DCA on a real account: does it work?

[cryptobeestrategy]

Hey everyone!

I'm a big fan of DCA, so I created my own strategy using Pine Script in TradingView. It combines dollar cost averaging, grid trading, and my own creativity.

In my backtesting results, my strategy has a ROI of 15-23% per year, not including compound interest. I'm currently testing it in a real account, and I'm sharing my trades on TikTok. My strategy currently works only with Bitcoin and in the hourly time frame. I'm still learning and improving the strategy, and I'm excited to see how it performs in the real market.

I'm not a trader, so I was looking for a more passive approach to investing. I'm hoping that this strategy will be a good fit for me. I'd love it if you'd check out my TikTok account (@cryptobeestrategies ) and give me some feedback. I'm still learning, and I appreciate any help I can get.

Thanks for reading!

[1714467651]

1714467651

[1714467651]

1714467651

[un_rank]

I'm a big fan of DCA, so I created my own strategy using Pine Script in TradingView. It combines dollar cost averaging, grid trading, and my own creativity.

How exactly do you plan to combine grid trading as well as dollar cost averaging and what forms your own creativity?
DCA is not a trading strategy although it looks like it in some way, it is more of an investment strategy and a long term one specifically for those who do not want to go through the burden of reading charts and trying to pick the best time to buy and to sell.

I'm not a trader, so I was looking for a more passive approach to investing. I'm hoping that this strategy will be a good fit for me.

Simple DCA is a passive approach already, you do not need to complicate it and include grid trading.

- Jay -

[blockman]

You can't be sure with that ROI you're mentioning with those numbers. Because from what I am experiencing through DCA, you just can't measure how much the ROI, the losses, and the profit will be. It is literally unknown. And you can't just do DCA on fake accounts or demo accounts because we're talking about real money here, real crypto and without such, you can't buy those on any exchange.

I'm not a trader, so I was looking for a more passive approach to investing. I'm hoping that this strategy will be a good fit for me.

This is the better approach if you're not really a trader. Yes, it's passive and for sure if you have understood how it works, it's certainly a good fit for you.

[bitmover]

Hey everyone!

I'm a big fan of DCA, so I created my own strategy using Pine Script in TradingView. It combines dollar cost averaging, grid trading, and my own creativity.

In my backtesting results, my strategy has a ROI of 15-23% per year, not including compound interest. I'm currently testing it in a real account, and I'm sharing my trades on TikTok. My strategy currently works only with Bitcoin and in the hourly time frame. I'm still learning and improving the strategy, and I'm excited to see how it performs in the real market.

1 year ago btc was worth about 18k usd  and now it is above 26.
That's is about 50% up.

Whatever you did  you would have made a lot of money just by buying btc. It is easy to trade when the market makes 50%+ in a year.

[Adbitco]

Hey everyone!

I'm a big fan of DCA, so I created my own strategy using Pine Script in TradingView. It combines dollar cost averaging, grid trading, and my own creativity.

In my backtesting results, my strategy has a ROI of 15-23% per year, not including compound interest. I'm currently testing it in a real account, and I'm sharing my trades on TikTok. My strategy currently works only with Bitcoin and in the hourly time frame. I'm still learning and improving the strategy, and I'm excited to see how it performs in the real market.

1 year ago btc was worth about 18k usd  and now it is above 26.
That's is about 50% up.

Whatever you did  you would have made a lot of money just by buying btc. It is easy to trade when the market makes 50%+ in a year.

Well most times beginners are always afraid of the market they felt it could go lower than that so they may decide to pull back to wait watch the market before going into with another strategy without knowing that was their best opportunities to buy by now he could had made something very pleasant of that relying on some strategies. At some point it was around 31k which we thought it could break out to 34k I think that was still this year if that op did could have made exactly 50 percentage by now.

[logfiles]

1 year ago btc was worth about 18k usd  and now it is above 26.
That's is about 50% up.

Whatever you did  you would have made a lot of money just by buying btc. It is easy to trade when the market makes 50%+ in a year.

