Does the DCA strategy inspire newbies to invest?

[Derekfunds]

If one has understanding of DCA then he can defiantly tweak it to get profit even in short duration.

A brand new investor shouldn't put making profits first when he starts his bitcoin investment so that he does not get carried away with little profits and lose focus on his long-term bitcoin investment goal.

 You should invest in bitcoin for your future and not in a short term even if you see profit in your portfolio because the longer you hodli your bitcoin portfolio and DCA overtime, the higher your profits in future. Don't because of little profits and turn into a trader overtime. This is why when you're DCAing, you should have a bitcoin target and do it consistently and persistently till you have reached your bitcoin target.

If an investor prioritizes income, then he can sell his Bitcoin only when the price of Bitcoin is slightly higher. This will not allow him to succeed, it will create the biggest obstacle to success, but a person must plan for the future as expected and continue his investment in a long-term manner.
But I say to a person, you will continue to invest in your Bitcoin until you accumulate one Bitcoin. This will make the plan successful and possible to keep for a long time, so create this mindset and follow the DC and method regularly until you accumulate 1 Bitcoin.

Although it seems a bit difficult to me to accumulate 1 Bitcoin, we should always hold on to our investments for as long as we can and grow our portfolio as much as we can within our financial means. It is not that we have to own 1 Bitcoin to be successful in Bitcoin, because it is a huge amount of money, you keep accumulating, take a challenge of ten years, and continue to invest a certain amount of money continuously for the next ten years, and never decide to sell in between, even if you do not accumulate 1 Bitcoin, even if you accumulate 0.5 Bitcoin, it can still create a very good financial foundation for you in the future, because if Bitcoin reaches $500K in the next 10 years, you will own $250K, which is a huge amount of money, This is just an example, it could be more, it could be less, but we should definitely maintain long-term investment.

Our target and goal should be something we can actually get or achieve and not something that will drain us or make us depress and frustrated. The reason some people don't make it or the reason some people don't become successful in their Investment is because they always set a target that will so stretch them and they will end up not reaching it but it is better to set something reasonable and achieve it than something so big or huge and end halfway in quest of trying to get it. 1 Bitcoin is a long mile so it's good to know your capacity and don't competite with people.

[MusaPk]

A brand new investor shouldn't put making profits first when he starts his bitcoin investment so that he does not get carried away with little profits and lose focus on his long-term bitcoin investment goal.

You should invest in bitcoin for your future and not in a short term even if you see profit in your portfolio because the longer you hodli your bitcoin portfolio and DCA overtime, the higher your profits in future. Don't because of little profits and turn into a trader overtime. This is why when you're DCAing, you should have a bitcoin target and do it consistently and persistently till you have reached your bitcoin target.

We have to control our emotions not only in situations when price goes down and our portfolio is in negative but also in situations when price goes up and we see some profit on our portfolio. Its possible that I buy bitcoin at present price of 64000$ and within a week or month price go up to 70,000$, many get excited in such scenarios and start selling there Bitcoins for very small profit. They are actually doing there loss by missing out bigger piece of the cake. Invest in bitcoin and hold for longer duration to get financial independence. 

[Powerjumboo]

For new investors, it is safe to start with small amounts and gradually move forward with the DCA method, but you need to be careful whether there is any left after deducting the necessary expenses. If you do not manage your cash flow, even small amounts of money can be lost. It is better to make small transactions at first until you gain sufficient knowledge about the exchange, wallet and Bitcoin system. If someone wants to buy, say $10 per week, then he first needs to know how much money he has on hand after his expenses. It is not necessary to know everything before starting to invest, but it is wise to have a basic idea.

Of course it is important to have basic idea before starting investment because without basic idea one can never invest properly. There are many people who are interested in investing but they don't know the right rules of investing due to which they can't invest properly and keep it for a long time. But I would like to say that one should invest the amount of money that can afford to lose money and should not invest any money especially for urgent needs. There are many people who invest money in bitcoins for urgent needs and when the need comes, they don't end their needs until they sell these bitcoins. That's why I say every investor should not invest emergency money in Bitcoin.

[kawetsriyanto]

You are making matters more confusing kawetsriyanto - since it is what is it that you mean by short term holding and/or short term investing?

