth of your Bitcoin investment continually. Using the DCA strategy and remaining consistent wins it all and always remains the best and helps you remain steady.  Even though we accumulate it gradually as the DCA strategy allows us, its believed that in years if we remain put and focused, we would have been able to stack something tangible.

Cossyblack and you are saying the same thing. There is no need to repeat the same thing over and over again. Those who are experienced know that waiting for a Bitcoin dip means missing opportunities and wasting time. And the main thing in investing is to maintain consistency. And to keep it right, it is important to have strong discretionary income. And to avoid force selling, you need to form a back-up fund. If these basic things are right, it is possible to invest in Bitcoin for a long time. But when someone waits to invest in a dip or invests all their money when they see the price of Bitcoin a little lower, they are not actually in the investor mindset. That is why so much importance is given to regular accumulation over a long time without thinking about buying at a dip.

[Joeboy]

~snip

BTC spot price tends to be way more variable than something like the 200-WMA (which is the average over 4 years).  The 200-WMA has tended to go up at least 25% per year, yet it is possible that its slope will become less steep.

It seems likely that if we keep buying bitcoin on a regular basis, then the BTC price is going to tend to go up, even though it is going to have a lot of variance in the short-term.

One of the reasons to try to front load an investment into bitcoin  (when possible) is that the price tends to go up.. yet at the same time, the reality of the matter is that it is likely that a decently large majority of normal people are not able to front load their bitcoin investment in a lump sum kind of a way, so if their goal is to try to front load their bitcoin investment, then the best that they tend to be able to do is to invest as aggressively as they are able to in terms of their DCA amount that allows them to invest into bitcoin as their money comes in and after they have determined such funds to be available for bitcoin investing.

For sure nothing can be said to be certain pertaining Bitcoin's price.... But yet again Bitcoin rearly goes below the 200WMA and/or spends little time below it and so anyone who still experiencing any kind of hesitation due to their supposed mentality of a possible loss of value and/or a continuous decline without any recovery isn't just being realistic with themselves about the true potential of Bitcoin....If ever these folks continue in their hesitation/or fear, they could eventually miss out from getting starting in the accumulation journey which I could say is definitely a huge loss for them...

So yeah I think the DCA could just be the approach they need, since it give folks the opportunity to invest with whatever amount that is available and make the increment overtime... Then again folks shouldn't get struck to investing with little amounts since that could result in a smaller portfolio overtime, therefore they have to ensure that they try to prioritize the increment of their investments amounts in such away that can give them a bigger and better portfolio over the years...

[laijsica]

Our long-term goal while investing should be at least 4-10 years....Here my question is how can I build mental patience and confidence for such a long period of time?

Avoid showing personal volatility to get profit. Be firm in Bitcoin accumulation and do it through discretionary income. Build an emergency fund because your Bitcoin goal is a long term of 4-10 years. Accumulate Bitcoin regardless of each price during this period because the market price volatility can be affected by FOMO and create an immature withdrawal attitude. Long-term goal is a tough challenge to face this challenge. Be patient and accumulate Bitcoin through discretionary income through DCA strategy and your investment target should be to build a decent Bitcoin portfolio during this period.

Seems I just learnt a new word today "personal volatility ", wish you added more explanation to this so that to make the meaning clearer. I know of volatility of the Bitcoin market just like every other traded markets. I want to assuming that what you are referring to personal volatility is impulsive behavior that can make an investor take decisions without proper consideration and end up making mistakes. Decision such as selling when not planned, investing funds for basic needs into Bitcoin and others, which are generally harmful to the accumulation and holding process and should therefore be avoided.

In Bitcoin investing you will always be familiar with a term that Bitcoin's price is volatile. Just like there is a breaker in the case of investing in the capital market but Bitcoin price has no limit on its fluctuations, so its price can fluctuate within a very short period of time due to fluctuations in demand. You as an investor have to be patient in the price fluctuations. Through discipline and patience you can create a decent portfolio of Bitcoin. The market will be volatile but as an investor you should be a steady investor not personal volatility. It may not be easy for someone to be in the Bitcoin accumulation stage regularly and stay in the long term especially for those who show personal volatility in investing. Bitcoin price may be volatile at times but as an investor, you have to be steady and depositing Bitcoin regularly.

[JayJuanGee]

~snip

BTC spot price tends to be way more variable than something like the 200-WMA (which is the average over 4 years).  The 200-WMA has tended to go up at least 25% per year, yet it is possible that its slope will become less steep.

It seems likely that if we keep buying bitcoin on a regular basis, then the BTC price is going to tend to go up, even though it is going to have a lot of variance in the short-term.

One of the reasons to try to front load an investment into bitcoin  (when possible) is that the price tends to go up.. yet at the same time, the reality of the matter is that it is likely that a decently large majority of normal people are not able to front load their bitcoin investment in a lump sum kind of a way, so if their goal is to try to front load their bitcoin investment, then the best that they tend to be able to do is to invest as aggressively as they are able to in terms of their DCA amount that allows them to invest into bitcoin as their money comes in and after they have determined such funds to be available for bitcoin investing.

For sure nothing can be said to be certain pertaining Bitcoin's price.... But yet again Bitcoin rearly goes below the 200WMA and/or spends little time below it and so anyone who still experiencing any kind of hesitation due to their supposed mentality of a possible loss of value and/or a continuous decline without any recovery isn't just being realistic with themselves about the true potential of Bitcoin....If ever these folks continue in their hesitation/or fear, they could eventually miss out from getting starting in the accumulation journey which I could say is definitely a huge loss for them...

