Buy Buy Buy or Sell Sell Sell?

[Hewlet]

DCA is a way in which we purchase whatever the price is. If you use DCA to make regular purchases within your budget, you can adjust the amount of aggression accordingly. However, unless you save money, you cannot be certain that you will have enough money to buy when the price reduces. Whether or not to save money, and how much to save, can be a good or terrible option depending on where the individual is in their Bitcoin accumulation path.

With a very small amount, you can still buy your bitcoin at a go rather than saving first and then waiting for the DIp before buying your bitcoin. DCA involves steady buying and not saving first and later using the amount you've saved for investing. If you want to save, it should be that you're saving for your emergency fund which is a shield to your investment and that after you've saved up for your emergency fund, you can then concentrate on your investment journey.

The goal of an investor is that at every point in time in his accumulation journey, his decision influences his bitcoin portfolio better than it is in the past. Waiting or saving breeds delay for an investor and if care and proper planning is not taking, an investors poor investment plan can result to his failure in remaining consistent with buying more bitcoin.

[johnsaributua]

...

With a very small amount, you can still buy your bitcoin at a go rather than saving first and then waiting for the DIp before buying your bitcoin. DCA involves steady buying and not saving first and later using the amount you've saved for investing. If you want to save, it should be that you're saving for your emergency fund which is a shield to your investment and that after you've saved up for your emergency fund, you can then concentrate on your investment journey.

There is no such thing as impossible, even though the city only has a small amount at first, but the mistake is not doing it with the excuse of saving first before they do it and that is when prices are falling, this is what is currently still happening a lot that they tend to wait for prices to fall when they already have money as their grip after doing it. own meaning.

[De seer1]

DCA is a way in which we purchase whatever the price is. If you use DCA to make regular purchases within your budget, you can adjust the amount of aggression accordingly. However, unless you save money, you cannot be certain that you will have enough money to buy when the price reduces. Whether or not to save money, and how much to save, can be a good or terrible option depending on where the individual is in their Bitcoin accumulation path.

With a very small amount, you can still buy your bitcoin at a go rather than saving first and then waiting for the DIp before buying your bitcoin. DCA involves steady buying and not saving first and later using the amount you've saved for investing. If you want to save, it should be that you're saving for your emergency fund which is a shield to your investment and that after you've saved up for your emergency fund, you can then concentrate on your investment journey.

The goal of an investor is that at every point in time in his accumulation journey, his decision influences his bitcoin portfolio better than it is in the past. Waiting or saving breeds delay for an investor and if care and proper planning is not taking, an investors poor investment plan can result to his failure in remaining consistent with buying more bitcoin.

As long as one is investing within their budget and has an emergency fund in place, being constant can be more beneficial than waiting for the perfect entry price. You are right when you say that DCA truly helps separate emotions from investing.Finding the ideal purchase opportunity isn't the most difficult element for most individuals; rather, it's maintaining consistency and developing the habit of making regular investments while setting away money for emergencies is a sensible strategy.

[samadam007]

DCA is a way in which we purchase whatever the price is. If you use DCA to make regular purchases within your budget, you can adjust the amount of aggression accordingly. However, unless you save money, you cannot be certain that you will have enough money to buy when the price reduces. Whether or not to save money, and how much to save, can be a good or terrible option depending on where the individual is in their Bitcoin accumulation path.

When an individual obtains an unexpected quantity of money during or as a result of a price decline, they begin to consider ways to raise further funds or reallocate some of the money they had set aside for another sector into Bitcoin.

You seem confused… DCA is about buying consistently with money you can comfortably afford, not about waiting for the price to go down or the need to find extra money whenever the market drops. If investors have extra available funds, then it's their personal decision on how to use them. But no one should feel that a price decline means they have to move money from other priorities just to buy more BTC.