Maybe it is my own term, but I think short term holding and short term investment are quite the same. Why must be confusing?

If you are shorter than 4 years then you are likely trading rather than investing... Perhaps a short term investor would be 4-10 years, and not able to invest for more than 10 years based on age and/or health issues?

Is "4 years" the benchmark for the short term or the long term? I myself assume, holding for 3-4 years can be said a long term investment or a long term holding. Well, I think there is no certain benchmark regarding this matter. So, we actually only assume based on our own perception.

Do you want to argue that planning to hold bitcoin for less than 4 years is not planing to trade?

Even you hold for more than 4 years, you probably also plan for trade, right? Each holder may plan for trading their asset for any time. Whether it is for a short or a long term, it can depend on some considerations.

Is Bitcoin investment a long or short-term plan, if long then why settle for short-term? It's just like being fully aware that a particular money get more valuable on the long run when you save it but then you decide to waste it or spend it lavishly to satisfy your desire. According to what I've learnt about Bitcoin, it would only be more valuable when it held longer and nothing less than 4 years.

Investment is for a long term goal. Trading is for a short term goal. However, I never know that 4 years is the benchmark of short or long term goal.

hope you that there's a difference between investing and trading? I believe yoi should.

I know it, I've been in crypto for many years, even before I joined this forum.


By the way, I think this discussion will be endless due to it is actually according to our own perception. I have no intention "against" other people's opinion. I'm just trying to deliver my own opinion. Thanks guys!

[AuchanX]

If one has understanding of DCA then he can defiantly tweak it to get profit even in short duration.

A brand new investor shouldn't put making profits first when he starts his bitcoin investment so that he does not get carried away with little profits and lose focus on his long-term bitcoin investment goal.

 You should invest in bitcoin for your future and not in a short term even if you see profit in your portfolio because the longer you hodli your bitcoin portfolio and DCA overtime, the higher your profits in future. Don't because of little profits and turn into a trader overtime. This is why when you're DCAing, you should have a bitcoin target and do it consistently and persistently till you have reached your bitcoin target.

If an investor prioritizes income, then he can sell his Bitcoin only when the price of Bitcoin is slightly higher. This will not allow him to succeed, it will create the biggest obstacle to success, but a person must plan for the future as expected and continue his investment in a long-term manner.
But I say to a person, you will continue to invest in your Bitcoin until you accumulate one Bitcoin. This will make the plan successful and possible to keep for a long time, so create this mindset and follow the DC and method regularly until you accumulate 1 Bitcoin.

Although it seems a bit difficult to me to accumulate 1 Bitcoin, we should always hold on to our investments for as long as we can and grow our portfolio as much as we can within our financial means. It is not that we have to own 1 Bitcoin to be successful in Bitcoin, because it is a huge amount of money, you keep accumulating, take a challenge of ten years, and continue to invest a certain amount of money continuously for the next ten years, and never decide to sell in between, even if you do not accumulate 1 Bitcoin, even if you accumulate 0.5 Bitcoin, it can still create a very good financial foundation for you in the future, because if Bitcoin reaches $500K in the next 10 years, you will own $250K, which is a huge amount of money, This is just an example, it could be more, it could be less, but we should definitely maintain long-term investment.

Our target and goal should be something we can actually get or achieve and not something that will drain us or make us depress and frustrated. The reason some people don't make it or the reason some people don't become successful in their Investment is because they always set a target that will so stretch them and they will end up not reaching it but it is better to set something reasonable and achieve it than something so big or huge and end halfway in quest of trying to get it. 1 Bitcoin is a long mile so it's good to know your capacity and don't competite with people.

In fact, setting goals in itself is not a problem for us. Rather, if we do not have goals, our investments become unplanned. But our plan should be measurable, time-based and consistent with our own financial reality. Many start by saying they want 1 BTC. But I think the question should be what timeframe, in what method and what percentage of income should be at risk? Because even though Bitcoin is a strong asset in the long term, drawdowns of up to 50/60% in the middle are not uncommon. So we should set goals that do not break us mentally even in a major market decline and do not have to sell compulsively.

1 BTC is undoubtedly a symbolic milestone. But the value of assets should not be seen only in numbers. Rather, it should be in the continuity of our achievements. Even being able to hold 0.05 or 0.1 BTC regularly and safely can be a big success for many. The reality is that most investors fail by increasing their risk in the pursuit of excess returns.