So yeah I think the DCA could just be the approach they need, since it give folks the opportunity to invest with whatever amount that is available and make the increment overtime... Then again folks shouldn't get struck to investing with little amounts since that could result in a smaller portfolio overtime, therefore they have to ensure that they try to prioritize the increment of their investments amounts in such away that can give them a bigger and better portfolio over the years...

Of course many bitcoiners assess the 200-WMA as a bottom price indicator in bitcoin (which is part of the benefit in using it as a bottom indicator), and historically bitcoin has not spent too much time below the 200-WMA - even though it had spiked below the 200 WMA in 2014/2015, in 2018 and 2020.. and also between June 2022 and October 2023, bitcoin spent quite a bit of that time below the 200-WMA and even got as low as 35% below the 200-WMA in November 2022.

So, in some sense we need be prepared for anything, even if we are overall bullish about bitcoin as amongst one of the best, if not the best of investments currently available to anyone who has discretionary funds that they can use for investment purposes.

Overall I agree with your framing the need to prioritize bitcoin investing, and even for normies to figure out ways to invest as much into bitcoin as they can without over doing it, which surely can be difficult for anyone who struggles to generate any discretionary income on a regular basis, so surely each person has to assess how aggressive they are able to be in their birtcoin accumulation without overdoing it.

Our long-term goal while investing should be at least 4-10 years....Here my question is how can I build mental patience and confidence for such a long period of time?

Avoid showing personal volatility to get profit. Be firm in Bitcoin accumulation and do it through discretionary income. Build an emergency fund because your Bitcoin goal is a long term of 4-10 years. Accumulate Bitcoin regardless of each price during this period because the market price volatility can be affected by FOMO and create an immature withdrawal attitude. Long-term goal is a tough challenge to face this challenge. Be patient and accumulate Bitcoin through discretionary income through DCA strategy and your investment target should be to build a decent Bitcoin portfolio during this period.

Seems I just learnt a new word today "personal volatility ", wish you added more explanation to this so that to make the meaning clearer. I know of volatility of the Bitcoin market just like every other traded markets. I want to assuming that what you are referring to personal volatility is impulsive behavior that can make an investor take decisions without proper consideration and end up making mistakes. Decision such as selling when not planned, investing funds for basic needs into Bitcoin and others, which are generally harmful to the accumulation and holding process and should therefore be avoided.

In Bitcoin investing you will always be familiar with a term that Bitcoin's price is volatile. Just like there is a breaker in the case of investing in the capital market but Bitcoin price has no limit on its fluctuations, so its price can fluctuate within a very short period of time due to fluctuations in demand. You as an investor have to be patient in the price fluctuations. Through discipline and patience you can create a decent portfolio of Bitcoin. The market will be volatile but as an investor you should be a steady investor not personal volatility. It may not be easy for someone to be in the Bitcoin accumulation stage regularly and stay in the long term especially for those who show personal volatility in investing. Bitcoin price may be volatile at times but as an investor, you have to be steady and depositing Bitcoin regularly.

 

You are largely correct laijsica.

One of the most inevitable things in bitcoin is its volatility, and we cannot even have 100% confidence in the direction of bitcoin's volatility, especially in the short term.

So in some sense, we are advantaged to know about bitcoin's volatility so that we will not let such a known thing affect us behaviorally and/or psychologically, and so in that regard, we try to control the matters that we are able to control that relate to our cashflow management and figuring out how much we are going to continue to invest into bitcoin on a persistent, consistent, regular, ongoing and perhaps even aggressive basis... And, yeah, it tends to take years and years to build up an investment portfolio, even though there might be ways that we might be able to also improve our situation by ongongly figuring out ways that we might be able to increase our discretionary income by increasing our income and/or cutting our expenses.

[Italian Panic]

Of course many bitcoiners assess the 200-WMA as a bottom price indicator in bitcoin (which is part of the benefit in using it as a bottom indicator), and historically bitcoin has not spent too much time below the 200-WMA - even though it had spiked below the 200 WMA in 2014/2015, in 2018 and 2020.. and also between June 2022 and October 2023, bitcoin spent quite a bit of that time below the 200-WMA and even got as low as 35% below the 200-WMA in November 2022.

In my view, it might be a mistake to rely solely on the 200 WMA as a bottom indicator its better to combine it with another indicator to see if it's making sense.
I’m not a professional trader, but I try to understand things at a basic level to see how the world works. By studying market bottoms and taking advice from others, I have noticed that they combine the 200 WMA chart with the RSI30 indicator; in other words, if the RSI30 is very high and tends to converge towards the 200 WMA,it means we are approaching a bottom and that bitcoin is oversold.
For example, I read a post by a very skilled trader here in our local section who in early February highlighted this type of convergence with support towards the 2021 ATH levels, and I must say there were many interesting things to be seen.
But this applies to many other indicators: viewed in isolation, they take on a certain meaning, but by broadening one’s perspective and combining them with other indicators, one can gain a much broader view. The real skill is understanding with which indicators to combine them and when, and this is what distinguishes a good trader from an average one.

