Balancing Financial security and Bitcoin Accumulation

[Frankolala]

What amount do you classify as much capital. To start your investment you dont need an actual amount to start it, all you need is a stable job, an income, and a discretionary income from your actual income. With time you can have more passive income to increase the percentage of your discretionary income you do invest with, that is if you are using the dca strategy. However, most rich people prefer to lump sum, since they do not want to hesitate in having a good amount in their portfolio

You don't need a stable job to invest. You need a source of discretionary income to invest. There are many people whose source of income is not stable. You need to find discretionary income from your source of income.

Bruh, do you even understand what you said, Loyang? Because honestly it does not really add up. You are saying someone does not need a stable job to invest, but still needs discretionary income.. Now let’s be real, question for you: if a person does not have a job or at least something consistent bringing in money, how exactly are they supposed to have discretionary income?? You can not spend what you do not earn, so it sounds a bit contradictory…

I don't think that it's contradictory because there are some people who have a stabke job but hardly get extra cash after taking care of their monthly expenses and basic needs. In the beginning of your bitcoin investment, you must not make it compulsory to be consistent when you don't have a consistent discretionary income. You can buy once in a while whenever your discretionary income is available. Do you know that some people don't have a job but they have a discretionary income because they have people cartering for their needs and expenses.

 If such person is given money as a gift, he can use it to invest into bitcoin or if he hits a jackpot, he can invest with the money. If you want to wait till you have a good stable paying job before you start your bitcoin investment, it means that you will remain a no coiner for a long, instead of getting started with the little discretionary income available.

[Grace333]

If we end up spending our income prior to accounting for expenses, then when we have expenses that are due, we either have to spend from our back up funds or we have to spend from our bitcoin, and so we are trying to prevent situations in which we will have to spend from our bitcoin at a time that is not completely of our own choosing, and so we sometimes could make mistakes which provides greater justification to have various back up funds.

This happened before, I sold my some bitcoin when I was in trouble. Although I thought there was no bigger problem than our trouble then. I sold my some bitcoin, spent my bad time in daily life, and got rid of the danger. However, I agree with you that we must have a backup fund in addition to investing in bitcoin. Although Bitcoin investment also works as a backup fund for us, if we have another fund, we will not have to sell bitcoin anymore and will be able to continue investing for a long time.

Your bitcoin investment should never serve as a source of backup fund for you, it is a bad practice to see it as such. You should build out your backup funds to protect your investment from being tampered instead of seeing your investment which should be held for a long term for future profits as a backup fund.

Yeah, using Bitcoin as some kind of backup fund is honestly the quickest way to mess up your own plan and stack.. Life will always throw unexpected bills at you, and if you do not have cash saved somewhere else, you will end up selling your Bitcoin at the worst possible time. That is literally how people ruin years of stacking in just one panic sell.

The smarter move is just to keep a separate emergency fund or whatever you are comfortable with, so your Bitcoin stays untouched. That way, no matter what happens, your stack keeps growing for the long term, and you would not be tempted to dip into it. Bitcoin is a long game…

[Agbamoni]

~snip
The DCA is talked about mostly so newbies won't be mislead into starting their accumulation journey with buying during the dip and Lump sum moreover when you're doing the DCA you'll still get opportunity to buy the dip since you'll encounter several dips while on it along the way, well it's not a bad idea like you said to explain other strategies as well so newbies would understand what they're all about and which to prioritise more on. One good thing about the DCA is that it's for everyone not only specifically for a particular class of investors and remember that not all newbies are rich enough to do the lump sum some were even waiting till they had more money that's why they didn't start earlier.

Are you focused on your investment or you're focused on individuals who may invest or not invest in Bitcoin. Let me tell you something, there is no way you will preach Bitcoin or fuel a discussion about dca and the importance that an individual who is not interested and willing to invest will but bitcoin. You will only be wasting the precious time, you would have set aside to earn extra income so that you will have enough discretionary income to invest with. After all the last time I checked, every strategy is accessible to both newbies and present investors. It's left for them to consider the odds and make their choice.

[Proty]

~snip
The DCA is talked about mostly so newbies won't be mislead into starting their accumulation journey with buying during the dip and Lump sum moreover when you're doing the DCA you'll still get opportunity to buy the dip since you'll encounter several dips while on it along the way, well it's not a bad idea like you said to explain other strategies as well so newbies would understand what they're all about and which to prioritise more on. One good thing about the DCA is that it's for everyone not only specifically for a particular class of investors and remember that not all newbies are rich enough to do the lump sum some were even waiting till they had more money that's why they didn't start earlier.

Are you focused on your investment or you're focused on individuals who may invest or not invest in Bitcoin. Let me tell you something, there is no way you will preach Bitcoin or fuel a discussion about dca and the importance that an individual who is not interested and willing to invest will but bitcoin. You will only be wasting the precious time, you would have set aside to earn extra income so that you will have enough discretionary income to invest with. After all the last time I checked, every strategy is accessible to both newbies and present investors. It's left for them to consider the odds and make their choice.

Exactly, nobody is limited to anyone of the strategies. An investor who is using DCA strategy to accumulate bitcoin can equally combine other strategies, like the investor can buy the dip whenever it occurs while still accumulating bitcoin using DCA strategy. The investor can also do lump sum at the same time while still doing DCA. Therefore it is just a matter of Which of the strategies that is suitable for us . Finally waiting is not among the strategy for accumulating.

[Makus]

I think Abaeze is misunderstanding the entire strategy of investment. I was expecting you to explain the various Bitcoin strategy because many folks believe DCA is the only successful and effective strategy. It seems they do not know why many practice that strategy. There is buying on dips, lump sum, dca and so many others. But its preferable to use DCA as a pleb so you can manage your investment and other part of you life without getting hooked. On the other hand, people who are rich use lump sum to buy. Which I will prefer if I have that kind of money. 

