JJG’s Outline of Bitcoin Investment Ideas

[BluebloodCXVI]

If an investors want to increase the size of their discretionary income, they need to increase their hustlings or work multiple jobs to increase their incomes since their discretionary income is figure out from their incomes, but if they have yet to secure additional jobs, they should just manage whatever discretionary income that they can figure out at the moment instead of buying beyond their means.

You don't really need to work multiple jobs to increase your income, you could be intentional about increasing your competence in your area of specialization, upgrade your skills and take advantage of better offers.

You could also find a way around your finances to decrease expenses so you can have more discretionary income available. The truth is that most people are wasteful and don't plan their finances adequately. A lot of guys would be amazed at how much they could save from what previously went into expenses if they could sit down and plan their finances properly as the paycheck arrives. The extra saved money from decrease in expenses can be put towards increasing your aggressiveness in your DCA buys.

Increasing aggressiveness does not come from discretionary income increasing, but instead choosing to invest higher amounts within the same income.

So for example, it could be argued that if a guy had weekly discretionary funds of $100, and he had been investing 33% or $33 into bitcoin each week, then I doubt that his aggressiveness had increased from the mere fact that his weekly discretionary income doubled and he also doubled his investment amount.  So if his discretionary income went up to $200 per week and he started to invest $66 per week into bitcoin, it seems to me that his level of aggressiveness is the same - 33%.

Technically, nothing actually changed since it was investment based on certain percentage (33%) of the discretionary funds, so such scenario can't be described as being aggressive.
Here's what I mean, that discretionary funds increased and the percentage remains the same then nothing changes. Something only changes only when the percentage discretionary funds to be invested increases as the amount of discretionary funds increases. That's since it used to $100 discretionary funds and 33% investment and there is now an extra $100 add up making it now $200 then an increase of 33% initial investment to 55% (or anything higher than the initial 33%) will mean aggressive buying due to increase in discretionary funds.
$100 @33% =$33
$200 @55% = $110
Which makes it $110 - $33 = $77 aggressiveness.

I kinda get your point though @Obulis, but it seems to me that you are mixing up the amount that invested with the level of aggressiveness applied, because you keeping the allocation at 33% definitely means that the strategy itself hasn’t necessarily become more aggressive proportionally, even though the actual Bitcoin exposure was doubled from $33 to $66.

And in my own opinion, the extra $77 isn’t really “aggressiveness” in a strict sense if we’re being honest here; it’s simply the additional amount invested when you move from $33 to $110, and so if we’re measuring aggressiveness, the meaningful figure should be the change in allocation from 33% to 55%, which is a 22-percentage point increase.

[Rhow]

On that note, I will suggest for you to invest 60,000 out of your 80,000 discretionary income and save the remaining 20,000 elsewhere other than Bitcoin. My reasons are because an emergency situation might arise someday that might warrant additional funds from your regular spending, which you can easily use the other saved funds to attend to rather than withdrawing from your Bitcoin investment.

When you suggest that he invest 60,000 out of 80,000 in Bitcoin, that is a fixed amount. Because we do not know his current savings and financial security. So, if we suggest a fixed amount, it may not be realistic for him.

Someone may be in a good position to have 80,000 in discretionary income at the end of the month. But it may not be right to decide how much of that money to invest in Bitcoin based solely on the amount of money he has left. If he has no emergency fund at all, then investing 60,000 and keeping 20,000 may not be enough to cover a large unexpected expense. Again, if he already has an emergency fund, it may be natural for him to invest a large portion.

[Shaponzy]

Am also a beginner that is very interested in Bitcoin and I have been making series of researches about Bitcoin and how profitable it is, I need a suggestion on how much to be investing from my discretionary income. I earn 300,000 monthly and after my expenses and all, I usually have around 80,000 remaining on until the next salary is paid.

In your opinions, how much should I invest or should I just invest all as I have been thinking?

Okay, I wouldn’t suggest that you should invest the whole 80,000 immediately, especially if you’re still a beginner. The fact that you have 80,000 left after your monthly expenses doesn’t mean the whole amount should go into bitcoin investment. You should also consider some cash available for emergencies and other unexpected expenses.

For example, you could start with let say 40,000 or maybe 50,000 into your investment monthly and keep the remaining 40,000 or 30,000 as savings. Doing this will allow you to keep buying regularly instead of putting everything at once. And if you later build up a reasonable emergency funds, and your financial situation remains stable, you can decide whether to increase your bitcoin allocation. The important thing is to invest with amount you can continue doing consistently without putting your self under financial pressure.

You are correct dude, having $80k remains doesn't mean you should it all into bitcoin, exepecially for the newbies. Let's assume the $80k are your discretionary income available and you don't have any backup funds aside, if actually you invest all the $80k once, trust the would be a big problem, because any little emergency can force you to sell everything just to settle the bills, and you are actually selling it at a big lost, I can attest that, most beginners usually fall into this kind of victim, because there was no proper plans at initial stage.
  The ideas of DCA strategy is the best  than putting all the funds into it at once, though it's a choice, if i have the 80k, I just will use 40k savings for only qll my expenses or as an emergency funds, then the 40k left can be invested into bitcoin using DCA strategy, investing like $100  every week gradually for and holding it for long-term period, once all my expenses are settled, I will then proceed to increase my stacking to 200 or more Comfortably, because I know I don't have to be panicking anymore whenever emergency comes over.