DCA is probably the easiest way of investing in an asset, but you are right

I used this DCA calculator (https://uphold.com/en-eu/get-started/dollar-cost-averaging-calculator) and If one was to buy $100 worth of Bitcoin daily, the Total purchased amount would be $33,500. Total value today would be $38,083.69 (1.4609493 BTC) ROI would be 13.68 %

If one was to buy $100 worth of Bitcoin weekly, the Total purchase amount would be $4,800. Total value today would be  $5,572.57 (0.2084079 BTC) ROI would be +16.1 %

The only challenge with buying the dip, it's usually so hard to know the bottom until it's too late.

[tvplus006]

1 year ago btc was worth about 18k usd  and now it is above 26.
That's is about 50% up...

And if we count it differently?
2 years ago, the price of Bitcoin was about 69 thousand dollars and it is more than 2 times more than today. Thus, the OP would have a loss of more than 50%. Accordingly, it is very important to take into account at which price levels the DCA strategy was used.

[jeraldskie11]

1 year ago btc was worth about 18k usd  and now it is above 26.
That's is about 50% up...

And if we count it differently?
2 years ago, the price of Bitcoin was about 69 thousand dollars and it is more than 2 times more than today. Thus, the OP would have a loss of more than 50%. Accordingly, it is very important to take into account at which price levels the DCA strategy was used.

In other words, employing the DCA technique continues to have risk. The timing of when you begin investing is very important, which is why we don't just jump into the market because we see that they're profitable with this technique. To maximize the success of your investment strategy, you must also understand how to analyze the market technically and fundamentally. Traders are adept at forecasting, thus the DCA technique will work.

[cryptobeestrategy]

How exactly do you plan to combine grid trading as well as dollar cost averaging and what forms your own creativity?
DCA is not a trading strategy although it looks like it in some way, it is more of an investment strategy and a long term one specifically for those who do not want to go through the burden of reading charts and trying to pick the best time to buy and to sell.

What I'm exploring is a combination of the DCA and Grid Trading approaches, but not in a conventional way. Instead of making purchases at regular intervals, I'm adapting my strategy based on market volatility. This allows me to seek profitability opportunities in both bullish and bearish markets. Essentially, I'm looking to capitalize on market fluctuations in a more dynamic and adaptable way, leveraging changing conditions to make more timely and flexible investment decisions.
For instance, in my backtest, during the bearish market conditions of 2022 for Bitcoin, my newly devised strategy proved to be profitable, achieving a remarkable 32% return on investment.https://es.tradingview.com/chart/BTCUSDT/qtnVf3E5/

[cryptobeestrategy]

1 year ago btc was worth about 18k usd  and now it is above 26.
That's is about 50% up...

And if we count it differently?
2 years ago, the price of Bitcoin was about 69 thousand dollars and it is more than 2 times more than today. Thus, the OP would have a loss of more than 50%. Accordingly, it is very important to take into account at which price levels the DCA strategy was used.

Here is the development of my strategy in the bear market 2022 btc and its profitabilityhttps://es.tradingview.com/chart/BTCUSDT/qtnVf3E5/

[cryptobeestrategy]

You can't be sure with that ROI you're mentioning with those numbers. Because from what I am experiencing through DCA, you just can't measure how much the ROI, the losses, and the profit will be. It is literally unknown. And you can't just do DCA on fake accounts or demo accounts because we're talking about real money here, real crypto and without such, you can't buy those on any exchange.

I'm not a trader, so I was looking for a more passive approach to investing. I'm hoping that this strategy will be a good fit for me.

This is the better approach if you're not really a trader. Yes, it's passive and for sure if you have understood how it works, it's certainly a good fit for you.

My approach isn't strictly DCA since DCA involves making regular purchases at set intervals. Instead, my strategy involves making multiple purchases based on market volatility, coupled with a fixed take-profit target. In my case, after conducting a successful backtest, I have implemented this strategy in a live trading account. For instance, you can observe the performance in 2022, which was a bearish year.https://es.tradingview.com/chart/BTCUSDT/qtnVf3E5/

[GreatArkansas]

1 year ago btc was worth about 18k usd  and now it is above 26.
That's is about 50% up.