The DCA is talked about mostly so newbies won't be mislead into starting their accumulation journey with buying during the dip and Lump sum moreover when you're doing the DCA you'll still get opportunity to buy the dip since you'll encounter several dips while on it along the way, well it's not a bad idea like you said to explain other strategies as well so newbies would understand what they're all about and which to prioritise more on. One good thing about the DCA is that it's for everyone not only specifically for a particular class of investors and remember that not all newbies are rich enough to do the lump sum some were even waiting till they had more money that's why they didn't start earlier.

That's right, though anyone  can choose  the type of strategy they love or better still the one that makes them feel comfortable doing. There are disciplined buy the dip accumulators who continually buys the dip once in a month or as it suits  them. But one of the reason I prefer DCA over buy the dip is, the fact that with DCA you can actually  buy at any price range and sometimes the price most people consider too high to buy  bitcoin could in turn become one of the dip prices in the next few month. Since we can't always  tell we're the proce is headed especially  on small time frames, then we just have to buy not considering price.

[Miramax12]

What amount do you classify as much capital. To start your investment you dont need an actual amount to start it, all you need is a stable job, an income, and a discretionary income from your actual income. With time you can have more passive income to increase the percentage of your discretionary income you do invest with, that is if you are using the dca strategy. However, most rich people prefer to lump sum, since they do not want to hesitate in having a good amount in their portfolio

You don't need a stable job to invest. You need a source of discretionary income to invest. There are many people whose source of income is not stable. You need to find discretionary income from your source of income.

Bruh, do you even understand what you said, Loyang? Because honestly it does not really add up. You are saying someone does not need a stable job to invest, but still needs discretionary income.. Now let’s be real, question for you: if a person does not have a job or at least something consistent bringing in money, how exactly are they supposed to have discretionary income?? You can not spend what you do not earn, so it sounds a bit contradictory…

I don't think that it's contradictory because there are some people who have a stabke job but hardly get extra cash after taking care of their monthly expenses and basic needs. In the beginning of your bitcoin investment, you must not make it compulsory to be consistent when you don't have a consistent discretionary income. You can buy once in a while whenever your discretionary income is available. Do you know that some people don't have a job but they have a discretionary income because they have people cartering for their needs and expenses.

 If such person is given money as a gift, he can use it to invest into bitcoin or if he hits a jackpot, he can invest with the money. If you want to wait till you have a good stable paying job before you start your bitcoin investment, it means that you will remain a no coiner for a long, instead of getting started with the little discretionary income available.

It is true that consistency in investing doesn’t always mean a fixed schedule or amount, especially when discretionary income isn’t guaranteed. Starting small and taking advantage of any extra cash, whether from gifts or unexpected wins, makes a lot of sense. Waiting for the perfect stable job might just keep people from ever starting at all. Progress often comes from making the most of what you have in the moment. Consistency in investing is more about regular commitment and making progress rather than rigid rules. Life’s financial flow can be unpredictable, so adapting by investing what you can whether it’s a little or a lot keeps the momentum going.

[Silikiem]

I think Abaeze is misunderstanding the entire strategy of investment. I was expecting you to explain the various Bitcoin strategy because many folks believe DCA is the only successful and effective strategy. It seems they do not know why many practice that strategy. There is buying on dips, lump sum, dca and so many others. But its preferable to use DCA as a pleb so you can manage your investment and other part of you life without getting hooked. On the other hand, people who are rich use lump sum to buy. Which I will prefer if I have that kind of money. 

The DCA is talked about mostly so newbies won't be mislead into starting their accumulation journey with buying during the dip and Lump sum moreover when you're doing the DCA you'll still get opportunity to buy the dip since you'll encounter several dips while on it along the way, well it's not a bad idea like you said to explain other strategies as well so newbies would understand what they're all about and which to prioritise more on. One good thing about the DCA is that it's for everyone not only specifically for a particular class of investors and remember that not all newbies are rich enough to do the lump sum some were even waiting till they had more money that's why they didn't start earlier.

That's right, though anyone  can choose  the type of strategy they love or better still the one that makes them feel comfortable doing. There are disciplined buy the dip accumulators who continually buys the dip once in a month or as it suits  them. But one of the reason I prefer DCA over buy the dip is, the fact that with DCA you can actually  buy at any price range and sometimes the price most people consider too high to buy  bitcoin could in turn become one of the dip prices in the next few month. Since we can't always  tell we're the proce is headed especially  on small time frames, then we just have to buy not considering price.

What is important is that you’re able to buy and invest in bitcoin and hodl for the long term goal without panicking to sell whenever you notice a little downturn in the market. Bitcoin investment is a long term investment and for you to be able to attain some level of success you must approach it with a long term vision of consistently accumulation of bitcoin and hodl and that’s why some people prefers using the DCA strategy in accumulating bitcoin so it’s easier for them to accumulate and hodl whenever they are able to figure out a discretionary income.

[JayJuanGee]

What did you mean by Investing the total investment amount at once? Anyone amount or money that is within your discretionary, even if you invest it at once there's nothing wrong the only time something will be wrong is if you used all your discretionary and went to touch money that is meant for other things, it means you are really joking with your investment especially when you don't have something that can cover up what you collected immediately. You can invest as you like, as long as it is within your discretionary but as a no coiner or low coiner you should have limitations.

I think Abaeze is misunderstanding the entire strategy of investment. I was expecting you to explain the various Bitcoin strategy because many folks believe DCA is the only successful and effective strategy. It seems they do not know why many practice that strategy. There is buying on dips, lump sum, dca and so many others. But its preferable to use DCA as a pleb so you can manage your investment and other part of you life without getting hooked. On the other hand, people who are rich use lump sum to buy. Which I will prefer if I have that kind of money. 