Long term approach is far more sustainable when it fits your budget and can be maintained through both market fluctuations

[BluebloodCXVI]

DCA is a way in which we purchase whatever the price is. If you use DCA to make regular purchases within your budget, you can adjust the amount of aggression accordingly. However, unless you save money, you cannot be certain that you will have enough money to buy when the price reduces. Whether or not to save money, and how much to save, can be a good or terrible option depending on where the individual is in their Bitcoin accumulation path.

When an individual obtains an unexpected quantity of money during or as a result of a price decline, they begin to consider ways to raise further funds or reallocate some of the money they had set aside for another sector into Bitcoin.

You seem to be mixing up two different concepts here @Sulegzy. DCA does not require you to wait for the market price to go up or down before you can buy. The moment you start setting money aside specifically because you want to buy a dip then you’re no longer doing DCA.
I also don’t think that it is accurate for you to say that unless someone saves money they won’t have funds to buy when the price drops. It’s not everybody that plans for dips like that. A person might get paid, receive a bonus or get an extra income or just decide to allocate more money whenever an opportunity comes up; they are just simply making additional purchases alongside their regular DCA. So even though there’s nothing wrong in buying the dip when we have funds available to us, don’t make the mistake of presenting it as the same thing with DCA.

[Obulis]

Combining strategy can be very advantageous because it will help an investor grow or increase their portfolio so easily, just imagine someone I mean an investor who is using the DCA method and at same time front loading or been aggressive when there is Dip, the investor will grow more than someone that is just using the DCA method but it is not compulsory to combine two strategy in Bitcoin investment especially if it is not convenient for the person otherwise there will be a problem.

I don't think so because the benchmark in the development of our portfolios is not only focused on combining strategies but also depends on how we start and are consistent beforehand. Indeed if we are able to it will still be good for our portfolios but it does not mean that combining several strategies at once will be able to make the growth of our portfolios grow rapidly because it could even be the opposite.

In addition we also need to consider the financial problems we have the longer the level of needs can increase and when we are unable to cover it from the start because it is too focused on doing several bitcoin buying strategies at once without any consideration in daily needs this can also be a problem that will arise and this will interfere with the investment we are doing.
We are always competing to make the quantity look better because we always expect rapid portfolio growth but do not realize that the poor quality of our investments and done too aggressively can also create new problems.

While on DCA strategy there's no need to think of combining strategy. On DCA strategy, discretionary funds availability should define the necessity for a new move (call it aggressiveness) which will mean combining strategy by implications and that is to avoid the temptation that will or might lead to an investor undermining daily needs that can along the line negatively affect their portfolio.

While using DCA strategy, there's no need competing about the quantity of Bitcoin when the quality of your financial atmosphere is weak. There can be moves to first raise your financial stand before thinking of raising Bitcoin portfolio inline with the new existing financial stand.

[Showlove01]

DCA is a way in which we purchase whatever the price is. If you use DCA to make regular purchases within your budget, you can adjust the amount of aggression accordingly. However, unless you save money, you cannot be certain that you will have enough money to buy when the price reduces. Whether or not to save money, and how much to save, can be a good or terrible option depending on where the individual is in their Bitcoin accumulation path.

With a very small amount, you can still buy your bitcoin at a go rather than saving first and then waiting for the DIp before buying your bitcoin. DCA involves steady buying and not saving first and later using the amount you've saved for investing. If you want to save, it should be that you're saving for your emergency fund which is a shield to your investment and that after you've saved up for your emergency fund, you can then concentrate on your investment journey.

The goal of an investor is that at every point in time in his accumulation journey, his decision influences his bitcoin portfolio better than it is in the past. Waiting or saving breeds delay for an investor and if care and proper planning is not taking, an investors poor investment plan can result to his failure in remaining consistent with buying more bitcoin.

As long as one is investing within their budget and has an emergency fund in place, being constant can be more beneficial than waiting for the perfect entry price. You are right when you say that DCA truly helps separate emotions from investing.Finding the ideal purchase opportunity isn't the most difficult element for most individuals; rather, it's maintaining consistency and developing the habit of making regular investments while setting away money for emergencies is a sensible strategy.

