You will lose more if you DCA without knowledge

[Why2why]

What I have noticed with my bitcoin holding is that, I have continued to lose more, each time i try to take advantage of the price to profits, in form of DCA approach.

This outcome lead me to make further research about the best way to build profits using DCA and I find out that, is a wrong thing to do as a newbies without adequate knowledge about the volatility of the bitcoin market, and also no matter how sweet the DCA approach have been for experience bitcoin investors, DCA can still be the worst for a newbies,  so I say newbies should stay away from DCA until they have the knowledge of the risk and approach to DCA.

Thank you for reading.

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[Davidvictorson]

What I have noticed with my bitcoin holding is that, I have continued to lose more, each time i try to take advantage of the price to profits, in form of DCA approach.

This outcome lead me to make further research about the best way to build profits using DCA and I find out that, is a wrong thing to do as a newbies without adequate knowledge about the volatility of the bitcoin market, and also no matter how sweet the DCA approach have been for experience bitcoin investors, DCA can still be the worst for a newbies,  so I say newbies should stay away from DCA until they have the knowledge of the risk and approach to DCA.

Thank you for reading.

I am a little lost.
Isn't DCA a strategy to conveniently build up your Bitcoin assets at specific times that you have set for yourself? And that it doesn't matter whether the we are in a bull or bear market when you do it ?  In my estimation it isn't about building profits like you have written but about setting a personal Bitcoin holding target and reaching it. People have DCA-ed they way into the 1 Bitcoin club.

[I_Anime]

What I have noticed with my bitcoin holding is that, I have continued to lose more, each time i try to take advantage of the price to profits, in form of DCA approach.

This outcome lead me to make further research about the best way to build profits using DCA and I find out that, is a wrong thing to do as a newbies without adequate knowledge about the volatility of the bitcoin market, and also no matter how sweet the DCA approach have been for experience bitcoin investors, DCA can still be the worst for a newbies,  so I say newbies should stay away from DCA until they have the knowledge of the risk and approach to DCA.

Thank you for reading.

Mate all this you are saying is just off sorry to say, Because DCA is the best strategy for newbies when it comes to Accumulating Bitcoin. Inorder word a newbie don't need to have any complex knowledge before considering using DCA strategy, once you have the basic knowledge of Bitcoin you are good to go . May be as time goes then you will have to learn how to balance your financial situation while you continue your DCAing like by having an emergency funds ( to coverup any expenses) and also to prevent yourself from digging into your Bitcoin holding ( expecially as a long-term investor) when Is still premature or haven't yield any profit at all .

Knowledge about the volatility of the bitcoin market

that is what the all system of DCA for. Due to the fact that market is highly volatile and we can't actually time the market. So DCA normally help with that because is the act of purchasing Bitcoin at different price interval ( either when the price is high or low) in a fixed time. So DCA is one of the helpful strategy in accumulating bitcoin for both newbie and the experience. So I will advice you continue to focus on DCA purchasing because if you keep on waiting misleading yourself that you need more knowledge about Bitcoin before thinking of accumulating, you will only endup missing out big time so start accumulating now with DCA buying and engage with bitcoin long-term investment and you will see howfar your portfolio will grow with time.

[OcTradism]

This outcome lead me to make further research about the best way to build profits using DCA and I find out that, is a wrong thing to do as a newbies without adequate knowledge about the volatility of the bitcoin market, and also no matter how sweet the DCA approach have been for experience bitcoin investors

DCA is simple to do. People only need to have money, regular money from their income, to buy an asset through DCA.

First importance starts with what asset they choose to buy. If they choose Bitcoin, it's good start.
Second, they must know where to buy and where to store their bitcoins.

If they lose bitcoins, after purchases, it's bad. Choose a good wallet to store their bitcoins is a third important thing.
https://bitcoin.org/en/choose-your-wallet
https://www.lopp.net/bitcoin-information/recommended-wallets.html

DCA can still be the worst for a newbies

I don't think so.

so I say newbies should stay away from DCA until they have the knowledge of the risk and approach to DCA.

What is knowledge in your opinion, is needed for newbies?