Whatever you did  you would have made a lot of money just by buying btc. It is easy to trade when the market makes 50%+ in a year.

(....)

The only challenge with buying the dip, it's usually so hard to know the bottom until it's too late.

Very well said.
That's why DCA is really effective especially if you are a busy person and don't have time to do some analysis to identify the bottom or let's say you are really not a technical guy to deep dive into some analysis, DCA is your friend. Just be consistent.

[OcTradism]

I'm a big fan of DCA, so I created my own strategy using Pine Script in TradingView. It combines dollar cost averaging, grid trading, and my own creativity.

In my backtesting results, my strategy has a ROI of 15-23% per year, not including compound interest. I'm currently testing it in a real account, and I'm sharing my trades on TikTok. My strategy currently works only with Bitcoin and in the hourly time frame. I'm still learning and improving the strategy, and I'm excited to see how it performs in the real market.

DCA (Dollar Cost Averaging) is a good strategy for long term investor but it seems you have something wrong in your mind. With long term investment strategy, you should not aim at 15-23% ROI annually. Because investment in long term means you have to accept loss temporarily and maybe you will get nothing with one year DCA.

If you are curious and unsure about DCA, you can use https://dcabtc.com/, enter some parameters like how you want to DCA, and check how DCA works with past months of Bitcoin price.

You can use Portfolio trackers and accounts on Coinmarketcap and Coingecko for Demo DCA.
https://coinmarketcap.com/portfolio-tracker/
https://www.coingecko.com/en/portfolio

[Husires]

I'm not a trader, so I was looking for a more passive approach to investing. I'm hoping that this strategy will be a good fit for me. I'd love it if you'd check out my TikTok account (@cryptobeestrategies ) and give me some feedback. I'm still learning, and I appreciate any help I can get.

Thanks for reading!

Thank you for sharing with us. Instead of tiktok, try to prepare an Excel file and visualize the outputs on a monthly basis, while giving notices of but orders here once every few days will be sufficient, as all the data here is open and any modification is recorded, not like other services in which users can modify the data.
If your service is successful, you will receive many donations, and you can create a paid channel after several months if you gain sufficient confidence.

[cryptobeestrategy]

I'm a big fan of DCA, so I created my own strategy using Pine Script in TradingView. It combines dollar cost averaging, grid trading, and my own creativity.

In my backtesting results, my strategy has a ROI of 15-23% per year, not including compound interest. I'm currently testing it in a real account, and I'm sharing my trades on TikTok. My strategy currently works only with Bitcoin and in the hourly time frame. I'm still learning and improving the strategy, and I'm excited to see how it performs in the real market.

DCA (Dollar Cost Averaging) is a good strategy for long term investor but it seems you have something wrong in your mind. With long term investment strategy, you should not aim at 15-23% ROI annually. Because investment in long term means you have to accept loss temporarily and maybe you will get nothing with one year DCA.

If you are curious and unsure about DCA, you can use https://dcabtc.com/, enter some parameters like how you want to DCA, and check how DCA works with past months of Bitcoin price.

You can use Portfolio trackers and accounts on Coinmarketcap and Coingecko for Demo DCA.
https://coinmarketcap.com/portfolio-tracker/
https://www.coingecko.com/en/portfolio

In the context of the Dollar-Cost Averaging (DCA) method, achieving an annual return on investment (ROI) ranging from 15% to 23% may appear unattainable. However, my strategy combines specific elements of both DCA and grid methods, along with other mathematical calculations that have demonstrated the ability to generate these results in the short term, as evidenced by a backtest.

For instance, consider the performance of the year 2022, a period marked by a bearish trend in Bitcoin as illustrated here: https://es.tradingview.com/chart/BTCUSDT/qtnVf3E5/

The primary objective of this strategy is to maintain liquidity consistently, ensuring that funds remain readily accessible for future use without concerns about them becoming stagnant.