[JayJuanGee]

[edited out]

Am also a beginner that is very interested in Bitcoin and I have been making series of researches about Bitcoin and how profitable it is, I need a suggestion on how much to be investing from my discretionary income. I earn 300,000 monthly and after my expenses and all, I usually have around 80,000 remaining on until the next salary is paid.

In your opinions, how much should I invest or should I just invest all as I have been thinking?

Ultimately, you have to figure out how much to invest, and maybe it would be better to stick with dollars in this discussion, yet I will go with your units.

80k for a month would be 26,667 for investing, 26,667 for saving, 26,667 for discretionary consumption.

I recommend weekly buying rather than monthly, and there are about 4.33 weeks per month, which puts you at nearly 6,200 per week for each category.

Of course, you can make adjustments to emphasize investing more and the other two categories less, yet at the same time, you have to consider some amount that you use for each of the three categories, unless maybe you have already built up a large savings (such as 3 months or more of your basic expenses), then you could put way less into savings.  By the way, if you are saying that 80k is your discretionary income and 300k is your income, then you have right around 220k as your basic expenses, and so if you get up to 660k of savings, then you have 3 months of your expenses saved up.... and if you are building from zero, then it is going to take you slightly more than 100 weeks (which is 2 years) to get your savings up to 3 months of your expenses.

Sure, there can be potential short-cuts and even personal election of priorities, and in the end, you have to figure out a balance that you consider to be reasonable for your situation, and if you are investing in bitcoin rather than trading and/or gambling with it, then it takes time to build and also takes time to make sure that you are not tempted to tap into it.

You mentioned your desire for profits, which to me sounds like a trader and/or gambler mindset rather than an investor mindset, and an investor should be thinking about bitcoin 4-10 years down the road and even longer, and the only reason that you might have a timeline that is less than 10 years would be based on age and/or health considerations.. so bitcoin tends to be a longer term investment and many of us consider it to have a presumption of an upward sloping price curve, even though it is not guaranteed that you will be profitable and/or might not otherwise fuck things up.

Level of aggressiveness is a choice.

So the guy whose discretionary income had doubled from $100 to $200, he may well decide to keep his savings and discretionary consumption at $33 per week each and then to put all of the extra discretionary income into bitcoin, which would mean that his investment into bitcoin would have had ended going up from $33 per week to $133.33 per week, and surely that is a choice, and most likely we could characterize his level of aggressiveness as going up, yet it may well not be unreasonable. It is his choice on how to allocate and how to balance his investing with his savings and his discretionary consumption.

Yea, and this is a major and/or serious part of our investment that every investor should be careful and making decisions and/or choices on what they decide to do, because any wrong choice or decision will affect your amount of accumulation or quality of your portfolio or your investment generally.

With choice there tends to be a wide-range of latitude, and sure if a person has $200 per week, and he invests $66 per week or some other amount, there still tends to be quite a bit of latitude.. sure maybe after 10 years if he had chosen to invest a smaller amount, he will have regrets since he cannot go back 10 years and correct his mistake, so sure there are trade offs in our choices even though we tend to have quite a bit of latitude in our choices, especially if we earn an income that has sufficiently good amounts of discretionary funds.

A guy who makes choices of putting more into Bitcoin while his back up funds are yet not considerably built up might face challenges due to his decisions and choices. This also have a positive impact when the investor has actually built up his back up funds to a highly reasonable amount and decides to prioritize his him investment. However, it is very important getting a favourable balanced pattern of managing your finances and income allocation into your investment, back up funds and discretionary consumption.

There are frequently going to be things that normal people are tempted to buy rather than invest and/or save, and many of us consider increasing the discretionary income to be a great path forward that increases our options, even though the reality of the situation is that there are some guys who might not be easily able to increase their income and/or to cut their expenses.

[edited out]

I do not say that it is wrong for someone to buy Bitcoin with the hope of profit. Because many people may be interested in it because of the possibility of profit in Bitcoin. But the difference here is whether they have seen the possibility of profit or they are buying more than they can afford, assuming that the profit will be guaranteed. Of course, the result will not be the same in the two situations.

When someone is interested in the possibility of profit, he will try to stick to his plan even if the price drops. But those who have assumed a guaranteed profit and later their expectations are not met are the ones who are disappointed and forced to sell. Therefore, I think it is probably more useful to examine the plan of a new buyer than to assume what is right in most investors. How much money does he have on hand after meeting the necessary expenses? If the price drops significantly after buying, will he have to sell Bitcoin quickly for that money? I think the answers to these questions will help him decide the amount he should buy.

Your focus on profits @Rabata comes off as a trading mindset rather than an investing mindset.