[Mia Chloe]

What thing is easy without proper understanding? Almost nothing. Dollar cost averaging has a couple of little technicalities to it which you have to have a Good grasp of like the knowledge required in simple stock trading. Things like this is the reason why you notice that a lot of people tend to prefer hodling Bitcoin to dollar cost averaging and other trading related stuff, simply because of the technicalities that come with it. Aside from DCA , Bitcoin too has its level of volatility which if you are a short term Hodler, you have to be able to manage as efficient as possible in order maximize your profits. Long term Bitcoin hodlers have not much to worry about when it comes to volatility since all they have to do is buy in the dip , hodl and sell at bull.
The fact is , to become a nice Bitcoin Hodler a the most important thing you have to do is to understand the security of your coins and how to protect important information like your keys and seed.

[YUriy1991]

Of course, loss If we are careless without paying attention to the purchase price, for example, we happen to buy using DCA at the peak price for The final result if averaged may be different and this also needs to be remembered in every purchase also subject to taker and maker fees if transacting on the exchange. Do the calculation in conditions where the price of BTC is already at a high price, not when market conditions are down, you continue to accumulate, yes, of course, you will be able to average losses, out of the results.

[mk4]

Well that's just plain out wrong lmao. DCA is exactly the strategy for those without much market knowledge because most people are better off just slowly buying instead of trying to time markets. What do you recommend, buying dips? lmao — one of the recipes for disaster.

[Pokapoka124]

What I have noticed with my bitcoin holding is that, I have continued to lose more, each time i try to take advantage of the price to profits, in form of DCA approach.

You hold an unpopular opinion about DCA and I think that is because you misunderstand the concept. DCA method is not for traders, it’s more suitable for long term hodlers. The purpose of this strategy is to accumulate as much bitcoins as possible without having to break the bank. You can’t go wrong with DCA, that’s why it is highly recommended for newbies. Since you believe DCA is a terrible strategy for beginners and has cost you money, I would like to know what is your strategy? How would you suggest beginners accumulate bitcoins?  

[sheenshane]

DCA can still be the worst for a newbies,  so I say newbies should stay away from DCA until they have the knowledge of the risk and approach to DCA.

I don't think so.
With basic knowledge and a little understanding of Bitcoin and its fundamentals, you can apply this DCA method which is an ideal way to manage risk in investing Bitcoin.

I may advise newbies to understand first the risk of Bitcoin before investing, it's a dumb idea to invest without knowledge.

[Pi-network314159]

All I see here is that you are confused and knows nothing about DCA I might be an expert to educate you on DCA as the best option of investment or strategy, but the fact still remain. Thesame that DCA is the best investment approach. If you are confused about the DCA approach you can visit the buy the dip and hodl thread to learn more from jayjuanGee and other knowledgeable member about what DCA really mean. Apart from goin to the thread I can tell you that DCA approach is the best approach In buying bitcoin. It gives you the previlege to accumulate as little as you can without pressure, you can decide to invest as little as 5 or $10 dollars per week for as long as 10 to 15years. Another thing I noticed about you , is that you are talking about profit making, you should bear it in mind that DCA is not trading where you make short time profit rather a long term investment bodget. And it is said that any money invested in bitcoin through DCA approach should be an Amount that you will not be needing anytime soon since it's a long term journey.

[cryptoaddictchie]

What I have noticed with my bitcoin holding is that, I have continued to lose more, each time i try to take advantage of the price to profits, in form of DCA approach.

This outcome lead me to make further research about the best way to build profits using DCA and I find out that, is a wrong thing to do as a newbies without adequate knowledge about the volatility of the bitcoin market, and also no matter how sweet the DCA approach have been for experience bitcoin investors, DCA can still be the worst for a newbies,  so I say newbies should stay away from DCA until they have the knowledge of the risk and approach to DCA.

Thats not true. If you are doing dca for like months now its impossible that you dont earn or increase your asset value since the market is up since then. 6months ago if you do dca you can see that its increasing linearly. Only if you dont consistent doing the dca or maybe you skip some of the days that is low or good entry. Dca can be worse if its downtrend but its not so I am clueless on why on esrth have you said its not effective.