[Crytohillss]

~snip

BTC spot price tends to be way more variable than something like the 200-WMA (which is the average over 4 years).  The 200-WMA has tended to go up at least 25% per year, yet it is possible that its slope will become less steep.

It seems likely that if we keep buying bitcoin on a regular basis, then the BTC price is going to tend to go up, even though it is going to have a lot of variance in the short-term.

One of the reasons to try to front load an investment into bitcoin  (when possible) is that the price tends to go up.. yet at the same time, the reality of the matter is that it is likely that a decently large majority of normal people are not able to front load their bitcoin investment in a lump sum kind of a way, so if their goal is to try to front load their bitcoin investment, then the best that they tend to be able to do is to invest as aggressively as they are able to in terms of their DCA amount that allows them to invest into bitcoin as their money comes in and after they have determined such funds to be available for bitcoin investing.

For sure nothing can be said to be certain pertaining Bitcoin's price.... But yet again Bitcoin rearly goes below the 200WMA and/or spends little time below it and so anyone who still experiencing any kind of hesitation due to their supposed mentality of a possible loss of value and/or a continuous decline without any recovery isn't just being realistic with themselves about the true potential of Bitcoin....If ever these folks continue in their hesitation/or fear, they could eventually miss out from getting starting in the accumulation journey which I could say is definitely a huge loss for them...

So yeah I think the DCA could just be the approach they need, since it give folks the opportunity to invest with whatever amount that is available and make the increment overtime... Then again folks shouldn't get struck to investing with little amounts since that could result in a smaller portfolio overtime, therefore they have to ensure that they try to prioritize the increment of their investments amounts in such away that can give them a bigger and better portfolio over the years...

Of course many bitcoiners assess the 200-WMA as a bottom price indicator in bitcoin (which is part of the benefit in using it as a bottom indicator), and historically bitcoin has not spent too much time below the 200-WMA - even though it had spiked below the 200 WMA in 2014/2015, in 2018 and 2020.. and also between June 2022 and October 2023, bitcoin spent quite a bit of that time below the 200-WMA and even got as low as 35% below the 200-WMA in November 2022.

So, in some sense we need be prepared for anything, even if we are overall bullish about bitcoin as amongst one of the best, if not the best of investments currently available to anyone who has discretionary funds that they can use for investment purposes.

Overall I agree with your framing the need to prioritize bitcoin investing, and even for normies to figure out ways to invest as much into bitcoin as they can without over doing it, which surely can be difficult for anyone who struggles to generate any discretionary income on a regular basis, so surely each person has to assess how aggressive they are able to be in their birtcoin accumulation without overdoing it.

Our long-term goal while investing should be at least 4-10 years....Here my question is how can I build mental patience and confidence for such a long period of time?

Avoid showing personal volatility to get profit. Be firm in Bitcoin accumulation and do it through discretionary income. Build an emergency fund because your Bitcoin goal is a long term of 4-10 years. Accumulate Bitcoin regardless of each price during this period because the market price volatility can be affected by FOMO and create an immature withdrawal attitude. Long-term goal is a tough challenge to face this challenge. Be patient and accumulate Bitcoin through discretionary income through DCA strategy and your investment target should be to build a decent Bitcoin portfolio during this period.

Seems I just learnt a new word today "personal volatility ", wish you added more explanation to this so that to make the meaning clearer. I know of volatility of the Bitcoin market just like every other traded markets. I want to assuming that what you are referring to personal volatility is impulsive behavior that can make an investor take decisions without proper consideration and end up making mistakes. Decision such as selling when not planned, investing funds for basic needs into Bitcoin and others, which are generally harmful to the accumulation and holding process and should therefore be avoided.

In Bitcoin investing you will always be familiar with a term that Bitcoin's price is volatile. Just like there is a breaker in the case of investing in the capital market but Bitcoin price has no limit on its fluctuations, so its price can fluctuate within a very short period of time due to fluctuations in demand. You as an investor have to be patient in the price fluctuations. Through discipline and patience you can create a decent portfolio of Bitcoin. The market will be volatile but as an investor you should be a steady investor not personal volatility. It may not be easy for someone to be in the Bitcoin accumulation stage regularly and stay in the long term especially for those who show personal volatility in investing. Bitcoin price may be volatile at times but as an investor, you have to be steady and depositing Bitcoin regularly.

 

You are largely correct laijsica.

One of the most inevitable things in bitcoin is its volatility, and we cannot even have 100% confidence in the direction of bitcoin's volatility, especially in the short term.

So in some sense, we are advantaged to know about bitcoin's volatility so that we will not let such a known thing affect us behaviorally and/or psychologically, and so in that regard, we try to control the matters that we are able to control that relate to our cashflow management and figuring out how much we are going to continue to invest into bitcoin on a persistent, consistent, regular, ongoing and perhaps even aggressive basis... And, yeah, it tends to take years and years to build up an investment portfolio, even though there might be ways that we might be able to also improve our situation by ongongly figuring out ways that we might be able to increase our discretionary income by increasing our income and/or cutting our expenses.

The 200WMA has definitely earned its reputation over this period of time but just like you pointed out it is not some untouchable line Bitcoin has dipped below it enough time to remind people that nothing is ever guarantee it is more of a strong zone than a hard ground being bullish long term makes sense but going all in without considering people own financial reality can affect everything, very one situation is different so figuring out a sustainable way to accumulate with out stressing one self it is not all but observing the market it's all comes down to being consistent and not putting your self in a position where one are forced out of the market when things get hard.