Sure, there is nothing wrong with presuming that our investment 4-10 years or further down the road is likely to be profitable, yet are we getting into bitcoin and spending 4-10 years or longer building up our bitcoin holdings so that we can sell it all, merely because our holdings are in profits?  That does not sound like investing to me.  It sounds like planning a trade so that you can get into bitcoin and then get out of bitcoin at some point based on your focus that bitcoin is "in profits."

It seems to me that my own ideas about investing (which happens to be the topic of this thread) relate to either ongoingly holding bitcoin, or perhaps having to cash out based on age and/or health considerations.

Otherwise to me, bitcoin seems to be the type of asset that we put money into with intentions to hold for life, even if we might go from our accumulation phase and then into a maintenance phase and then into some kind of a sustainable withdrawal (or alternatively liquidation if we are facing age and/or health difficulties that push us in a direction of liquidation rather than sustainable withdrawal).  

Level of aggressiveness is a choice.

So the guy whose discretionary income had doubled from $100 to $200, he may well decide to keep his savings and discretionary consumption at $33 per week each and then to put all of the extra discretionary income into bitcoin, which would mean that his investment into bitcoin would have had ended going up from $33 per week to $133.33 per week, and surely that is a choice, and most likely we could characterize his level of aggressiveness as going up, yet it may well not be unreasonable. It is his choice on how to allocate and how to balance his investing with his savings and his discretionary consumption.

I agree with you and it is a genuine idea but investment needs discipline when discretionary income of some people doubles from 100 to 200 dollars they are trying to upgrade there lifestyle because investment needs time and now a days majority of people wants instant results. Personally i believe if income doubles you do not have to invest all of the extra money but investing a meaningful portion of it toward long term investments can help improve the financial position of the person without completely sacrificing the current lifestyle.  

These are the exact kinds of adjustments that each one of us has to carry out on a regular basis, and surely we might go through dilemmas about our own choices, yet we are faced with choices around immediate gratification versus deferred gratification that may or may not end up materializing... which also brings me back with thinking about the famous marshmallow test.  

For anyone who knows about the famous marshmallow test.  Kids were sat in front of a marshmallow and told that if they wait before they eat it, then they will end up receiving two marshmallows at a later point, and some kids could resist eating the 1 marshmallow right away and other kids could not resist.  And, of course, the marshmallow test may well have higher levels of guarantee as compared to investing into bitcoin, since at least in the marshmallow test an authority figure told the kids that they would receive 2 marshmallows if they waited to eat.  

In bitcoin, we do not have any authority figure that can reassure us that we are going to get more bitcoin in the future, so we rely upon our own confidence and convictions around what we believe to be the strength of bitcoin's investment thesis, and even our convictions and our confidence levels about the strength of bitcoin's investment thesis can change with the passage of time.

[edited out]

Technically, nothing actually changed since it was investment based on certain percentage (33%) of the discretionary funds, so such scenario can't be described as being aggressive.
Here's what I mean, that discretionary funds increased and the percentage remains the same then nothing changes. Something only changes only when the percentage discretionary funds to be invested increases as the amount of discretionary funds increases. That's since it used to $100 discretionary funds and 33% investment and there is now an extra $100 add up making it now $200 then an increase of 33% initial investment to 55% (or anything higher than the initial 33%) will mean aggressive buying due to increase in discretionary funds.
$100 @33% =$33
$200 @55% = $110
Which makes it $110 - $33 = $77 aggressiveness.

For sure there is a bit of subjectivity in terms of proclaiming which approach is more (or less) aggressive than another approach, and even if we stick to the same percentages in regards to $100 per week versus $200 per week of discretionary funds, we cannot necessarily proclaim with certainty that they are the same aggressiveness, or less aggressive or more aggressive, since the total amount available ended up changing and there is no real rule that everything has to change in proportion.

I think that one of the more confident ways of comparing one approach to be more or less aggressive than another would be if the total discretionary funds are the same in each of the approaches and maybe if the only change is the choice that the person makes about whether to increase, to decrease or to keep the same the amount of his investment within the choice of two scenarios, so then one scenario might be proclaimed to be more aggressive than another scenario.  

Also, there might not even be an ability to proclaim that one approach is more aggressive than another from week to week, since maybe one week the guy has no obligations and he chooses to invest a fairly high amount to his bitcoin, but then the next week he finds out (or remembers) that his wife's birthday is coming up in three weeks, and he realizes that he had not done any preparations or setting aside of money for such occasion. So then the next three weeks, he feels that he needs to scramble in order to have enough money to be able to keep his wife happy.  Sure, spending money on his wife's birthday remains optional and discretionary, yet it could also be the case that spending money on his wife's birthday has a fairly high priority that he needs to balance against his choice about how much to invest into bitcoin versus how much money he wants to (or feels that he needs to) set aside for preparations for his wife's birthday.