There are only the three techniques for accumulating bitcoin through buying.  Those three and/or combining hybrids of the three, which are DCA, lump sum (or right away) and/or buying on dip..

If you think that selling to buy is a strategy then that is trading.. and gambling, and it is not an accumulating through buying strategy.

Sure folks will trade and/or involve themselves in shitcoin in order to attempt to buy more bitcoin. Again, that is not a strict buying strategy.

I suppose some other strategies could be to use leverage or to buy whimpily or to buy aggressively, but using leverage or other financial tools are not necessarily strict buying strategies since they involve some additional risks by using those tools, and whether someone buys in a whimpy or an aggressive manner, or if he might front load his investment buy trying to buy a lot in the beginning and maybe slow down at later times, that is just a form of attempting to be more aggressive but does not really change the underly fundamentals of the three modes of buying BTC.

Another thing that complements how a person buys relates to cashflow management, so there can be various ways to manage cash that are strong and systematic in terms of building and maintaining various back up funds.. to help to iron out ups and downs in income and/or expenses, but also could cover up calculation mistakes or even level of aggressiveness mistakes and/or getting emotional about how much is being invested or even about BTC price moves.

[Tungbulu]

What did you mean by Investing the total investment amount at once? Anyone amount or money that is within your discretionary, even if you invest it at once there's nothing wrong the only time something will be wrong is if you used all your discretionary and went to touch money that is meant for other things, it means you are really joking with your investment especially when you don't have something that can cover up what you collected immediately. You can invest as you like, as long as it is within your discretionary but as a no coiner or low coiner you should have limitations.

I think Abaeze is misunderstanding the entire strategy of investment. I was expecting you to explain the various Bitcoin strategy because many folks believe DCA is the only successful and effective strategy. It seems they do not know why many practice that strategy. There is buying on dips, lump sum, dca and so many others. But its preferable to use DCA as a pleb so you can manage your investment and other part of you life without getting hooked. On the other hand, people who are rich use lump sum to buy. Which I will prefer if I have that kind of money. 

There are only the three techniques for accumulating bitcoin through buying.  Those three and/or combining hybrids of the three, which are DCA, lump sum (or right away) and/or buying on dip..

If you think that selling to buy is a strategy then that is trading.. and gambling, and it is not an accumulating through buying strategy.

Sure folks will trade and/or involve themselves in shitcoin in order to attempt to buy more bitcoin. Again, that is not a strict buying strategy.

I suppose some other strategies could be to use leverage or to buy whimpily or to buy aggressively, but using leverage or other financial tools are not necessarily strict buying strategies since they involve some additional risks by using those tools, and whether someone buys in a whimpy or an aggressive manner, or if he might front load his investment buy trying to buy a lot in the beginning and maybe slow down at later times, that is just a form of attempting to be more aggressive but does not really change the underly fundamentals of the three modes of buying BTC.

Another thing that complements how a person buys relates to cashflow management, so there can be various ways to manage cash that are strong and systematic in terms of building and maintaining various back up funds.. to help to iron out ups and downs in income and/or expenses, but also could cover up calculation mistakes or even level of aggressiveness mistakes and/or getting emotional about how much is being invested or even about BTC price moves.

The take away point here is your point about selling or trading/gambling on shitcoins to buy back more Bitcoin. While the intentions behind this decision could be seen as good, that doesn't change the fact that this is not only the highest level of gambling but also not an Bitcoin investment/accumulation strategy. This approach often involves trading/exchanging your Bitcoin for another asset, often with the hopes of benefiting or making more gain from the market's short term movements, which can be very dangerous for investors, especially those who are relatively new to Investing...

What many people do not really understand is that investors have all the time in the world to accumulate Bitcoin, so there's absolutely no need trying to move too fast, Bitcoin is a long term game, and the best way to approach Bitcoin is through consistent accumulation through the DCA strategy, it doesn't matter how small or large your DCA amount is now,  the DCA is a flexible approach, which means there'll always be room to make future adjustments in your DCA amount, so I don't see why investors would be so much in a hurry to reach a "fuck you" status within just a tiny space of time, this will only push them into making impulsive decisions on an attempt to reach their goals faster.
Using some sort of leverage or any other financial tools could indeed amplify potential gains, but this could also turnout to be a major pitfall as it can potentially increase the risk of significant losses. It's important to completely avoid using this particular strategy as it is not considered as a buying or accumulation strategy since it carries more risks and is also very complex to adopt.

Additionally, how an investor chooses to manage their cashflow is very important, as it says and contributes a lot to their overall investment strategy. A very good way to help mitigate the impact of expense and income fluctuations, too much emotional decisions and calculation mistakes is through building and maintaining a solid Backup fund. With a well structured and effective cashflow management, investors automatically put themselves in a better position to come up with a better strategy to effectively navigate through the complexities of investing in Bitcoin.

[JayJuanGee]

[edited out]

The take away point here is your point about selling or trading/gambling on shitcoins to buy back more Bitcoin. While the intentions behind this decision could be seen as good, that doesn't change the fact that this is not only the highest level of gambling but also not an Bitcoin investment/accumulation strategy. This approach often involves trading/exchanging your Bitcoin for another asset, often with the hopes of benefiting or making more gain from the market's short term movements, which can be very dangerous for investors, especially those who are relatively new to Investing...