[Solosanz]

Two things you need to explain:
1. What knowledge people need to have to not make mistake for using DCA strategy.
2. If DCA strategy is worst for newbies, what strategy that newbies need to use?

If you are confused about the DCA approach you can visit the buy the dip and hodl thread to learn more from jayjuanGee and other knowledgeable member about what DCA really mean.

That's not DCA, it's timing the market.

Timing the market is better than DCA, but for newbies, it's not recommended because they're scared when they see the market isn't in their side.

[Hewlet]

What I have noticed with my bitcoin holding is that, I have continued to lose more, each time i try to take advantage of the price to profits, in form of DCA approach.

This outcome lead me to make further research about the best way to build profits using DCA and I find out that, is a wrong thing to do as a newbies without adequate knowledge about the volatility of the bitcoin market, and also no matter how sweet the DCA approach have been for experience bitcoin investors, DCA can still be the worst for a newbies,  so I say newbies should stay away from DCA until they have the knowledge of the risk and approach to DCA.

it's obvious you don't know what the DCA method is and you probably don't have any Bitcoin in your portfolio at all.

There is no point in time you accumulate Bitcoin using the DCA methord where you just get into profit and regardless of your level of knowledge, you don't just lose your bought Bitcoin because you used iether the DCA methord, the lump sum method or whichever methord you choose to work with. What you're actually doing is buying and holding on to your Bitcoin and if you've been doing so, it's strange to believe that you've been in loss except you're just making statement you know little or nothing about. What's mostly related to losing your funds as bitcoinner isn't buying using the DCA methord but trading your Bitcoin. Of all the people involved in the Bitcoin ecosystem, the only people that have probably become unprofitable and that had experienced some level of loss are traders and never individual that buy Bitcoin for the purpose of HODling.

[Sebas.tian]

Yes, if you lack  the knowledge in your cryptocurrency trading you will definitely embrace losses at the end, because digital investment require knowledge to know the actual period to purchase from the market and wait for another season where long term traders and short term traders use to trade to make income. Once you approach the knowledge and you know how to use the DCA  in the market rightly, I think you have nothing to worry at the moment, because you will definitely achieve income from your investment because that is the best strategy many investors are using to increase their incomes which newbies can use it also to increase their income . We always see some challenges from newbies in this forum, because they don't want to learn from those that know more than them to improve but they will ignore such experts in the community.

[Catenaccio]

Well that's just plain out wrong lmao. DCA is exactly the strategy for those without much market knowledge because most people are better off just slowly buying instead of trying to time markets. What do you recommend, buying dips? lmao — one of the recipes for disaster.

DCA is for newbies, for people who don't have time to trade but it's helpful for everyone who want to simplify their actions in the market with a common ultimate goal is getting profit.

DCA will cause losing more money, it's not correct warning from OP.

You hold an unpopular opinion about DCA and I think that is because you misunderstand the concept.

It is not unpopular only, but it is not right understanding and interpretation about DCA.

There is no point in time you accumulate Bitcoin using the DCA methord where you just get into profit and regardless of your level of knowledge, you don't just lose your bought Bitcoin

Any investment needs time to get profit and DCA as one of investment method needs time to show its effects on your portfolio.

[moneystery]

dca is the simplest method that can be done by beginners who are investing in bitcoin for the first time. they can buy bitcoin in small amounts but periodically until their goals are achieved. usually people who do dca plan to save their bitcoin until the price is very high and then they sell it. so this is a very simple but quite effective method for people who want to invest in bitcoin but have limited money.

and discussing the losses that holders can experience due to dca, it is possible that they carry out dca in a short period of time. perhaps they were too worried that the price of bitcoin would fall and sold it at a price below the average price they bought it at. if that's the case, it's not the fault of the method but the fault of the individual who sold their bitcoins below the price they were supposed to.