Maybe the guy who is preparing for his wife's birthday versus the same guy who is not preparing for his wife's birthday has the same exact discretionary income within those two scenarios, and so maybe he is going to define "how aggressive he is able to be without over doing it" differently within those two scenarios, so his definition of how aggressive he is able to be is also going to depend on other expenses that he has or even if he had considered urgency in putting extra money aside for savings.

Let's say that the same guy finds out that in 4 weeks his hours are going to be cut from 40 hours per week down to 30 hours per week, and so the cut is going to last through all of November and maybe even into December.  He realizes that both his pay is going to go down, but he is also going to have right around 10 hours available that he did not previously have.  He may well consider that the sure cut in his income is going to have a fairly large material effect on him, so he decides that he needs to make some adjustments in regards to how he is allocating his discretionary funds in the coming 4-ish weeks.

Technically, nothing actually changed since it was investment based on certain percentage (33%) of the discretionary funds, so such scenario can't be described as being aggressive.
Here's what I mean, that discretionary funds increased and the percentage remains the same then nothing changes. Something only changes only when the percentage discretionary funds to be invested increases as the amount of discretionary funds increases. That's since it used to $100 discretionary funds and 33% investment and there is now an extra $100 add up making it now $200 then an increase of 33% initial investment to 55% (or anything higher than the initial 33%) will mean aggressive buying due to increase in discretionary funds.
$100 @33% =$33
$200 @55% = $110
Which makes it $110 - $33 = $77 aggressiveness.

I kinda get your point though @Obulis, but it seems to me that you are mixing up the amount that invested with the level of aggressiveness applied, because you keeping the allocation at 33% definitely means that the strategy itself hasn’t necessarily become more aggressive proportionally, even though the actual Bitcoin exposure was doubled from $33 to $66.

And in my own opinion, the extra $77 isn’t really “aggressiveness” in a strict sense if we’re being honest here; it’s simply the additional amount invested when you move from $33 to $110, and so if we’re measuring aggressiveness, the meaningful figure should be the change in allocation from 33% to 55%, which is a 22-percentage point increase.

I think that you are heading down the right path @BluebloodCXVI when you affirm that the level of aggressiveness can be assessed in more than one way, yet I still think that guys run into errors when they attempt to proscribe the extent to which one situation is more aggressive or less aggressive when there has been changes in more than one variable.

As soon as a guy's discretionary funds increases from $100 to $200, then it seems that no matter what he does, there could be arguments about the extent to which he is changing more than one variable, even if it might seem that he is only changing 1 or even if he stays the same, and continues to invest at $33.33 per week, there could be an argument that he is becoming less aggressive, and he could proclaim that he is keeping his same level of aggressiveness.  Of course, some arguments are stronger than others, and it becomes difficult to attempt to objectively proclaim how any guy might end up choosing to prioritize his balances without knowing more about the guy and his goals... which gets us back to both the idea of the level of aggressiveness being subjective based on a variety of things going on in the guy's life, but also that it is likely easier to attempt to assess changes in the level of aggressiveness in situations in which ONLY one of the variables had ended up changing, which means that if his income and expenses were the same in two scenarios and one scenario he choose to invest 33% of his income and in the other scenario he choose to invest 66% of his income.

[ejikeme24]

having $80k remains doesn't mean you should it all into bitcoin, exepecially for the newbies. Let's assume the $80k are your discretionary income available and you don't have any backup funds aside, if actually you invest all the $80k once, trust the would be a big problem, because any little emergency can force you to sell everything just to settle the bills, and you are actually selling it at a big lost, I can attest that, most beginners usually fall into this kind of victim, because there was no proper plans at initial stage.
  The ideas of DCA strategy is the best  than putting all the funds into it at once, though it's a choice, if i have the 80k, I just will use 40k savings for only qll my expenses or as an emergency funds, then the 40k left can be invested into bitcoin using DCA strategy, investing like $100  every week gradually for and holding it for long-term period, once all my expenses are settled, I will then proceed to increase my stacking to 200 or more Comfortably, because I know I don't have to be panicking anymore whenever emergency comes over.

Enough of this assumption, how is that even possible for a guy to be getting $80k as discretionary income does he pay bills? Do they have expenses to take care of? A guy who  has responsibility is unlikely to have such a huge amount of money as discretionary income. Let's assume a guy is getting $80k in his discretionary income, if the guy is a newbie then I will say there's no problem if they want to go all in especially during their first time of buying bitcoin. You know when a beginner get involved in a good investment such as bitcoin they will want Their Bitcoin portfolio to grow to a better level in less than one week or two, but I would suggest that even though they will want to do that maybe in their first time of buying Bitcoin, then when next they figure out their discretionary income they shouldn't go all-in but to try as much as they can to save up for emergency and backup even though it requires keeping 20% for each of the funds then they can decide to go all in with the remaining 60% then when they notice that they have gone far in accumulating bitcoin then they can start prioritizing Their emergency funds and backup funds by increasing the percentage, that's instead of 20% they will have to increase it to 30% or more for each of the funds then put the remaining 40% into their bitcoin investment.

[Joeboy]

~snip~.