 And competition does not yield good results in investment. It is more logical for us to set goals by understanding our cash flow, liabilities, and timeframe.

[Joeboy]

In fact, setting goals in itself is not a problem for us. Rather, if we do not have goals, our investments become unplanned. But our plan should be measurable, time-based and consistent with our own financial reality. Many start by saying they want 1 BTC. But I think the question should be what timeframe, in what method and what percentage of income should be at risk? Because even though Bitcoin is a strong asset in the long term, drawdowns of up to 50/60% in the middle are not uncommon. So we should set goals that do not break us mentally even in a major market decline and do not have to sell compulsively.

1 BTC is undoubtedly a symbolic milestone. But the value of assets should not be seen only in numbers. Rather, it should be in the continuity of our achievements. Even being able to hold 0.05 or 0.1 BTC regularly and safely can be a big success for many. The reality is that most investors fail by increasing their risk in the pursuit of excess returns.

 And competition does not yield good results in investment. It is more logical for us to set goals by understanding our cash flow, liabilities, and timeframe.

I really don't like suggesting that folks set out with the idea of having a goal.. Here is what I think, things could happen such as income increase/decrease, increased/ decreased level of conviction and whatnot and this could entirely change the goal that anyone set out with... Some folks may have started out with a goal, but today they are accumulating with an entirely different goal because of the unexpected changes they experienced in life...

That's why I think that folks should just get their accumulation started with their discretionary income instead of delaying because they are creating a goal/plan, and in the course of investing they could try and figure out their investing capacity, and from there start having a target . Also goals/plans dosen't have to be fixed it could made flexible in such a way that it becomes easy to change if need be...

[Saltysugar99]

We have to control our emotions not only in situations when price goes down and our portfolio is in negative but also in situations when price goes up and we see some profit on our portfolio. Its possible that I buy bitcoin at present price of 64000$ and within a week or month price go up to 70,000$, many get excited in such scenarios and start selling there Bitcoins for very small profit. They are actually doing there loss by missing out bigger piece of the cake. Invest in bitcoin and hold for longer duration to get financial independence. 

Selling at small profits is not always done out of emotion. Many people sell at small profits due to weak cash flow. The example you gave from $64k to $70k is actually a very small move. The difference in price is seen over a period of 4–10 years+. The more time you give, the more price movement you will see, although this is not guaranteed. There may be many $64k to $70k types during this period. If you think of these as signals and trade them repeatedly, most of the time the results will not be good. You will be sitting with less bitcoins. The price will go up. You will buy again at a higher price .Then you will get nervous at a small drop and thus you will fall into a buy high, sell low cycle .That is why the work in the Accumulation stage is to increase coins. Not increase dollars.

[liasbaa]

A brand new investor shouldn't put making profits first when he starts his bitcoin investment so that he does not get carried away with little profits and lose focus on his long-term bitcoin investment goal.

You should invest in bitcoin for your future and not in a short term even if you see profit in your portfolio because the longer you hodli your bitcoin portfolio and DCA overtime, the higher your profits in future. Don't because of little profits and turn into a trader overtime. This is why when you're DCAing, you should have a bitcoin target and do it consistently and persistently till you have reached your bitcoin target.

We have to control our emotions not only in situations when price goes down and our portfolio is in negative but also in situations when price goes up and we see some profit on our portfolio. Its possible that I buy bitcoin at present price of 64000$ and within a week or month price go up to 70,000$, many get excited in such scenarios and start selling there Bitcoins for very small profit. They are actually doing there loss by missing out bigger piece of the cake. Invest in bitcoin and hold for longer duration to get financial independence. 

You need to be patient and continue to accumulate at every price point in Bitcoin. Investors who understand that bearish periods are a time for aggressive buying tend to keep cash available along with regular DCA because the opportunity to take on investment risk doesn't come around often. The times when your portfolio is in negative territory are more challenging for investors, but the times when your portfolio is in the green are also more important because you need to be patient and achieve financial freedom.

[Ngozi26]

You want to trade rather than invest?

I have a hard time seeing how you can build up your bitcoin holdings in less than 4 years.. what would be your plan?