Yes, you are right to some extent what we need to sail smoothly in your Bitcoin investment is our discretionary income, emergency funds and the right mindset and determination on what we actually want in the Investment these things we always push one to be serious in their accumulation journey but I don't totally agree when you said the DCA helps separate emotions from investing in Bitcoin that is just an ideal case because in actual or real case it doesn't do that, it is an investor that will decide whether to be emotional or not because you are the one using the method and not the method using you.

[JayJuanGee]

[edited out]

Secondly, using the word 'Trading' in such a thread created mainly for Bitcoin investment and discussion isn't right and might be misleading. We major on Bitcoin investment and not trading. So next when explaining things, ensure to use the right terms for better clarity and understanding.

This is not an investing ONLY thread.

The OP opened up the thread asking about buying or selling, so even if guys have been talking about investing and emphasizing investing in this thread, this thread is not ONLY about investing.

It seems more likely that people will have more solid plans when it is several weeks or several months into the future, and the further out the timeline, then the more uncertainties. So, it is unlikely that we can just lock into a 10-year plan without having any flexibility unless maybe we are at a certain stage of our life that we might have gotten into a job (or line of work) that seems that it might last us 10 years or longer.  Otherwise, yeah, there may be some needs to be flexible.

Another thing might be some guys who are in their late 40s or mid-50s or even older, and if they are considering getting into bitcoin, then they are at a later stage of their career, yet the fact that they are older does not mean that they are not able to figure out a 4-10 year or even longer timeline for investing into bitcoin, and they may or may not have more career certainty or maybe they have investments that they had already made that they would be willing to reallocate some or all of the value into bitcoin... so not everyone who is a newbie to bitcoin is a newbie to investment or not even a newbie to life experiences.

Sured 💯. Old doesn't matter so age shouldn't be seen as a barrier for building a Bitcoin position, infacts  there are alot of older investors that sometimes brings more advantages that even younger investors may still be developing, such financial discipline, experienced on risk management towards investment and the investment habits also a clearler understanding of planning for long term. 

You seem to be misreading me, since I think that both age and health conditions are factors in regards to how guys might think about how they invest and their timeline, and it could even have had already affected where they are at in their lives in terms of their career, trainability for other kinds of work and/or the various assets that they might have had been able to accumulate through the years.

So coming or entry th3 bitcoin late in life doesn't really eliminate the possibility of benefits from a several years bitcoin accumulation strategy. Moreover  bitcoin accumulation or bitcoin investment truly depends on one's patience for a long-term and financial management than age or how recently some people discover bitcoin.

There are lot of guys who don't start to think seriously about investing until they are older.. so there is that angle too..,. and there are other guys who might have had a lot of failures in their earlier investments and so in some sense, they might be in their later years of life and still seeming to be more in a beginner stage rather than a more advanced stage.

I personally believe that it is better to have a 4-10 year or more expected investment timeline, so it may well become more and more difficult for some of the older investors to have confidence that their investment timeline is greater than 4 years and even more difficult to commit to even longer investment timelines.

It seems more likely that people will have more solid plans when it is several weeks or several months into the future, and the further out the timeline, then the more uncertainties. So, it is unlikely that we can just lock into a 10-year plan without having any flexibility unless maybe we are at a certain stage of our life that we might have gotten into a job (or line of work) that seems that it might last us 10 years or longer.  Otherwise, yeah, there may be some needs to be flexible.

Another thing might be some guys who are in their late 40s or mid-50s or even older, and if they are considering getting into bitcoin, then they are at a later stage of their career, yet the fact that they are older does not mean that they are not able to figure out a 4-10 year or even longer timeline for investing into bitcoin, and they may or may not have more career certainty or maybe they have investments that they had already made that they would be willing to reallocate some or all of the value into bitcoin... so not everyone who is a newbie to bitcoin is a newbie to investment or not even a newbie to life experiences.