Enough of this assumption, how is that even possible for a guy to be getting $80k as discretionary income does he pay bills? Do they have expenses to take care of? A guy who  has responsibility is unlikely to have such a huge amount of money as discretionary income. Let's assume a guy is getting $80k in his discretionary income, if the guy is a newbie then I will say there's no problem if they want to go all in especially during their first time of buying bitcoin. You know when a beginner get involved in a good investment such as bitcoin they will want Their Bitcoin portfolio to grow to a better level in less than one week or two, but I would suggest that even though they will want to do that maybe in their first time of buying Bitcoin, then when next they figure out their discretionary income they shouldn't go all-in but to try as much as they can to save up for emergency and backup even though it requires keeping 20% for each of the funds then they can decide to go all in with the remaining 60% then when they notice that they have gone far in accumulating bitcoin then they can start prioritizing Their emergency funds and backup funds by increasing the percentage, that's instead of 20% they will have to increase it to 30% or more for each of the funds then put the remaining 40% into their bitcoin investment.

What do think Bitcoin is-A race or what? Advising newbies to go all in at the start of their investments simply shows that regardless of the fact that you are a senior member, you still seem to very well stucked with the ideology that emergency funds has no relevance at the very start of your investment journey, which is very wrong... You possibly can't distinguish between gambling and investing , if not you should have known that investing all of your discretionary income or investing without any plan of building your emergency funds alongside is same as you gambling.. And that's coz an emergency can just come and then when you have no funds to sort it out, you would have no choice than to sell all you have managed to accumulate just to deal with that emergency... And honestly there seem to be no wisdom in that at all...

[Sticky Bomb]

  The ideas of DCA strategy is the best  than putting all the funds into it at once, though it's a choice, if i have the 80k, I just will use 40k savings for only qll my expenses or as an emergency funds, then the 40k left can be invested into bitcoin using DCA strategy, investing like $100  every week gradually for and holding it for long-term period, once all my expenses are settled,

I think you're getting some stuffs mixed up here, if you use part of the $80k for your expenses, then it is not totally your discretionary income, you've to attend to your expenses first, before determining what is left over as discretionary income from which you invest, save and consume.

I would advice that after attending to your expenses, you can split your discretionary income into 3 parts, one part for investing, second part for your emergency fund and the third part for discretionary consumption.

[Ummeettaa]

  The ideas of DCA strategy is the best  than putting all the funds into it at once, though it's a choice, if i have the 80k, I just will use 40k savings for only qll my expenses or as an emergency funds, then the 40k left can be invested into bitcoin using DCA strategy, investing like $100  every week gradually for and holding it for long-term period, once all my expenses are settled,

I think you're getting some stuffs mixed up here, if you use part of the $80k for your expenses, then it is not totally your discretionary income, you've to attend to your expenses first, before determining what is left over as discretionary income from which you invest, save and consume.

I would advice that after attending to your expenses, you can split your discretionary income into 3 parts, one part for investing, second part for your emergency fund and the third part for discretionary consumption.

He/she might have mixed things up a little bit probably but I still believe in not putting all your eggs in one basket, although investing in Bitcoin is one of the reliable crypto investment.

But It's still better not to use all your discretionary income to invest in Bitcoin, as the assurance of success in Bitcoin investment is not 100% assured.

If he/she is also someone that needs fast money, it's advisable to use part of the discretionary income to invest in something else like life stock and not entirely in Bitcoin.

Investing in Bitcoin should be a long term purpose and if there might be a likely situation arising, it's better not to invest all discretionary income in Bitcoin, and it's also better not to invest at all than to invest and be withdrawn at the middle of the investment.

[Different patterns]

  The ideas of DCA strategy is the best  than putting all the funds into it at once, though it's a choice, if i have the 80k, I just will use 40k savings for only qll my expenses or as an emergency funds, then the 40k left can be invested into bitcoin using DCA strategy, investing like $100  every week gradually for and holding it for long-term period, once all my expenses are settled,

I think you're getting some stuffs mixed up here, if you use part of the $80k for your expenses, then it is not totally your discretionary income, you've to attend to your expenses first, before determining what is left over as discretionary income from which you invest, save and consume.

I would advice that after attending to your expenses, you can split your discretionary income into 3 parts, one part for investing, second part for your emergency fund and the third part for discretionary consumption.

You are right, because things like this need to clearly explain very well. so that the beginners won’t get confused when reading through it. I think before investors made up is mind, and figured out discretionary income, you must look through your daily life requirements, that’s basic needs are covered, before we know how much available to figure out our discretionary income, because if the basic needs are not covered, there’s no way to get discretionary income and if you have $80k available with you, and you use part of it to invest and savings, that means you haven’t figured out your discretionary income, you can only get your discretionary income if basic needs are well taken care. because these two things are different, having money to invest and having money available are not the same, money you have available may not available for investment, it maybe for your expenses which is very important before deciding to invest and having money to invest that’s mean your discretionary income is ready with you. You can only use discretionary income not money for basic needs.