[cryptobeestrategy]

Thank you for sharing with us. Instead of tiktok, try to prepare an Excel file and visualize the outputs on a monthly basis, while giving notices of but orders here once every few days will be sufficient, as all the data here is open and any modification is recorded, not like other services in which users can modify the data.
If your service is successful, you will receive many donations, and you can create a paid channel after several months if you gain sufficient confidence.

I began testing the strategy on September 15th of this year. As you rightly mentioned, in addition to TikTok, I will also prepare an Excel spreadsheet to track and demonstrate the progress. Moreover, I believe it would be beneficial to create a website to showcase how the strategy works. Thank you for the suggestion; I will definitely consider it.

[Inwestour]

Very well said.
That's why DCA is really effective especially if you are a busy person and don't have time to do some analysis to identify the bottom or let's say you are really not a technical guy to deep dive into some analysis, DCA is your friend. Just be consistent.

DCA will not be able to guarantee you a good result if you cannot take the time to determine which market you are currently in, so you will still have to spend time on analysis. If, for example, a busy person simply starts buying on ATH because he did not have time to analyze the market, and he starts buying at 60k, then his average purchase price will not be very good and he is unlikely to receive much profit from such an investment.

Everything related to money will require certain knowledge and to some extent will require your time, at least in the initial stages. DCA is a good strategy, but if you start buying in a bear market, you will have a chance to make much larger profits.

[gunhell16]

Hey everyone!

I'm a big fan of DCA, so I created my own strategy using Pine Script in TradingView. It combines dollar cost averaging, grid trading, and my own creativity.

In my backtesting results, my strategy has a ROI of 15-23% per year, not including compound interest. I'm currently testing it in a real account, and I'm sharing my trades on TikTok. My strategy currently works only with Bitcoin and in the hourly time frame. I'm still learning and improving the strategy, and I'm excited to see how it performs in the real market.

I'm not a trader, so I was looking for a more passive approach to investing. I'm hoping that this strategy will be a good fit for me. I'd love it if you'd check out my TikTok account (@cryptobeestrategies ) and give me some feedback. I'm still learning, and I appreciate any help I can get.

Thanks for reading!

I was curious as to how you connected trading in the cryptocurrency market with DCA. How does grid trading work for this? As far as I'm aware, DCA is not a tool for trading in this particular bitcoin market.

Are you able to buy bitcoin every day for $100 under current circumstances, despite the fact that DCA is an excellent approach to amass Bitcoin and other cryptocurrencies that anyone believes will provide a big profit during the upcoming bull season or bitcoin halving next year? To be honest, it's not simple for regular folks working in the Bitcoin sector to achieve this.

[tvplus006]

I began testing the strategy on September 15th of this year. As you rightly mentioned, in addition to TikTok, I will also prepare an Excel spreadsheet to track and demonstrate the progress. Moreover, I believe it would be beneficial to create a website to showcase how the strategy works. Thank you for the suggestion; I will definitely consider it.

Have you defined for yourself any time frame during which you will buy coins? After all, in the end everything will depend on the amount of money in your wallet. And if you run out of money, and the value of Bitcoin continues to decline, then you will get an unacceptable average value of the coin.

[DVlog]

1 year ago btc was worth about 18k usd  and now it is above 26.
That's is about 50% up.

Whatever you did  you would have made a lot of money just by buying btc. It is easy to trade when the market makes 50%+ in a year.

(....)

The only challenge with buying the dip, it's usually so hard to know the bottom until it's too late.

Very well said.
That's why DCA is really effective especially if you are a busy person and don't have time to do some analysis to identify the bottom or let's say you are really not a technical guy to deep dive into some analysis, DCA is your friend. Just be consistent.

I don't think DCA is for busy people. Buying something one time in a week or month and someone doesn't have even time for that! It is hard to believe. What i know is DCA is for those who want to hold a coin for a very long time and the market is moving sideways. Like if you have been doing DCA for over the past 2 years your average must be lower than those who are investing now.

If you are a busy person and want to trade to make a profit when the market is moving sideways and you don't have any intention to hold for a long time then Grid trading is best for you. Just set the support and resistance parameters and create the bot with the amount of grid you want to put there. Now it will run on its own and you can be busy where ever you want.