[Hardyrobust]

The 200WMA has definitely earned its reputation over this period of time but just like you pointed out it is not some untouchable line Bitcoin has dipped below it enough time to remind people that nothing is ever guarantee it is more of a strong zone than a hard ground being bullish long term makes sense but going all in without considering people own financial reality can affect everything, very one situation is different so figuring out a sustainable way to accumulate with out stressing one self it is not all but observing the market it's all comes down to being consistent and not putting your self in a position where one are forced out of the market when things get hard.

people should always consider there financial situation before thinking of going in all at ones or comparing themselves with others investors that there financial situation maybe far better or worst than theres. Starting with DCA strategy using ones discretionionary income can reduce the impact of volatility and also it doesn't requires going in all at once but rather it encourages consistent buying at different intervals. So the DCA strategy is a sunstaniable way to accumulate bitcoin since it doesn't requires going in all at ones , even investors with low discretionionary can still buy bitcoin using DCA strategy.

[Taskford]

Seems I just learnt a new word today "personal volatility ", wish you added more explanation to this so that to make the meaning clearer. I know of volatility of the Bitcoin market just like every other traded markets. I want to assuming that what you are referring to personal volatility is impulsive behavior that can make an investor take decisions without proper consideration and end up making mistakes. Decision such as selling when not planned, investing funds for basic needs into Bitcoin and others, which are generally harmful to the accumulation and holding process and should therefore be avoided.

In Bitcoin investing you will always be familiar with a term that Bitcoin's price is volatile. Just like there is a breaker in the case of investing in the capital market but Bitcoin price has no limit on its fluctuations, so its price can fluctuate within a very short period of time due to fluctuations in demand. You as an investor have to be patient in the price fluctuations. Through discipline and patience you can create a decent portfolio of Bitcoin. The market will be volatile but as an investor you should be a steady investor not personal volatility. It may not be easy for someone to be in the Bitcoin accumulation stage regularly and stay in the long term especially for those who show personal volatility in investing. Bitcoin price may be volatile at times but as an investor, you have to be steady and depositing Bitcoin regularly.

Agree with this since volatile movement is so natural on Bitcoin. Many people got afraid with it and when there's a dump happen they call Bitcoin as scam. But they didn't realize that they are being so emotional on those volatile movements that's why they get panic and got in trouble.

If they just have patience and have discipline on each actions they do, they can provably avoid committing mistakes on short term movements of Bitcoin.

Their chances to succeed is maybe high, if they don't reach badly on those short term movements and other troubles, also if their trust is high on Bitcoin then they consistently buying whatever situation occur or they see happening in the market.

[alankasman]

people should always consider there financial situation before thinking of going in all at ones or comparing themselves with others investors that there financial situation maybe far better or worst than theres. Starting with DCA strategy using ones discretionionary income can reduce the impact of volatility and also it doesn't requires going in all at once but rather it encourages consistent buying at different intervals. So the DCA strategy is a sunstaniable way to accumulate bitcoin since it doesn't requires going in all at ones , even investors with low discretionionary can still buy bitcoin using DCA strategy.

For me it is also necessary because we must be aware of the finances we have before starting to invest and this is a pretty smart thought that we need to do because if we don't think about the finances we have of course the risk will be greater after we make an investment in the future meaning ensure stable finances to start investing healthier with the income we will achieve during the investment but the strategy we will apply based on our abilities it aims to avoid the risks that we will receive in implementing patterns that are sometimes different from the systems of other people (investors) who do but we remain firm through a personal system in using a strategy to do DCA on Bitcoin purchases through discretionary income both low and higher this is with the aim of remaining fully consistent in investing by accumulating the number of BTC to a greater amount.

[Derekfunds]

The 200WMA has definitely earned its reputation over this period of time but just like you pointed out it is not some untouchable line Bitcoin has dipped below it enough time to remind people that nothing is ever guarantee it is more of a strong zone than a hard ground being bullish long term makes sense but going all in without considering people own financial reality can affect everything, very one situation is different so figuring out a sustainable way to accumulate with out stressing one self it is not all but observing the market it's all comes down to being consistent and not putting your self in a position where one are forced out of the market when things get hard.

people should always consider there financial situation before thinking of going in all at ones or comparing themselves with others investors that there financial situation maybe far better or worst than theres. Starting with DCA strategy using ones discretionionary income can reduce the impact of volatility and also it doesn't requires going in all at once but rather it encourages consistent buying at different intervals. So the DCA strategy is a sunstaniable way to accumulate bitcoin since it doesn't requires going in all at ones , even investors with low discretionionary can still buy bitcoin using DCA strategy.

Going all in, in Bitcoin investment depends on discretionary income not financial situation because it is not your expense money you are going all in with but rather your discretionary income and anyone who uses their expenses or money outside their discretionary income to go all in, the person is actually trading and not investing because any investment money should come from discretionary as you will not have to use or need the money... and lastly going all in is not a bad idea, if you have the discretionary income available you can go ahead.

[Joy- maker]

Bitcoin investment depends on discretionary income not financial situation because it is not your expense money you are going all in with but rather your discretionary income and anyone who uses their expenses or money outside their discretionary income to go all in, the person is actually trading and not investing because any investment money should come from discretionary as you will not have to use or need the money... and lastly going all in is not a bad idea, if you have the discretionary income available you can go ahead.