Sured 💯. Old doesn't matter so age shouldn't be seen as a barrier for building a Bitcoin position, infacts  there are alot of older investors that sometimes brings more advantages that even younger investors may still be developing, such financial discipline, experienced on risk management towards investment and the investment habits also a clearler understanding of planning for long term.  So coming or entry th3 bitcoin late in life doesn't really eliminate the possibility of benefits from a several years bitcoin accumulation strategy. Moreover  bitcoin accumulation or bitcoin investment truly depends on one's patience for a long-term and financial management than age or how recently some people discover bitcoin.

I have seen many people who are able to invest in Bitcoin, they invest in Bitcoin after getting their job pension. So age is never seen as a barrier in Bitcoin investment,

Yes.  Age and health is a factor, even if some guys might do dumb shit related to their pension.

Of course, there are some guys who might already have other sources of income, besides their pension, so we cannot necessarily presume the various individual factors that affects any particular investor, even if they might be older and even if they might already be drawing from their pension.

those who see age as a barrier will face the most problems. Because any person of any age can invest in this Bitcoin if he has money, a low income person and a rich person every person has the ability to invest in Bitcoin according to the DCA method. So here age does not matter but investing in Bitcoin is the most important thing

I don't know why you are emphasizing this point so much about age supposedly not being a factor, and you are not even correct about that.   Yeah, anyone can invest into bitcoin as long as they have a 4-10 year timeline, yet the older a guy is then the more likely they could have age and/or health issues that might not allow them to commit to more than 10 years, and even if they are able to commit to more than 4 years, they might have some age/health issues that come up prior to their having had invested into bitcoin for at least 4 years that then end up affecting their bitcoin investment.

What do you mean by another sector into Bitcoin, or are you talking about diversifying ur investment into another investment. It is best that before an investor chose to diversify into another investment he should ensure to have accumulated a good amount of bitcoin to his portfolio and reach his accumulation target or over accumulation so that even when diversifying to another investment the attention won’t be overly divided in trying to handle them both. Because most investors fall out along the line when they start getting divided attention. And when diversifying it will be better to invest in some other ventures entirely different from Bitcoin.

You don't need to reach your bitcoin target or over accumulation stage before you can diversify into other form of asset if you want to diversify because you don't even know when you will reach your bitcoin target since it might take up to 10 years or more and this depends on the size of your discretionary income and how much from it you are using to buy bitcoin.

You can diversify into other asset like stock, bond,cash equivalents and equity when you have accumulated up to half or more of your bitcoin target because the reason of diversifying is to preserve the value of your wealth so that, if one is not doing fine, the other can balance the loss. You should have a good knowledge of the asset, you want to diversify into and don't diversify blindly, so that you wouldn't make the wrong decision and regret it.

All your points are fair, @Sim_card, yet it may also be worth pointing out that guys could surely spend 1-2 cycles or more while ONLY investing into bitcoin and cash before they start to even think that there might be any benefits in diversifying beyond bitcoin and cash.

Personally I get the sense that if a person continues to build up various cash holdings beyond 3 months, and maybe the guys starts to get to a point of having 6 months or more in various forms of cash or cash equivalents, then he may well start to feel some need to diversify some of the cash, and maybe not so much of the bitcoin, even though the whole package is likely considered.. including that if the value put into bitcoin might have had been 1-2 years or more of expenses but then at the same time the bitcoin value goes up and down, and even the bitcoin value might start to add up to several years of expenses.

Since situations differ for all of the guys investing into bitcoin, it becomes more and more difficult to describe when there might be reasonable triggers to diversify and to consider that such diversification is putting one's overall financial situation into a better and more comfortable place.

Of course, there are also guys who come to bitcoin, and they already have some level of diversification (since they are already invested in some other assets at the time that they get started buying bitcoin). They might be faced with some dilemma regarding the extent to which they either reallocate out of some of their already existing investments and to put that money into bitcoin and/or they might have dilemmas regarding the extent to which they might feel it is necessary to continue to add value into those other investments rather than focusing their investment into bitcoin.  The answers regarding how to balance resources are not always easy.