Yep.  Ongoing accumulation through buying techniques assures that the BTC holdings are always getting larger even if the cost per BTC may be getting higher or lower depending on if the latest purchases are higher than the average costs per BTC or if they are being carried out at prices that are lower than the guy's average cost per BTC.  If a guy is truly focusing on trying to accumulate more BTC then the cost per BTC would be preferred to be lower, yet at any given point, a guy cannot be sure about if the future price is going to be higher or lower, yet since the bitcoin price trend is up, there is decently likelihood that the BTC price is going to continue to go up and  if a guy's investment timeline is long enough, such as 4-10 years or longer, the it is quite likely that at those future points down the road 4-10 years or more after any additional purchase of bitcoin, that the bitcoin will cost more than the then purchase price. No guarantees, but surely continues to be a good thing to ongoingly consider that the odds for ongoing up in the BTC price has good odds of happening even though there sometimes end up also being extended period of time in which the BTC price is down, and those periods of extended down have been opportunities to buy more bitcoin, even though we have tended to not know in advance when they would be coming and/or whether we are in such kind of a period at any point in time.

What many people do not really understand is that investors have all the time in the world to accumulate Bitcoin, so there's absolutely no need trying to move too fast, Bitcoin is a long term game, and the best way to approach Bitcoin is through consistent accumulation through the DCA strategy, it doesn't matter how small or large your DCA amount is now,  the DCA is a flexible approach, which means there'll always be room to make future adjustments in your DCA amount, so I don't see why investors would be so much in a hurry to reach a "fuck you" status within just a tiny space of time, this will only push them into making impulsive decisions on an attempt to reach their goals faster.

We cannot say what someone's time line is in advance, and surely there can be reasons that a person may want to advance his investment timeline, yet from my perspective it still becomes difficult to justify turning a bitcoin investment into a trade by having a timeline that is shorter than 4 years, even though surely there have been people who have profited (in dollars) in terms of their trading bitcoin, yet the dollar profits of the trader end up being quite a bit lower than the one who just hung onto the investment and accumulated it rather than fucked around with trading and shorter timelines in their investment into bitcoin.

So yeah, if a guy lump sums right away from the start and then just sits on his investment then he could wait 4-10 years or longer to see where that lump sum amount is.  Many normies are not able to lump sum, and even if they are able to lump sum invest into bitcoin, it may well make sense to supplement their lump sum with ongoing buying of BTC through DCA and/or buying on the dip... so if they employ strategies that are other than making an initial lump sum investment, then they will have various purchase times in which some of them are newer and some of them are older, and so the earlier investment might start to mature, in terms of being in a 4-10 year or longer timeline and others might be more recent.. yet even guys who might have had been accumulating bitcoin for more than 4 years, they may well see that their earliest of BTC purchases are tending to have had been for BTC prices that are likely no longer ever attainable again so there might not be any major incentive to sel those bitcoin but instead either to just let them ride or to continue to buy bitcoin, depending on how many bitcoin they might have had accumulated over the prior 4 years.

There likely is nothing wrong with wanting to try to get rich quick or to get to a point in which our BTC holdings are in great profits, yet there still might be some questions about whether we had accumulated enough and questions of whether we had been buying enough bitcoin during those earlier times in which the BTC price was lower relative to the current price.

Using some sort of leverage or any other financial tools could indeed amplify potential gains, but this could also turnout to be a major pitfall as it can potentially increase the risk of significant losses. It's important to completely avoid using this particular strategy as it is not considered as a buying or accumulation strategy since it carries more risks and is also very complex to adopt.

I agree that the deployment of various leveraging tools or financial instruments are adding additional risk, which means that the chances of losing becomes greater.   So we have an investment called bitcoin that is already great on its own, and so guys might add leverage and financial instruments to try to amplify their upside, yet at the same time, they end up converting an investment that already has great odds of upside into a loser, so in that sense we can look back at bitcoin's history and see that there  would have had been no way to lose money as long as the person was erroring on the side of accumulating bitcoin and/or holding, yet some folks still did find ways to lose and they also found ways to underperform those who merely just errored ont he side of accumulating bitcoin and holding.  Trading also fits in the category of a way that folks figured out ways to either lose money or to underperform the ones who errored on the side of accumulating BTC and holding.
 

Additionally, how an investor chooses to manage their cashflow is very important, as it says and contributes a lot to their overall investment strategy. A very good way to help mitigate the impact of expense and income fluctuations, too much emotional decisions and calculation mistakes is through building and maintaining a solid Backup fund. With a well structured and effective cashflow management, investors automatically put themselves in a better position to come up with a better strategy to effectively navigate through the complexities of investing in Bitcoin.

There is going to be quite a bit of variance in the kinds of income and expenses that any of us might have.  Some folks have a lot of discretionary income, and others hardly have any discretionary income, and some folks might come to bitcoin and already be in a situation in which they have a lot of backup funds and resources, and others do not have any of that, so if they do not purposefully build and maintain some cash cushions (back up funds) they are going to potentially put their bitcoin investment at risk, especially since to merely live they ongoingly have expenses every month, so they need to have enough money coming in to cover their expenses and if the money coming in shrinks then they might ONLY be able to cut their expenses so much and contribute to their having to draw from their various back up resources, and surely if anyone thinks about their various options they may well want to hold their most valuable assets without spending them, so spend from their less valuable assets and/or currencies first, which surely bitcoin should be considered as an asset that is not spent from  and that we may well be wanting to save it from being spent from, but also to continue to build it for 4-10 years or longer until it might get to a size in which we might consider that we might start to be able to spend from it to replace our income or to supplement our income.

So yeah having good cashflow management systems/practices could help us to keep building our bitcoin holdings and/or to maintain our bitcoin holdings, and back up funds can also help to assure to smooth over the times in which our income might be lower than our expenses and so that we can either continue to build our bitcoin or at least that we do not have to tap into our bitcoin in order to cover our expenses during that period that we might be still building it or even that we had not gotten tto a stage of spending from our bitcoin, yet.. back to the need for time to pass before we might be in a position to start to be able to feel comfortable spending from our bitcoin.