I can't agree with you, because you are not sounding realistic. And as the mater of fact, Bitcoin investment doesn't just depend on your discretionary income. Investing in Bitcoin should primary depend on your financial situation, not just your discretionary income as you said.

Imo, before you think of investing in Bitcoin you have to first of all access your overall financial health, check your depts, your emergency savings, your regular expenses and your financial obligations.

if you have a hige dept and no emergency fund investing in Bitcoin would be a little bit difficult for you. However, waiting to get things fixed is not also advisable, because it would delay your investment journey. Getting started is very important, if you can be able to be mapping out your discretionary income every week or every month you can get started with Bitcoin, while you figure out how you can get things fixed.

[blockman]

Imo, before you think of investing in Bitcoin you have to first of all access your overall financial health, check your depts, your emergency savings, your regular expenses and your financial obligations.

if you have a hige dept and no emergency fund investing in Bitcoin would be a little bit difficult for you. However, waiting to get things fixed is not also advisable, because it would delay your investment journey. Getting started is very important, if you can be able to be mapping out your discretionary income every week or every month you can get started with Bitcoin, while you figure out how you can get things fixed.

Just balance all of those things but I agree that someone who invests in Bitcoin needs also to have some good standing with those things. Because if someone who invests in Bitcoin and they're also in a huge debt. What will happen? they're likely to sell the Bitcoins they're holding to pay for that debt. And that's why it's important that you balance things and you pay on time those debts and have it until you are debt free so your focus is on the investment that you have. Also with emergency fund, the same scenario can be made if you have not prepared for it.

[JayJuanGee]

Of course many bitcoiners assess the 200-WMA as a bottom price indicator in bitcoin (which is part of the benefit in using it as a bottom indicator), and historically bitcoin has not spent too much time below the 200-WMA - even though it had spiked below the 200 WMA in 2014/2015, in 2018 and 2020.. and also between June 2022 and October 2023, bitcoin spent quite a bit of that time below the 200-WMA and even got as low as 35% below the 200-WMA in November 2022.

In my view, it might be a mistake to rely solely on the 200 WMA as a bottom indicator its better to combine it with another indicator to see if it's making sense.

Frequently I talk about the 200-WMA in terms of how it relates to BTC's spot price, to the extent that you want more than one indicator.  I have a sustainable withdrawal tool that plays with the relationship of the 200-WMA to the spot price. 

Surely I am not investing into bitcoin and/or talking about investing into bitcoin based on technical analysis, and surely I would imagine that guys who are investing into bitcoin for 4-10 years or longer, they are also figuring out why they are investing into bitcoin and perhaps building their confidence in bitcoin based on various fundamental analysis of bitcoin being sound money and its network effects (as outlined by Trace Mayer) rather than trying to trade it.

In other words, we are talking about investing and not trading, and perhaps figuring out how we are dealing with bitcoin in longer terms rather than shorter terms .. so then if we get through our accumulation phase, and then go through our maintenance phase, then by the time we arrive at our sustainable withdrawal phase, then we likely have learned about bitcoin beyond merely it's number go up technology.

I’m not a professional trader, but I try to understand things at a basic level to see how the world works.

Yeah, but fuck trading. We are not talking about that in this thread, even if you are reading discussion of the 200WMA in term of an indicator...

By studying market bottoms and taking advice from others, I have noticed that they combine the 200 WMA chart with the RSI30 indicator; in other words, if the RSI30 is very high and tends to converge towards the 200 WMA,it means we are approaching a bottom and that bitcoin is oversold.

If a guy is emphasizing investing rather than trading, then how is the RSI30 going to help him especially since he may well have to spend a cycle or two focused on accumulating bitcoin before he might get to a status of accumulating enough or more than enough?

I surely don't recommend trying to time the market for newbie who are accumulating bitcoin.. .. so from my point of view, if they are in their accumulation stage, then  they need to focus on ongoing buying.

You have ONLY been registered here since April 2023.  I have a hard time believing that you would have had accumulated enough bitcoin, yet, so you are likely trading rather than investing and we are not talking about trading in this thread, except to denigrate it from time to time, perhaps?

For example, I read a post by a very skilled trader here in our local section who in early February highlighted this type of convergence with support towards the 2021 ATH levels, and I must say there were many interesting things to be seen.

Were you in bitcoin in 2021?  and how do you relate that supposed convergence as a way to invest in bitcoin, since I tend to recommend accumulating bitcoin DCAing in a persistent way, even though surely there could be times that DCA might be supplemented by lump sum buying and buying on the dip.. but from my perspective, those kinds of BTC accumulation strategies can easily devolve into either trading or putting guys into a wrong (waiting) kind of an approach to accumulation and contribute to more whimpy approaches to bitcoin accumulation, at least from my perspective.

I don't really like the idea of accumulating bitcoin by waiting for dips that might not happen.

But this applies to many other indicators: viewed in isolation, they take on a certain meaning, but by broadening one’s perspective and combining them with other indicators, one can gain a much broader view. The real skill is understanding with which indicators to combine them and when, and this is what distinguishes a good trader from an average one.