You want to buy bitcoin for a couple of years, and then sell the bitcoin if it goes up 2x or more? and then buy back?

That would be a fantasy, and it is not likely to work out when you try to structure in that kinds of a way...

Historically the longer term buyers in bitcoin have done better than the traders, and sure a lot of stories about traders make it seem like the best and/or easiest way to make money, but the actual facts on the ground don't bear out trading to be better than investing for 95% or more of the people.  Are you banking on that you, as a trader-wannabe, will end up being the lucky one who happens to gamble with his bitcoin correctly?

None of us can for sure say that you would be wrong or end up losing more than you gain, even though we could proclaim that the odds are quite greatly stacked against you... which is also part of the problem that the traders fall into thinking that they will be the lucky (or more skillful) one who is able to overcome the odds.

I give more importance to holding than trading. If we buy Bitcoin with the intention of holding it for at least one cycle, then that is a good plan for us. And for those who want to hold it for two cycles or three cycles, it may also be the best for them. There may be someone who bought Bitcoin in 2022 and sold it in 2025 with a profit of three to four times and is now buying Bitcoin in the DCA method and preparing for 2029. I am not saying that the price of Bitcoin will increase only in 2029, we can see the price of Bitcoin much higher before that. I am saying that I have no doubt that the price of Bitcoin will increase and if we have a long-term plan, which may be five years or 10 years or 15 years, and buy Bitcoin regularly and hold it, it may be the best method. If we invest $20 in Bitcoin weekly, then in a year 20×52= 1040×5= 5200, 1040×10= 10400 1040×15= 15600 dollars.  If the price of Bitcoin increases as it has in the last 15 years, then just think how many dollars we will have, we will definitely be rich. Well, if the price does not increase like that, if it increases 10 times in the next 15 years, then the value of the Bitcoin I have with me will be 15600×10=156000 dollars, which will help me to live well in my old age.

[JayJuanGee]

A brand new investor shouldn't put making profits first when he starts his bitcoin investment so that he does not get carried away with little profits and lose focus on his long-term bitcoin investment goal.

You should invest in bitcoin for your future and not in a short term even if you see profit in your portfolio because the longer you hodli your bitcoin portfolio and DCA overtime, the higher your profits in future. Don't because of little profits and turn into a trader overtime. This is why when you're DCAing, you should have a bitcoin target and do it consistently and persistently till you have reached your bitcoin target.

We have to control our emotions not only in situations when price goes down and our portfolio is in negative but also in situations when price goes up and we see some profit on our portfolio. Its possible that I buy bitcoin at present price of 64000$ and within a week or month price go up to 70,000$, many get excited in such scenarios and start selling there Bitcoins for very small profit. They are actually doing there loss by missing out bigger piece of the cake. Invest in bitcoin and hold for longer duration to get financial independence. 

Yep. That is called trading.. not investing based on DCA practices.

There are likely needs to learn the difference for any guys who might aspire to invest (and get the benefits of investing) rather than staying stuck in a trading mindset and with trading practices.

You are making matters more confusing kawetsriyanto - since it is what is it that you mean by short term holding and/or short term investing?

Maybe it is my own term, but I think short term holding and short term investment are quite the same. Why must be confusing?

If you are shorter than 4 years then you are likely trading rather than investing... Perhaps a short term investor would be 4-10 years, and not able to invest for more than 10 years based on age and/or health issues?

Is "4 years" the benchmark for the short term or the long term? I myself assume, holding for 3-4 years can be said a long term investment or a long term holding. Well, I think there is no certain benchmark regarding this matter. So, we actually only assume based on our own perception.

Do you want to argue that planning to hold bitcoin for less than 4 years is not planing to trade?

Even you hold for more than 4 years, you probably also plan for trade, right? Each holder may plan for trading their asset for any time. Whether it is for a short or a long term, it can depend on some considerations.

Is Bitcoin investment a long or short-term plan, if long then why settle for short-term? It's just like being fully aware that a particular money get more valuable on the long run when you save it but then you decide to waste it or spend it lavishly to satisfy your desire. According to what I've learnt about Bitcoin, it would only be more valuable when it held longer and nothing less than 4 years.