[IcaroAugusto]

Always appreciate the thoughtful breakdowns here, especially that point about scaling into BTC before diversifying. Good stuff.

[Barikui1]

Let's assume a guy is getting $80k in his discretionary income, if the guy is a newbie then I will say there's no problem if they want to go all in especially during their first time of buying bitcoin.

This is a disastrous and misleading advice to anyone that takes your word serious because even a veteran investor is not adviced to go all in on his bitcoin investment, talk less of a newbie that is just starting his accumulation, that hasn't known much of his left or right, that's very wrong, because such idea is doomed for failure from the start.
 
I don't really know where you get this idea from, but am very sure that you do not get it from here, but why am mostly disappointed in you is that you are a senior member, so I expect you to know better, but instead you are making a misleading statement that may ruin anyone that takes your word serious.

If he goes all in as you are saying, how will he addresses an emergency situation, since he has no emergency or reserve funds in place? Try to know what you are saying next time before even talking in other not to mislead newbies to believe the wrong thing.

[Brownfish-B]

having $80k remains doesn't mean you should it all into bitcoin, exepecially for the newbies. Let's assume the $80k are your discretionary income available and you don't have any backup funds aside, if actually you invest all the $80k once, trust the would be a big problem, because any little emergency can force you to sell everything just to settle the bills, and you are actually selling it at a big lost, I can attest that, most beginners usually fall into this kind of victim, because there was no proper plans at initial stage.
  The ideas of DCA strategy is the best  than putting all the funds into it at once, though it's a choice, if i have the 80k, I just will use 40k savings for only qll my expenses or as an emergency funds, then the 40k left can be invested into bitcoin using DCA strategy, investing like $100  every week gradually for and holding it for long-term period, once all my expenses are settled, I will then proceed to increase my stacking to 200 or more Comfortably, because I know I don't have to be panicking anymore whenever emergency comes over.

Enough of this assumption, how is that even possible for a guy to be getting $80k as discretionary income does he pay bills? Do they have expenses to take care of? A guy who  has responsibility is unlikely to have such a huge amount of money as discretionary income. Let's assume a guy is getting $80k in his discretionary income, if the guy is a newbie then I will say there's no problem if they want to go all in especially during their first time of buying bitcoin. You know when a beginner get involved in a good investment such as bitcoin they will want Their Bitcoin portfolio to grow to a better level in less than one week or two, but I would suggest that even though they will want to do that maybe in their first time of buying Bitcoin, then when next they figure out their discretionary income they shouldn't go all-in but to try as much as they can to save up for emergency and backup even though it requires keeping 20% for each of the funds then they can decide to go all in with the remaining 60% then when they notice that they have gone far in accumulating bitcoin then they can start prioritizing Their emergency funds and backup funds by increasing the percentage, that's instead of 20% they will have to increase it to 30% or more for each of the funds then put the remaining 40% into their bitcoin investment.

Investing based on guesswork is sheer folly. While having a surplus of $80,000 after meeting all personal bills and family obligations might seem unusual it is not impossible for many investors. However the crucial point is that even with a large surplus, failing to manage it properly can lead to trouble.

Many new investors often suffer from FOMO and want to rapidly build up a massive Bitcoin portfolio. If they invest their entire surplus the first time they buy Bitcoin, they could face serious difficulties should an emergency arise. None of us can foresee the future adversity can strike at any moment. Therefore one should set aside some funds for emergencies or as a backup reserve.

Investing the entire amount in this manner is a grave mistake.

[Fire_man]

Am also a beginner that is very interested in Bitcoin and I have been making series of researches about Bitcoin and how profitable it is, I need a suggestion on how much to be investing from my discretionary income. I earn 300,000 monthly and after my expenses and all, I usually have around 80,000 remaining on until the next salary is paid.

In your opinions, how much should I invest or should I just invest all as I have been thinking?

Okay, I wouldn’t suggest that you should invest the whole 80,000 immediately, especially if you’re still a beginner. The fact that you have 80,000 left after your monthly expenses doesn’t mean the whole amount should go into bitcoin investment. You should also consider some cash available for emergencies and other unexpected expenses.

The 80,000 discretionary income is the amount that i usually have remaining after setting aside all the necessary funds that might be needed, and also even after removing emergency funds. On that note about the suggestion and advice you gave, I have decided to start my first investment journey by investing in Bitcoin with all my entire discretionary income which is the total sum of 80,000.
Hopefully as I have started my Bitcoin investment journey, it should be favorable and be the beginning of a brighter future for me, because I intend to hold it for a very long term. Thank you all for your well given suggestions and advices especially @JJG for creating such an educative thread. It really helped me alot with my investment decisions and I also learnt alot from this thread.

[Ummeettaa]

Am also a beginner that is very interested in Bitcoin and I have been making series of researches about Bitcoin and how profitable it is, I need a suggestion on how much to be investing from my discretionary income. I earn 300,000 monthly and after my expenses and all, I usually have around 80,000 remaining on until the next salary is paid.

In your opinions, how much should I invest or should I just invest all as I have been thinking?