Fuck trading or attempting to trade when you may well be trying to accumulate bitcoin. I am not sure what your goal is.  Are you trying to accumulate bitcoin or what?   It could be that you don't even know the difference between trading and investing.    I know many guys think that trading is the same as investing, and it is not, at least from my perspective and this thread is about my perspective on investing.. Did you even see the title of this thread? 

If you are even trying to stay on topic in this thread, you might need to reread my earlier post in light of my own investing ideas rather than trading ideas that don't seem to at least account for my investment ideas.. maybe that could help you to at least be close to staying on the topic of this thread.  Perhaps?

Imo, before you think of investing in Bitcoin you have to first of all access your overall financial health, check your depts, your emergency savings, your regular expenses and your financial obligations.

if you have a hige dept and no emergency fund investing in Bitcoin would be a little bit difficult for you. However, waiting to get things fixed is not also advisable, because it would delay your investment journey. Getting started is very important, if you can be able to be mapping out your discretionary income every week or every month you can get started with Bitcoin, while you figure out how you can get things fixed.

Just balance all of those things but I agree that someone who invests in Bitcoin needs also to have some good standing with those things. Because if someone who invests in Bitcoin and they're also in a huge debt. What will happen? they're likely to sell the Bitcoins they're holding to pay for that debt. And that's why it's important that you balance things and you pay on time those debts and have it until you are debt free so your focus is on the investment that you have. Also with emergency fund, the same scenario can be made if you have not prepared for it.

I tend to get worried when guys gravitate towards believing that they need to change their bitcoin accumulation aggressiveness based on changes in the bitcoin price rather than being based on strength of their own financial management situation.. so yeah, if they figure out that they are in a strong financial situation based on recent developments (such as receiving some extra pay or being relieved of some expenses) or that they discovered some extra funds that they have available for bitcoin investing, then sure they might be in a position to increase their investment amount based on the strength of their finances rather than making major changes based on perceptions of being in a dip.

On the other hand, many guys might be inclined to assess that bitcoin prices are currently in a low area that is worthy of increasing the investment amount.. but yeah, if a guy considers himself to still be in fairly early stages of bitcoin accumulation, then it may well not be serving him well to be moving around his finances very much in order to greatly lump sum - especially in circumstances that his finances had not really changed very much and he was merely getting excited about our current dip status.

We should try to avoid (or at least minimize) putting ourselves in positions of getting emotional about our bitcoin, even though surely I understand that from time to time, guys may well feel likely tweaking their level of aggressiveness based on the price, and they surely have rights to do that, even though it might not be a very disciplined approach to bitcoin investment, especially since many of us (who are in bitcoin with an investment mindset) likely realize that it could take 10 years or more to really build up our bitcoin holdings to a meaningful amount.

[Crytohillss]

Of course many bitcoiners assess the 200-WMA as a bottom price indicator in bitcoin (which is part of the benefit in using it as a bottom indicator), and historically bitcoin has not spent too much time below the 200-WMA - even though it had spiked below the 200 WMA in 2014/2015, in 2018 and 2020.. and also between June 2022 and October 2023, bitcoin spent quite a bit of that time below the 200-WMA and even got as low as 35% below the 200-WMA in November 2022.

In my view, it might be a mistake to rely solely on the 200 WMA as a bottom indicator its better to combine it with another indicator to see if it's making sense.

Frequently I talk about the 200-WMA in terms of how it relates to BTC's spot price, to the extent that you want more than one indicator.  I have a sustainable withdrawal tool that plays with the relationship of the 200-WMA to the spot price.  

Surely I am not investing into bitcoin and/or talking about investing into bitcoin based on technical analysis, and surely I would imagine that guys who are investing into bitcoin for 4-10 years or longer, they are also figuring out why they are investing into bitcoin and perhaps building their confidence in bitcoin based on various fundamental analysis of bitcoin being sound money and its network effects (as outlined by Trace Mayer) rather than trying to trade it.

In other words, we are talking about investing and not trading, and perhaps figuring out how we are dealing with bitcoin in longer terms rather than shorter terms .. so then if we get through our accumulation phase, and then go through our maintenance phase, then by the time we arrive at our sustainable withdrawal phase, then we likely have learned about bitcoin beyond merely it's number go up technology.

I’m not a professional trader, but I try to understand things at a basic level to see how the world works.

Yeah, but fuck trading. We are not talking about that in this thread, even if you are reading discussion of the 200WMA in term of an indicator...

By studying market bottoms and taking advice from others, I have noticed that they combine the 200 WMA chart with the RSI30 indicator; in other words, if the RSI30 is very high and tends to converge towards the 200 WMA,it means we are approaching a bottom and that bitcoin is oversold.

If a guy is emphasizing investing rather than trading, then how is the RSI30 going to help him especially since he may well have to spend a cycle or two focused on accumulating bitcoin before he might get to a status of accumulating enough or more than enough?

I surely don't recommend trying to time the market for newbie who are accumulating bitcoin.. .. so from my point of view, if they are in their accumulation stage, then  they need to focus on ongoing buying.

You have ONLY been registered here since April 2023.  I have a hard time believing that you would have had accumulated enough bitcoin, yet, so you are likely trading rather than investing and we are not talking about trading in this thread, except to denigrate it from time to time, perhaps?

For example, I read a post by a very skilled trader here in our local section who in early February highlighted this type of convergence with support towards the 2021 ATH levels, and I must say there were many interesting things to be seen.