[Wapfika]

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I am a little lost.
Isn't DCA a strategy to conveniently build up your Bitcoin assets at specific times that you have set for yourself? And that it doesn't matter whether the we are in a bull or bear market when you do it ?  In my estimation it isn't about building profits like you have written but about setting a personal Bitcoin holding target and reaching it. People have DCA-ed they way into the 1 Bitcoin club.

The only scenario which I think that DCA will result the same description as OP when he keep buying on fixed time frame while the price of Bitcoin is at peak since the price is too volatile that cause too frequent up and down.

Maybe he keeps buying at 70+K every week while the price go dip after he made the purchase for the week. He will not experience the benefits of his current DCA unless the price already breakout the current ATH to new ATH.

Patience is the key on DCA which the OP probably forgot or didn’t know.

[avp2306]

What I have noticed with my bitcoin holding is that, I have continued to lose more, each time i try to take advantage of the price to profits, in form of DCA approach.

This outcome lead me to make further research about the best way to build profits using DCA and I find out that, is a wrong thing to do as a newbies without adequate knowledge about the volatility of the bitcoin market, and also no matter how sweet the DCA approach have been for experience bitcoin investors, DCA can still be the worst for a newbies,  so I say newbies should stay away from DCA until they have the knowledge of the risk and approach to DCA.

Thank you for reading.

If you are always looking for the its value everyday for sure you might get afraid especially if the market is dumping since you would able to see a price decrease of your holdings. But if you don't care about the current value and your main target is to accumulate since you are not aiming to trade your accumulated bitcoin in short time span for sure that you will never get affected any bearish condition that might occur and you will finds this that another opportunity to increase the volume of your bitcoin holdings.

That's why you really need to do a lot more research and hopefully you follow the correct guides on how to do exactly the DCA method so you will not expect anything beyond and can stick with you accumulation plans. My suggestion is just ignore the volatility of the market and focus on your hodl goals.

[aoluain]

I think too that the OP is a little lost in terms of DCA.

DCA stands for "Dollar Cost Average" - in order to create an average it takes time which
should also negate the "loss" factor the OP is talking about because in the long term
Bitcoin is on an upward trajectory.

.

I am a little lost.
Isn't DCA a strategy to conveniently build up your Bitcoin assets at specific times that you have set for yourself? And that it doesn't matter whether the we are in a bull or bear market when you do it ?  In my estimation it isn't about building profits like you have written but about setting a personal Bitcoin holding target and reaching it. People have DCA-ed they way into the 1 Bitcoin club.

The only scenario which I think that DCA will result the same description as OP when he keep buying on fixed time frame while the price of Bitcoin is at peak since the price is too volatile that cause too frequent up and down.

Maybe he keeps buying at 70+K every week while the price go dip after he made the purchase for the week. He will not experience the benefits of his current DCA unless the price already breakout the current ATH to new ATH.

Patience is the key on DCA which the OP probably forgot or didn’t know.

The fact that the OP is a newbie he probably doesnt get that even buying at "highs" can
result in profits - over time.

Its difficult for a lot of us to time the market and buy at the very bottom of a market
movement and a lot of us are buying at prices upwards of $65K but again HODL'ing
is the key and goes hand in hand with DCA.

[Crypt0Gore]

What I have noticed with my bitcoin holding is that, I have continued to lose more, each time i try to take advantage of the price to profits, in form of DCA approach.

This outcome lead me to make further research about the best way to build profits using DCA and I find out that, is a wrong thing to do as a newbies without adequate knowledge about the volatility of the bitcoin market, and also no matter how sweet the DCA approach have been for experience bitcoin investors, DCA can still be the worst for a newbies,  so I say newbies should stay away from DCA until they have the knowledge of the risk and approach to DCA.

Thank you for reading.

What you are looking for is a good entry point, unfortunate for you, this isn't a good time to expect such a thing.

The best entry point for Bitcoin was in 2022 and 2023, in these years Bitcoin bottomed at 15k and 17k, if you have bought Bitcoin then you would have been in good profits already.

You shouldn't worry yourself, DCA right now is not bad, make sure you keep on doing this and stop looking at your wallet everyday, because a time is coming where one BTC will be sold for 150k, buying right now isn't that bad.