Investment is for a long term goal. Trading is for a short term goal. However, I never know that 4 years is the benchmark of short or long term goal.

hope you that there's a difference between investing and trading? I believe yoi should.

I know it, I've been in crypto for many years, even before I joined this forum.
By the way, I think this discussion will be endless due to it is actually according to our own perception. I have no intention "against" other people's opinion. I'm just trying to deliver my own opinion. Thanks guys!

You want to proclaim that your own ideas are equally valid when they are not.

There are ways to invest in bitcoin, and to build up a position that might take 4-10 years or longer to build up the position.  A person might invest 10% of their income per year into bitcoin, which means that it would take 10 years for them to put 1 year of their income into bitcoin, which might not be enough for them to be at fuck you status.. which might be a place that they could stop working and live off of their bitcoin.

Anything less than 4 years is trading not investing.

Furthermore, unless you have age or health considerations, then you should be investing 10 years or more... otherwise you are likely trading. .since you are getting in and out of bitcoin.. perhaps to buy back cheaper or to be able to allocate into some other asset or to consume from your "profits."

Sustainable withdrawal allows to invest into bitcoin for all of your life and then to keep yourself in overaccumulation status as you are withdrawing from your holdings through price-based sustainable withdrawal and/or time based sustainable withdrawal. 

I have a thread on sustainable withdrawal that you might not be able to understand since you seem to be trapped in a trading way of thinking about bitcoin.. which is likely going to put you in an inferior position.

There are not too many traders that could have had beaten an investment strategy, especially if we are measuring 8 years or longer. yet sure, you can do whatever you like, including likely inferior strategies.

And, yeah so this particular thread is about investing and not trading, yet you want to chime in like you know what is investing, which you don't seem to understand even though you want to proclaim that you are equally smart in your thinking, even when you don't seems to get the concept of investing.. Perhaps you are a troll, since you really can't be that stubborn in being able to understand the idea of investing and how it differs from trading..

You want to trade rather than invest?
I have a hard time seeing how you can build up your bitcoin holdings in less than 4 years.. what would be your plan?
You want to buy bitcoin for a couple of years, and then sell the bitcoin if it goes up 2x or more? and then buy back?

That would be a fantasy, and it is not likely to work out when you try to structure in that kinds of a way...
Historically the longer term buyers in bitcoin have done better than the traders, and sure a lot of stories about traders make it seem like the best and/or easiest way to make money, but the actual facts on the ground don't bear out trading to be better than investing for 95% or more of the people.  Are you banking on that you, as a trader-wannabe, will end up being the lucky one who happens to gamble with his bitcoin correctly?

None of us can for sure say that you would be wrong or end up losing more than you gain, even though we could proclaim that the odds are quite greatly stacked against you... which is also part of the problem that the traders fall into thinking that they will be the lucky (or more skillful) one who is able to overcome the odds.

I give more importance to holding than trading. If we buy Bitcoin with the intention of holding it for at least one cycle, then that is a good plan for us. And for those who want to hold it for two cycles or three cycles, it may also be the best for them. There may be someone who bought Bitcoin in 2022 and sold it in 2025 with a profit of three to four times and is now buying Bitcoin in the DCA method and preparing for 2029. I am not saying that the price of Bitcoin will increase only in 2029, we can see the price of Bitcoin much higher before that. I am saying that I have no doubt that the price of Bitcoin will increase and if we have a long-term plan, which may be five years or 10 years or 15 years, and buy Bitcoin regularly and hold it, it may be the best method. If we invest $20 in Bitcoin weekly, then in a year 20×52= 1040×5= 5200, 1040×10= 10400 1040×15= 15600 dollars.  If the price of Bitcoin increases as it has in the last 15 years, then just think how many dollars we will have, we will definitely be rich. Well, if the price does not increase like that, if it increases 10 times in the next 15 years, then the value of the Bitcoin I have with me will be 15600×10=156000 dollars, which will help me to live well in my old age.

In order to start fantasizing about all the money that you are supposedly going to be making, you need to establish bitcoin position first, and those guys who are fucking around with selling and supposedly buying back cheaper, they are taking chances, and some of those guys are waiting for further dips before they buy.. which is problematic in regards to making sure that your bitcoin holdings are ongoingly growing to a sufficient size that you are going to have enough to reap the benefits later down the road.