There are some guys who believe that they can spend from their bitcoin as long as the bitcoin is in profits, which surely is a low standard and even an erroneous standard to fail/refuse to recognize bitcoin in such low standard kinds of ways.. and so yeah, they mistakenly fail to continue to accumulate bitcoin and/or sell too much too soon and maybe never really get to a point of being able to profit from the likely continued compounding effect of bitcoin that is not guaranteed but it is still something in which guys may well be way better off to be spending from other fund sources rather than spending from their bitcoin...and surely back up funds and cashflow management can help to lessen the chances of guys having to spend from their bitcoin during periods that their income might be less than their expenses.

Edit:  By the way, if I hadn't already said it, there is a theme through your post, Tungbulu, about inclinations that many newbies have to want to rush the process, and surely there is not really a problem with having desires to get rich as quick as possible, yet there is also some need for moderation and reason to rule the day in order to assure that a person is actually getting richer in real terms rather than just spinning his wheels... so in that regard, there should be some desires to accumulate bitcoin and maybe even accumulate as many bitcoin as possible in a short period of time, as long as the person does not overdo their strategies and techniques and put themselves at too much risk. 

Accordingly, there are tendencies for newbies to want to engage in trading, shitcoining, leveraging in order to try to make the process of getting rich happen more quickly, yet those strategies could end up working against a person's progress since they are also ways that employ a lot of uncertainty and gambling.. It seems likely better not to employ any of those techniques, except maybe in very limited circumstances.

[Joeboy]

[edited out]

The take away point here is your point about selling or trading/gambling on shitcoins to buy back more Bitcoin. While the intentions behind this decision could be seen as good, that doesn't change the fact that this is not only the highest level of gambling but also not an Bitcoin investment/accumulation strategy. This approach often involves trading/exchanging your Bitcoin for another asset, often with the hopes of benefiting or making more gain from the market's short term movements, which can be very dangerous for investors, especially those who are relatively new to Investing...

Yep.  Ongoing accumulation through buying techniques assures that the BTC holdings are always getting larger even if the cost per BTC may be getting higher or lower depending on if the latest purchases are higher than the average costs per BTC or if they are being carried out at prices that are lower than the guy's average cost per BTC.  If a guy is truly focusing on trying to accumulate more BTC then the cost per BTC would be preferred to be lower, yet at any given point, a guy cannot be sure about if the future price is going to be higher or lower, yet since the bitcoin price trend is up, there is decently likelihood that the BTC price is going to continue to go up and  if a guy's investment timeline is long enough, such as 4-10 years or longer, the it is quite likely that at those future points down the road 4-10 years or more after any additional purchase of bitcoin, that the bitcoin will cost more than the then purchase price. No guarantees, but surely continues to be a good thing to ongoingly consider that the odds for ongoing up in the BTC price has good odds of happening even though there sometimes end up also being extended period of time in which the BTC price is down, and those periods of extended down have been opportunities to buy more bitcoin, even though we have tended to not know in advance when they would be coming and/or whether we are in such kind of a period at any point in time.

What many people do not really understand is that investors have all the time in the world to accumulate Bitcoin, so there's absolutely no need trying to move too fast, Bitcoin is a long term game, and the best way to approach Bitcoin is through consistent accumulation through the DCA strategy, it doesn't matter how small or large your DCA amount is now,  the DCA is a flexible approach, which means there'll always be room to make future adjustments in your DCA amount, so I don't see why investors would be so much in a hurry to reach a "fuck you" status within just a tiny space of time, this will only push them into making impulsive decisions on an attempt to reach their goals faster.

We cannot say what someone's time line is in advance, and surely there can be reasons that a person may want to advance his investment timeline, yet from my perspective it still becomes difficult to justify turning a bitcoin investment into a trade by having a timeline that is shorter than 4 years, even though surely there have been people who have profited (in dollars) in terms of their trading bitcoin, yet the dollar profits of the trader end up being quite a bit lower than the one who just hung onto the investment and accumulated it rather than fucked around with trading and shorter timelines in their investment into bitcoin.

So yeah, if a guy lump sums right away from the start and then just sits on his investment then he could wait 4-10 years or longer to see where that lump sum amount is.  Many normies are not able to lump sum, and even if they are able to lump sum invest into bitcoin, it may well make sense to supplement their lump sum with ongoing buying of BTC through DCA and/or buying on the dip... so if they employ strategies that are other than making an initial lump sum investment, then they will have various purchase times in which some of them are newer and some of them are older, and so the earlier investment might start to mature, in terms of being in a 4-10 year or longer timeline and others might be more recent.. yet even guys who might have had been accumulating bitcoin for more than 4 years, they may well see that their earliest of BTC purchases are tending to have had been for BTC prices that are likely no longer ever attainable again so there might not be any major incentive to sel those bitcoin but instead either to just let them ride or to continue to buy bitcoin, depending on how many bitcoin they might have had accumulated over the prior 4 years.

There likely is nothing wrong with wanting to try to get rich quick or to get to a point in which our BTC holdings are in great profits, yet there still might be some questions about whether we had accumulated enough and questions of whether we had been buying enough bitcoin during those earlier times in which the BTC price was lower relative to the current price.

Using some sort of leverage or any other financial tools could indeed amplify potential gains, but this could also turnout to be a major pitfall as it can potentially increase the risk of significant losses. It's important to completely avoid using this particular strategy as it is not considered as a buying or accumulation strategy since it carries more risks and is also very complex to adopt.