[edited out]

That diversification plan will only work for those people trying to do it, if they made good preparations. Also instead of waiting on their target to get reach on their Bitcoin investment. They could able to set a new milestone on which maybe some part of their gains if they want to secure a little bit profit or if they have excess funds to cross on different market then invest with it.

Its important to consider those diversification plan as part of their strategy, not only a reaction because they got pressured when seeing that market is collapsing. Also if they study well the assets they choose to invest. This will possibly make their portfolio became more stronger rather than making it weak because of those bad decisions made.

You make some decently good points, @ultrloa - even though I am not too thrilled about your feeling needs to "take profits" in the context of what seems to be a process of investment allocation decisions, yet sure there can be ways to invest and reallocate from investments that we already have and that we want to have, and sometimes there can be rationales to take some of the money out of the investments to be able to consume...

[edited out]

I agree that age is not a barrier to investing in Bitcoin. However, when a person receives a pension after retirement, his financial priorities change, unlike a young working person. If that money is the main hope for his future livelihood, then investing all his money in Bitcoin will not be wise. Rather, he should first make sure that he has enough cash and backup funds to last a few years, so that he is not forced to sell Bitcoin when the market goes up and down. Then, according to his risk tolerance, he can gradually invest some part in the DCA method. When a person retires, his main goal should be capital preservation and long-term wealth growth, but not trying to make quick profits. A person can start investing in Bitcoin even with little money.
In my opinion, to be successful in Bitcoin, it is not only important to have a lot of money, but also the ability of the person who is investing to hold the investment for many years. Therefore, it is possible to invest in Bitcoin even at an old age, but it must be well-planned, patient and consistent with the financial situation.
Lastly, age is never a barrier to entry into Bitcoin, but investment strategies should vary according to income, cash flow, and time frame. Enter in a planned manner, have adequate backup funds, and consider your own risk tolerance.

Surely one of the problems with something like a pension plan is that it tends to be a fixed amount that might not have much if any of a cost of living adjustment contained within it, so many times the fixed income plans will not keep up with the cost of living, yet on the other hand, they are pretty much a guaranteed source of income that many folks are not able to get that level of guarantee while they are still working, since most of the time, their ability to earn an income depends on their continued ability to work on a fairly regular basis.

Your idea about preserving wealth rather than taking risks is reasonable, which is part of the reason that there are suggestions, even with bitcoin of an investment timeline that is 4-10 years or longer, yet surely guys could be overly taking risks if they end up reallocating too much into bitcoin as compared with other places that they might have value - yet at the same time, it seems to me that if guys are able to figure out how to sufficiently build their bitcoin stack size, then the bitcoin investment may well end up having greater income preserving and even higher sustainable withdrawal levels that can be achieved by many, if not most, other places that value might end up getting placed.

[ejikeme24]

You seem to be mixing up two different concepts here @Sulegzy. DCA does not require you to wait for the market price to go up or down before you can buy. The moment you start setting money aside specifically because you want to buy a dip then you’re no longer doing DCA.
I also don’t think that it is accurate for you to say that unless someone saves money they won’t have funds to buy when the price drops. It’s not everybody that plans for dips like that. A person might get paid, receive a bonus or get an extra income or just decide to allocate more money whenever an opportunity comes up; they are just simply making additional purchases alongside their regular DCA. So even though there’s nothing wrong in buying the dip when we have funds available to us, don’t make the mistake of presenting it as the same thing with DCA.

It all depends on how they planned it, at times investors can decide to keep some money aside Incase there's a major market decline to avoid running around or going in search of where they could get money to utilize that Very opportunity. You know when you're buying regularly with your discretionary funds at the same time hoping to be more aggressive when there's a major market decline, before the dip will happen is either you used up your discretionary income or you're Left with little of which it may not be enough for you to be aggressive as you planned, That is the reason why you see some investors setting money aside for buying the dip but that doesn't stop them from maintaining Thier regular buying of bitcoin. And of course every investors have the right to do whatever they wish or feel like it will help Them achieve what they want to achieve.