Were you in bitcoin in 2021?  and how do you relate that supposed convergence as a way to invest in bitcoin, since I tend to recommend accumulating bitcoin DCAing in a persistent way, even though surely there could be times that DCA might be supplemented by lump sum buying and buying on the dip.. but from my perspective, those kinds of BTC accumulation strategies can easily devolve into either trading or putting guys into a wrong (waiting) kind of an approach to accumulation and contribute to more whimpy approaches to bitcoin accumulation, at least from my perspective.

I don't really like the idea of accumulating bitcoin by waiting for dips that might not happen.

But this applies to many other indicators: viewed in isolation, they take on a certain meaning, but by broadening one’s perspective and combining them with other indicators, one can gain a much broader view. The real skill is understanding with which indicators to combine them and when, and this is what distinguishes a good trader from an average one.

Fuck trading or attempting to trade when you may well be trying to accumulate bitcoin. I am not sure what your goal is.  Are you trying to accumulate bitcoin or what?   It could be that you don't even know the difference between trading and investing.    I know many guys think that trading is the same as investing, and it is not, at least from my perspective and this thread is about my perspective on investing.. Did you even see the title of this thread?  

If you are even trying to stay on topic in this thread, you might need to reread my earlier post in light of my own investing ideas rather than trading ideas that don't seem to at least account for my investment ideas.. maybe that could help you to at least be close to staying on the topic of this thread.  Perhaps?

Imo, before you think of investing in Bitcoin you have to first of all access your overall financial health, check your depts, your emergency savings, your regular expenses and your financial obligations.

if you have a hige dept and no emergency fund investing in Bitcoin would be a little bit difficult for you. However, waiting to get things fixed is not also advisable, because it would delay your investment journey. Getting started is very important, if you can be able to be mapping out your discretionary income every week or every month you can get started with Bitcoin, while you figure out how you can get things fixed.

Just balance all of those things but I agree that someone who invests in Bitcoin needs also to have some good standing with those things. Because if someone who invests in Bitcoin and they're also in a huge debt. What will happen? they're likely to sell the Bitcoins they're holding to pay for that debt. And that's why it's important that you balance things and you pay on time those debts and have it until you are debt free so your focus is on the investment that you have. Also with emergency fund, the same scenario can be made if you have not prepared for it.

I tend to get worried when guys gravitate towards believing that they need to change their bitcoin accumulation aggressiveness based on changes in the bitcoin price rather than being based on strength of their own financial management situation.. so yeah, if they figure out that they are in a strong financial situation based on recent developments (such as receiving some extra pay or being relieved of some expenses) or that they discovered some extra funds that they have available for bitcoin investing, then sure they might be in a position to increase their investment amount based on the strength of their finances rather than making major changes based on perceptions of being in a dip.

On the other hand, many guys might be inclined to assess that bitcoin prices are currently in a low area that is worthy of increasing the investment amount.. but yeah, if a guy considers himself to still be in fairly early stages of bitcoin accumulation, then it may well not be serving him well to be moving around his finances very much in order to greatly lump sum - especially in circumstances that his finances had not really changed very much and he was merely getting excited about our current dip status.

We should try to avoid (or at least minimize) putting ourselves in positions of getting emotional about our bitcoin, even though surely I understand that from time to time, guys may well feel likely tweaking their level of aggressiveness based on the price, and they surely have rights to do that, even though it might not be a very disciplined approach to bitcoin investment, especially since many of us (who are in bitcoin with an investment mindset) likely realize that it could take 10 years or more to really build up our bitcoin holdings to a meaningful amount.

The fast your time horizon the Less it makes to obsess over charts and short term moves at this point it truly about conviction knowing why Bitcoin might hold value over long term not just hoping the price that goes up so many people skip that and adjust react emotionally to the market if people have actually thoughts through accumulation maintenance and eventually withdrawal people are already operating with different levels than typical purchase once one spend enough time in it people realise it's not just about the price action it's about the system whether people believe it can persist long term that orientation in mindset is what separates investment from just sepculating.

[cyberninja2]

Going all in, in Bitcoin investment depends on discretionary income not financial situation because it is not your expense money you are going all in with but rather your discretionary income and anyone who uses their expenses or money outside their discretionary income to go all in, the person is actually trading and not investing because any investment money should come from discretionary as you will not have to use or need the money... and lastly going all in is not a bad idea, if you have the discretionary income available you can go ahead.

Why do some people always assume that investing requires relying on discretionary income when in fact if that income isn't sufficient for their needs? I think it's difficult to develop when investing. Finances should always be the primary benchmark for someone in investing so the situation will be more secure if such funds cover what is needed for daily needs.

Discretionary funds are the same as reserve funds meaning that investing in Bitcoin with our principal income is actually not a problem but having other funds available (emergency) certainly helps our movement in investing in Bitcoin especially since generally everyone prefers to do it for a long period because if they choose a short term I think it is for people who have limited funds or capital so for them it is natural to choose to do things in a short term way because perhaps the need is the main benchmark in being responsible for what is borne.