I agree that the deployment of various leveraging tools or financial instruments are adding additional risk, which means that the chances of losing becomes greater.   So we have an investment called bitcoin that is already great on its own, and so guys might add leverage and financial instruments to try to amplify their upside, yet at the same time, they end up converting an investment that already has great odds of upside into a loser, so in that sense we can look back at bitcoin's history and see that there  would have had been no way to lose money as long as the person was erroring on the side of accumulating bitcoin and/or holding, yet some folks still did find ways to lose and they also found ways to underperform those who merely just errored ont he side of accumulating bitcoin and holding.  Trading also fits in the category of a way that folks figured out ways to either lose money or to underperform the ones who errored on the side of accumulating BTC and holding.
 

Additionally, how an investor chooses to manage their cashflow is very important, as it says and contributes a lot to their overall investment strategy. A very good way to help mitigate the impact of expense and income fluctuations, too much emotional decisions and calculation mistakes is through building and maintaining a solid Backup fund. With a well structured and effective cashflow management, investors automatically put themselves in a better position to come up with a better strategy to effectively navigate through the complexities of investing in Bitcoin.

So yeah having good cashflow management systems/practices could help us to keep building our bitcoin holdings and/or to maintain our bitcoin holdings, and back up funds can also help to assure to smooth over the times in which our income might be lower than our expenses and so that we can either continue to build our bitcoin or at least that we do not have to tap into our bitcoin in order to cover our expenses during that period that we might be still building it or even that we had not gotten tto a stage of spending from our bitcoin, yet.. back to the need for time to pass before we might be in a position to start to be able to feel comfortable spending from our bitcoin.

There are some guys who believe that they can spend from their bitcoin as long as the bitcoin is in profits, which surely is a low standard and even an erroneous standard to fail/refuse to recognize bitcoin in such low standard kinds of ways.. and so yeah, they mistakenly fail to continue to accumulate bitcoin and/or sell too much too soon and maybe never really get to a point of being able to profit from the likely continued compounding effect of bitcoin that is not guaranteed but it is still something in which guys may well be way better off to be spending from other fund sources rather than spending from their bitcoin...and surely back up funds and cashflow management can help to lessen the chances of guys having to spend from their bitcoin during periods that their income might be less than their expenses.

Indeed, Good money management + backup savings = you won't be forced to sell your Bitcoin holdings during though times, and you can let it grow until you are ready to spend it in the future.

Honestly many persons are only focused on stacking up their Bitcoin holdings without really considering their daily cashflow. The truth is, if your income and expenses are not balanced, you will always find yourself in a situation whereby you will always have to touch your Bitcoin when you really don’t want to. Having an emergency fund or some extra savings outside your Bitcoin holding is very important coz it gives you peace of mind and patience in the long run ....

[JayJuanGee]

[edited out]

Indeed, Good money management + backup savings = you won't be forced to sell your Bitcoin holdings during though times, and you can let it grow until you are ready to spend it in the future.

Honestly many persons are only focused on stacking up their Bitcoin holdings without really considering their daily cashflow.

Essentially many normie newbies tend to use their BTC as their emergency fund and they also do not recognize and appreciate the value of keeping a bunch of cash that  seems to not be working for them.. Surely I am not opposed to the idea of growing the BTC faster than building the emergency funds, so long as the emergency funds are not inadequate to deal with likely shortfalls of income that are likely to come up from time to time... and so it can be difficult to figure out what might be all of the various kinds of emergency funds that a guy might have available, but it is also messed up if a guy does not attempt to figure out those kinds of matters so that he does not have to sell bitcoin at a time that is not of his own choosing and that he can also recognize and appreciate that it is not good to sell any bitcoin, even if the bitcoin is in profits, especially while the guy is in his fairly earlier of stages of building his bitcoin holdings..

and yeah, guys can get thrown off by their bitcoin being 2x, to 3x to 5x in profits and all of a sudden they are thinking that they are in heaven and that they are in a position to start to sell their bitcoin, even though they still might not have even invested 3-6 months of their income into bitcoin, so it is difficult for them to be concluding that they have even come close to reaching over accumulation status when their total holdings might not even constitute much more than a year or two of their income (at spot prices and not even accounting for its possibly lower 200-WMA values)..   And, guys can also prematurely conclude that they can start to sell BTC too based on the BTC spot price being 2x to 3x or more higher than the 200-WMA, even though they may well be better off to continue accumulating or at least to HODL through such periods rather than prematurely depleting their BTC stash.  Guys can get mislead into risky ways of trying to manage their bitcoin holdings... and it can be unclear how to help them to not get into some kind of a trading mindset...and they still have to figure out these matters for themselves in terms of all of their circumstances.. since sometimes guys will overly deplete their bitcoin based on some kind of a need that they perceive themselves as having, and they expect that they will replace their BTC, potentially at lower prices, yet maybe it ends up taking them 3 to 6 to 9 months or longer just to build their bitcoin back to the quantity of BTC that it had previously been, and even during that time, they could have had been building up their bitcoin more rather than backtracking to make up for their earlier selling of too much of their BTC.  These are not easy situation, and guys can get lured into the wrong kinds of behaviors in regards to how to treat their BTC holdings.

The truth is, if your income and expenses are not balanced, you will always find yourself in a situation whereby you will always have to touch your Bitcoin when you really don’t want to. Having an emergency fund or some extra savings outside your Bitcoin holding is very important coz it gives you peace of mind and patience in the long run ....

It can be surprising how much more empowered a guy will feel to have various back up funds, and surely a guy has to be careful not to overdo their back up funds also.  I heard some guy talking about having several years worth of cash, and surely that can be an overreaction in the other direction, even though the larger that a guy builds up his BTC, then the more likelihood that his cash reserves are going to build up too.. which becomes more of a justification for diversifying some of the cash reserves so that they are not losing so much value, even if a guy might well want to keep them in some variation of cash or something that is more liquid and/or less volatile than bitcoin... so if some of the back up funds get to be more than 6 months of the value of expenses, then there may well be some reasonable inclination to keep such back up funds in other assets and/or currencies that still might be somewhat liquid yet not as likely to be volatile in the same direction as bitcoin.