Okay, I wouldn’t suggest that you should invest the whole 80,000 immediately, especially if you’re still a beginner. The fact that you have 80,000 left after your monthly expenses doesn’t mean the whole amount should go into bitcoin investment. You should also consider some cash available for emergencies and other unexpected expenses.

The 80,000 discretionary income is the amount that i usually have remaining after setting aside all the necessary funds that might be needed, and also even after removing emergency funds. On that note about the suggestion and advice you gave, I have decided to start my first investment journey by investing in Bitcoin with all my entire discretionary income which is the total sum of 80,000.
Hopefully as I have started my Bitcoin investment journey, it should be favorable and be the beginning of a brighter future for me, because I intend to hold it for a very long term. Thank you all for your well given suggestions and advices especially @JJG for creating such an educative thread. It really helped me alot with my investment decisions and I also learnt alot from this thread.

Congratulations on your first step taken investing in Bitcoin, you have made a very good decision choosing and investing in BTC.

It always feels good to see one of us especially the new members starting their investment with Bitcoin, rather than investing in other crypto currencies that are less reliable than Bitcoin.

I will also have you know that your goal to hold and invest in BTC for a long term and future purpose, if adhered to will likely or increase the success of your investment if fulfilled.

I will also like to advise you to maintain consistency and knowing more about your investment, be disciplined and focus towards achieving your goal. Congratulations once again.

[Finebone]

Enough of this assumption, how is that even possible for a guy to be getting $80k as discretionary income does he pay bills? Do they have expenses to take care of? A guy who  has responsibility is unlikely to have such a huge amount of money as discretionary income. Let's assume a guy is getting $80k in his discretionary income, if the guy is a newbie then I will say there's no problem if they want to go all in especially during their first time of buying bitcoin.

A guy having as high as $80k discretionary income is not the actual point or the bone of contention here, what is more important is how you invest with it, or how you disburse it, because saying that a newbie investor should go all in and invest with everything is wrong, but rather he should be wise enough to split his discretionary income into three different places as sticky bomb has already said, one side to invest, one side for emergency and reserve funds and one side for discretionary consumption, that way you will be ready for any emergency or anything that happens unexpected that tries to take you unaware when starting your accumulation.

[samadam007]

Am also a beginner that is very interested in Bitcoin and I have been making series of researches about Bitcoin and how profitable it is, I need a suggestion on how much to be investing from my discretionary income. I earn 300,000 monthly and after my expenses and all, I usually have around 80,000 remaining on until the next salary is paid.

In your opinions, how much should I invest or should I just invest all as I have been thinking?

Okay, I wouldn’t suggest that you should invest the whole 80,000 immediately, especially if you’re still a beginner. The fact that you have 80,000 left after your monthly expenses doesn’t mean the whole amount should go into bitcoin investment. You should also consider some cash available for emergencies and other unexpected expenses.

The 80,000 discretionary income is the amount that i usually have remaining after setting aside all the necessary funds that might be needed, and also even after removing emergency funds. On that note about the suggestion and advice you gave, I have decided to start my first investment journey by investing in Bitcoin with all my entire discretionary income which is the total sum of 80,000.
Hopefully as I have started my Bitcoin investment journey, it should be favorable and be the beginning of a brighter future for me, because I intend to hold it for a very long term. Thank you all for your well given suggestions and advices especially @JJG for creating such an educative thread. It really helped me alot with my investment decisions and I also learnt alot from this thread.

So you still want to go ahead and invest all your discretionary income in Bitcoin after @Livingleged already advised you not to? You claim to have learnt alot in this thread, but still have the mindset that putting all your discretionary income in bitcoin is a good approach and success is guaranteed. And when you said 80,000, do you mean 80k in $ or another currency? It is better to state it so we know if you’re being realistic with amount or not and also how to advice. The discussions on this thread are actually very helpful… maybe take your time to go through them again so you understand better. We can only guide you when you’re on track, not when you sound lost.

You should know whatever discretionary income you have left should be divided into three parts…. one to buy bitcoin, another to build backup funds( which serve as a financial cushion) and last for discretionary consumption. Then you can kickstart your BTC accumulatio journey. Of course everybody amount will be different, depending on their financial situation. Have it in mind that success is not guaranteed, we can only hope for a good future outcome. so invest with amount you can comfortably afford to hold over time, that won’t put you under any pressure.

[SmartCharpa]

Yeah, I agree with you i think some new investors are still confusing about this this dip. Because they think that waiting for the dip will be the best thing for them which is not, any investors that choose to wait for the dip means is not ready to invest because those that take the Bitcoin investment seriously will not be thinking about the dip all the time.

Whether new or old investors, I believe that everyone is aware that it is not advisable to overthink the market when it comes to Bitcoin. Even though some people are too lazy to do their own research, I believe whoever introduced them would advise them not to be afraid of the changes in price or try to outsmart the market.

So I think whoever decides to wait for any perfect moment is not ready yet to invest. I’m sure there will come a time when they will believe they are just wasting their time.