[Popkon6]

The 200WMA has definitely earned its reputation over this period of time but just like you pointed out it is not some untouchable line Bitcoin has dipped below it enough time to remind people that nothing is ever guarantee it is more of a strong zone than a hard ground being bullish long term makes sense but going all in without considering people own financial reality can affect everything, very one situation is different so figuring out a sustainable way to accumulate with out stressing one self it is not all but observing the market it's all comes down to being consistent and not putting your self in a position where one are forced out of the market when things get hard.

people should always consider there financial situation before thinking of going in all at ones or comparing themselves with others investors that there financial situation maybe far better or worst than theres. Starting with DCA strategy using ones discretionionary income can reduce the impact of volatility and also it doesn't requires going in all at once but rather it encourages consistent buying at different intervals. So the DCA strategy is a sunstaniable way to accumulate bitcoin since it doesn't requires going in all at ones , even investors with low discretionionary can still buy bitcoin using DCA strategy.

Going all in, in Bitcoin investment depends on discretionary income not financial situation because it is not your expense money you are going all in with but rather your discretionary income and anyone who uses their expenses or money outside their discretionary income to go all in, the person is actually trading and not investing because any investment money should come from discretionary as you will not have to use or need the money... and lastly going all in is not a bad idea, if you have the discretionary income available you can go ahead.

Bitcoin investment should be done for those who cannot afford to invest a huge amount of money at the beginning. Therefore, they invest patiently for a long time by maintaining a small, weekly or monthly regular Bitcoin purchase and their portfolio will definitely grow if they keep Bitcoin for a long time. Therefore, those who follow the DCA method are the most ideal investors, Bitcoin investment should be done in such a way and it is possible to sustain Bitcoin investment for a long time by forming an emergency fund.
Considering the current situation, those who invest in Bitcoin and keep it patiently for a long time will be identified as the only ideal investors and will be able to achieve more benefits.

[Silikiem]

Going all in, in Bitcoin investment depends on discretionary income not financial situation because it is not your expense money you are going all in with but rather your discretionary income and anyone who uses their expenses or money outside their discretionary income to go all in, the person is actually trading and not investing because any investment money should come from discretionary as you will not have to use or need the money... and lastly going all in is not a bad idea, if you have the discretionary income available you can go ahead.

Why do some people always assume that investing requires relying on discretionary income when in fact if that income isn't sufficient for their needs? I think it's difficult to develop when investing. Finances should always be the primary benchmark for someone in investing so the situation will be more secure if such funds cover what is needed for daily needs.

Discretionary funds are the same as reserve funds meaning that investing in Bitcoin with our principal income is actually not a problem but having other funds available (emergency) certainly helps our movement in investing in Bitcoin especially since generally everyone prefers to do it for a long period because if they choose a short term I think it is for people who have limited funds or capital so for them it is natural to choose to do things in a short term way because perhaps the need is the main benchmark in being responsible for what is borne.

No I don’t think that a discretionary income is the same as a reserve funds, although you can say that there’s a relationship between this two income in the sense that it is actually from the discretionary income that a reserve funds can be gotten from but they certainly does not serve the same purpose. In Bitcoin investment, a discretionary income is used for immediate or regular and consistent buying of bitcoin, but the case of reserve funds are kept or saved for future non essential spending for example if a dip should occur in the future, most investors usually keep this reserve funds separately to buy in such dip occurrences which is different from their normal discretionary funds they used for their regular purchases. But above all, both of them can be used to buy bitcoin, but the only difference is that the discretionary is for immediate regular purchases while the reserve is for future dip purchases or any other non essential future spending.

And the only way I think it might not be problematic if we use all our principal income to invest in bitcoin is when you’ve already sorted out your basic financial needs if not it will certainly be a problem in the future because you will certainly need that money back to sort out your basic needs and hence you’re liable to sell when it is not of your own will or when it’s not due time and there might be some loses as a result of bitcoin volatility. It’s advisable to always invest with a discretionary income especially after sorting out our basic financial expenses no matter any circumstances.

[Joeboy]

Going all in, in Bitcoin investment depends on discretionary income not financial situation because it is not your expense money you are going all in with but rather your discretionary income and anyone who uses their expenses or money outside their discretionary income to go all in, the person is actually trading and not investing because any investment money should come from discretionary as you will not have to use or need the money... and lastly going all in is not a bad idea, if you have the discretionary income available you can go ahead.

Why do some people always assume that investing requires relying on discretionary income when in fact if that income isn't sufficient for their needs? I think it's difficult to develop when investing. Finances should always be the primary benchmark for someone in investing so the situation will be more secure if such funds cover what is needed for daily needs.

Bitcoin is a long term investment and so it's best that folks rely and/or invest using only their discretionary income... Like I said earlier Bitcoin is a long term investment and so it is best that folks first of settle their basic expenses and whatever money that is left is your discretionary income, and so folks can very well use it for their investments....And also there is every possibility of folks having an income source and still not able to realize a Discretionary income probably due to certain relevant and/or irrelevant expenses, that's why as far as your Bitcoin investment in concerned, you should always prioritize ways of ensuring the continuous availability of your Discretionary income so as to guarantee a certain level of consistency in your investment...

Discretionary funds are the same as reserve funds meaning that investing in Bitcoin with our principal income is actually not a problem

Regardless of the fact that reserve funds are built from your discretionary income, that still dosen't mean it is right to think reserve funds are the same with discretionary income, coz they are not.... And yeah everyone is entitled to their own decision/plan, and so if your plan is not centered around Bitcoin trading and/or gambling with your investment then I suggest that you should never use your principal income to invest in matter what. First settle your basic expenses and invest from whatever extra money that is left...