[icebar]

I think Abaeze is misunderstanding the entire strategy of investment. I was expecting you to explain the various Bitcoin strategy because many folks believe DCA is the only successful and effective strategy. It seems they do not know why many practice that strategy. There is buying on dips, lump sum, dca and so many others. But its preferable to use DCA as a pleb so you can manage your investment and other part of you life without getting hooked. On the other hand, people who are rich use lump sum to buy. Which I will prefer if I have that kind of money. 

The DCA is talked about mostly so newbies won't be mislead into starting their accumulation journey with buying during the dip and Lump sum moreover when you're doing the DCA you'll still get opportunity to buy the dip since you'll encounter several dips while on it along the way, well it's not a bad idea like you said to explain other strategies as well so newbies would understand what they're all about and which to prioritise more on. One good thing about the DCA is that it's for everyone not only specifically for a particular class of investors and remember that not all newbies are rich enough to do the lump sum some were even waiting till they had more money that's why they didn't start earlier.

That's right, though anyone  can choose  the type of strategy they love or better still the one that makes them feel comfortable doing. There are disciplined buy the dip accumulators who continually buys the dip once in a month or as it suits  them. But one of the reason I prefer DCA over buy the dip is, the fact that with DCA you can actually  buy at any price range and sometimes the price most people consider too high to buy  bitcoin could in turn become one of the dip prices in the next few month. Since we can't always  tell we're the proce is headed especially  on small time frames, then we just have to buy not considering price.

What is important is that you’re able to buy and invest in bitcoin and hodl for the long term goal without panicking to sell whenever you notice a little downturn in the market. Bitcoin investment is a long term investment and for you to be able to attain some level of success you must approach it with a long term vision of consistently accumulation of bitcoin and hodl and that’s why some people prefers using the DCA strategy in accumulating bitcoin so it’s easier for them to accumulate and hodl whenever they are able to figure out a discretionary income.

If the investor starts investing after being aware of a few things in terms of holding Bitcoin, then he will be able to hold Bitcoin for the long term. Even if he only does DCA, it is not the case that he will be able to invest safely. Before investing, the investor must have an idea about whether he has discretionary income or not. Normally in bitcoin we give more priority to long-term holding. Only if a part of the discretionary income is deposited in Bitcoin regularly, then only long-term investment is possible. Along with this, must also keep a bank up fund of 3-6 months so that investment can be regular in emergency situations.

[Mr Reporter]

I think Abaeze is misunderstanding the entire strategy of investment. I was expecting you to explain the various Bitcoin strategy because many folks believe DCA is the only successful and effective strategy. It seems they do not know why many practice that strategy. There is buying on dips, lump sum, dca and so many others. But its preferable to use DCA as a pleb so you can manage your investment and other part of you life without getting hooked. On the other hand, people who are rich use lump sum to buy. Which I will prefer if I have that kind of money.  

The DCA is talked about mostly so newbies won't be mislead into starting their accumulation journey with buying during the dip and Lump sum moreover when you're doing the DCA you'll still get opportunity to buy the dip since you'll encounter several dips while on it along the way, well it's not a bad idea like you said to explain other strategies as well so newbies would understand what they're all about and which to prioritise more on. One good thing about the DCA is that it's for everyone not only specifically for a particular class of investors and remember that not all newbies are rich enough to do the lump sum some were even waiting till they had more money that's why they didn't start earlier.

That's right, though anyone  can choose  the type of strategy they love or better still the one that makes them feel comfortable doing. There are disciplined buy the dip accumulators who continually buys the dip once in a month or as it suits  them. But one of the reason I prefer DCA over buy the dip is, the fact that with DCA you can actually  buy at any price range and sometimes the price most people consider too high to buy  bitcoin could in turn become one of the dip prices in the next few month. Since we can't always  tell we're the proce is headed especially  on small time frames, then we just have to buy not considering price.

What is important is that you’re able to buy and invest in bitcoin and hodl for the long term goal without panicking to sell whenever you notice a little downturn in the market. Bitcoin investment is a long term investment and for you to be able to attain some level of success you must approach it with a long term vision of consistently accumulation of bitcoin and hodl and that’s why some people prefers using the DCA strategy in accumulating bitcoin so it’s easier for them to accumulate and hodl whenever they are able to figure out a discretionary income.

If the investor starts investing after being aware of a few things in terms of holding Bitcoin, then he will be able to hold Bitcoin for the long term. Even if he only does DCA, it is not the case that he will be able to invest safely. Before investing, the investor must have an idea about whether he has discretionary income or not. Normally in bitcoin we give more priority to long-term holding. Only if a part of the discretionary income is deposited in Bitcoin regularly, then only long-term investment is possible. Along with this, must also keep a bank up fund of 3-6 months so that investment can be regular in emergency situations.

I guess u are kind of right a well thought out investment plan including a soild understanding of your financially situation and risk tolerance, can help you navigate the bitcoin market more efficiently. Pulse also prioritizing long term holding can help reduce and ride out market volatility.

[Derekfunds]

I think Abaeze is misunderstanding the entire strategy of investment. I was expecting you to explain the various Bitcoin strategy because many folks believe DCA is the only successful and effective strategy. It seems they do not know why many practice that strategy. There is buying on dips, lump sum, dca and so many others. But its preferable to use DCA as a pleb so you can manage your investment and other part of you life without getting hooked. On the other hand, people who are rich use lump sum to buy. Which I will prefer if I have that kind of money. 