Before people find the Bitcoin investments so difficult but now with this DCA method it make the investment be more easier with less stress, previous years back some investors will be thinking about all their money that they would put in investments at once, but his DCA help us accumulate gradually to the point where we can get a good return.

DCA might reduce the stress, but it doesn’t guarantee success in your investment. Regardless of the strategy you choose, you need to consistent with your plan. We’ve seen someone who has the mindset of using the DCA strategy, but they panic because of any changes in the market. Every success is a result of your discipline and patience, it’s not done overnight.

[Sim_card]

I would suggest that even though they will want to do that maybe in their first time of buying Bitcoin, then when next they figure out their discretionary income they shouldn't go all-in but to try as much as they can to save up for emergency and backup even though it requires keeping 20% for each of the funds then they can decide to go all in with the remaining 60% then when they notice that they have gone far in accumulating bitcoin then they can start prioritizing Their emergency funds and backup funds by increasing the percentage, that's instead of 20% they will have to increase it to 30% or more for each of the funds then put the remaining 40% into their bitcoin investment.

It isn't a wise decision to go all in when you are buying for the first time with that huge amount of money without setting part of it aside for your emergency funds because you don't know when next a real life emergency will play out, it can be tomorrow or two days after you have bought and you will start selling back your bitcoin and possibly at loss if the price has dipped below your entry point. You didn't even consider your discretionary consumption which we shouldn't ignore because we are investing in bitcoin since bitcoin investment isn't punishment.

Just like JJG posted above, the money should be divided into three equally parts and use the first part to DCA by adding it to your regular weekly DCA funds coming upfront. The second part should be for your emergency funds and the last part for your discretionary income. It\s good to strike a balance between your bitcoin investment and your emergency funds as a brand newbie because you still have a lot of time to build your bitcoin investment when your have stopped building your backup funds. You only replace whatever, you use for unforeseen circumstances from there.

[Saltysugar99]

Enough of this assumption, how is that even possible for a guy to be getting $80k as discretionary income does he pay bills? Do they have expenses to take care of? A guy who  has responsibility is unlikely to have such a huge amount of money as discretionary income. Let's assume a guy is getting $80k in his discretionary income, if the guy is a newbie then I will say there's no problem if they want to go all in especially during their first time of buying bitcoin.

A guy having as high as $80k discretionary income is not the actual point or the bone of contention here, what is more important is how you invest with it, or how you disburse it, because saying that a newbie investor should go all in and invest with everything is wrong, but rather he should be wise enough to split his discretionary income into three different places as sticky bomb has already said, one side to invest, one side for emergency and reserve funds and one side for discretionary consumption, that way you will be ready for any emergency or anything that happens unexpected that tries to take you unaware when starting your accumulation.

$80K is such a huge amount  . Is it discretionary income or discretionary savings, you need to understand first. If it is discretionary income, then if it is generated every month, then that person is a very rich , whose cashflow is so much strong. He is definitely not like a common earned person . And if a person has $80K discretionary savings, then before that it has to be ensured that this is the only saving of that person, or he has other assets? If it is his only savings, then using it all at once to buy Bitcoin does not seem reasonable. If the price of Bitcoin starts falling after buying Bitcoin with such a large amount, then that person will definitely suffer from mental instability. Now if a person really has $80K and that person wants to use it to invest in Bitcoin, then he can do a sustainable income source business with this large amount, from which income will be generated regularly and he can invest in Bitcoin with that income. In this way that person does not have to risk such a large amount and he can also continue investing in Bitcoin.

[ChocolateBitcoinK]

  The ideas of DCA strategy is the best  than putting all the funds into it at once, though it's a choice, if i have the 80k, I just will use 40k savings for only qll my expenses or as an emergency funds, then the 40k left can be invested into bitcoin using DCA strategy, investing like $100  every week gradually for and holding it for long-term period, once all my expenses are settled,

I think you're getting some stuffs mixed up here, if you use part of the $80k for your expenses, then it is not totally your discretionary income, you've to attend to your expenses first, before determining what is left over as discretionary income from which you invest, save and consume.

I would advice that after attending to your expenses, you can split your discretionary income into 3 parts, one part for investing, second part for your emergency fund and the third part for discretionary consumption.

If someone earns $80,000 a year, the entire $80,000 cannot be called discretionary income. Before determining how much money is actually possible to invest, it is important to exclude necessary expenses. Discretionary income is the money left over after meeting the necessary living expenses. First, you have to ensure your basic expenses and then decide how to use the remaining money.

After excluding necessary expenses, the remaining money can be divided into several parts according to your priorities. One part can be used for long-term investments, one part for building an emergency fund, and another part can be kept for discretionary expenses. In this way, the entire surplus money does not go to one side and at the same time, all three factors are taken into account, investment, financial security, and personal needs. The money that is then left is the actual basis for dividing it between investments, emergency savings and discretionary expenses. By calculating in this way a person can make realistic decisions about how much he can invest without putting his necessary living expenses at risk.