The DCA is talked about mostly so newbies won't be mislead into starting their accumulation journey with buying during the dip and Lump sum moreover when you're doing the DCA you'll still get opportunity to buy the dip since you'll encounter several dips while on it along the way, well it's not a bad idea like you said to explain other strategies as well so newbies would understand what they're all about and which to prioritise more on. One good thing about the DCA is that it's for everyone not only specifically for a particular class of investors and remember that not all newbies are rich enough to do the lump sum some were even waiting till they had more money that's why they didn't start earlier.

That's right, though anyone  can choose  the type of strategy they love or better still the one that makes them feel comfortable doing. There are disciplined buy the dip accumulators who continually buys the dip once in a month or as it suits  them. But one of the reason I prefer DCA over buy the dip is, the fact that with DCA you can actually  buy at any price range and sometimes the price most people consider too high to buy  bitcoin could in turn become one of the dip prices in the next few month. Since we can't always  tell we're the proce is headed especially  on small time frames, then we just have to buy not considering price.

What is important is that you’re able to buy and invest in bitcoin and hodl for the long term goal without panicking to sell whenever you notice a little downturn in the market. Bitcoin investment is a long term investment and for you to be able to attain some level of success you must approach it with a long term vision of consistently accumulation of bitcoin and hodl and that’s why some people prefers using the DCA strategy in accumulating bitcoin so it’s easier for them to accumulate and hodl whenever they are able to figure out a discretionary income.

Is good to have a long term vision and accumulating consistently but it is not just about these because it is possible to be accumulating consistently with the long term goal and yet one doesn't have a good back up funds and emergency funds that can take care of unforseen circumstances because there will always be a circumstance or circumstances because  Bitcoin investment is not all rosey, there are always trial time and this defines who is a real investor and who is not and a real investor will always overcome because they always prepare ahead of time and are always ready for anything.

[Gost ms]

Is good to have a long term vision and accumulating consistently but it is not just about these because it is possible to be accumulating consistently with the long term goal and yet one doesn't have a good back up funds and emergency funds that can take care of unforseen circumstances because there will always be a circumstance or circumstances because  Bitcoin investment is not all rosey, there are always trial time and this defines who is a real investor and who is not and a real investor will always overcome because they always prepare ahead of time and are always ready for anything.

Saving money and depositing Bitcoin or accumulating Bitcoin are two completely different things. Saving money is depositing cash. For example, depositing some amount of money from our discretionary income in cash. Depositing or accumulating Bitcoin is not. Continuing to buy continuously with our discretionary income until our goal is met is Bitcoin accumulation.

There are many people who cannot plan properly for the right information. For example, there are many new investors who invest but after investing, they have no idea about what they need to do to protect their saved Bitcoin. A person needs to start investing first and then he needs to learn all the aspects. Because if a person just invests and does not do any kind of research after that. Like what is the use of emergency fund etc. all these things need to be learned. But first if a person has a source of discretionary income then he needs to start investing. It is never right to wait to invest.

[Cossyblack]

Is good to have a long term vision and accumulating consistently but it is not just about these because it is possible to be accumulating consistently with the long term goal and yet one doesn't have a good back up funds and emergency funds that can take care of unforseen circumstances because there will always be a circumstance or circumstances because  Bitcoin investment is not all rosey, there are always trial time and this defines who is a real investor and who is not and a real investor will always overcome because they always prepare ahead of time and are always ready for anything.

Saving money and depositing Bitcoin or accumulating Bitcoin are two completely different things. Saving money is depositing cash. For example, depositing some amount of money from our discretionary income in cash. Depositing or accumulating Bitcoin is not. Continuing to buy continuously with our discretionary income until our goal is met is Bitcoin accumulation.

There are many people who cannot plan properly for the right information. For example, there are many new investors who invest but after investing, they have no idea about what they need to do to protect their saved Bitcoin. A person needs to start investing first and then he needs to learn all the aspects. Because if a person just invests and does not do any kind of research after that. Like what is the use of emergency fund etc. all these things need to be learned. But first if a person has a source of discretionary income then he needs to start investing. It is never right to wait to invest.

How then do we saved money in Bitcoin if not by deposing /convert our FIAT currency into Bitcoin. When used the word saved & deposit in regards to Bitcoin, it literally means either your investing by saving in Bitcoin or your re probably depositing your FIAT as USDT to buy Bitcoin but it also depends. If it's a trader then it's obvious he's depositing to buy Bitcoin for trading and if it's an investor then he should be depositing to accumulate more Bitcoin for his long term Holding.

Don't you think an investor that's learning to know every aspect of Bitcoin will end up getting confused by trying to know everything about bitcoin. I think the first and most important aspect for a beginner investor to learn about bitcoin is know how to buy and & Hold and as long as he does it right then he's good to go. When accumulating bitcoin consistently, he may as well learn how to build his emergency fund & Reserve fund from his discretional income. Emergency & Reserve funds are kept to save his Bitcoin investment from unexpected future occurrence that may likely happens.

[Olatundespo]

I think Abaeze is misunderstanding the entire strategy of investment. I was expecting you to explain the various Bitcoin strategy because many folks believe DCA is the only successful and effective strategy. It seems they do not know why many practice that strategy. There is buying on dips, lump sum, dca and so many others. But its preferable to use DCA as a pleb so you can manage your investment and other part of you life without getting hooked. On the other hand, people who are rich use lump sum to buy. Which I will prefer if I have that kind of money. 

The DCA is talked about mostly so newbies won't be mislead into starting their accumulation journey with buying during the dip and Lump sum moreover when you're doing the DCA you'll still get opportunity to buy the dip since you'll encounter several dips while on it along the way, well it's not a bad idea like you said to explain other strategies as well so newbies would understand what they're all about and which to prioritise more on. One good thing about the DCA is that it's for everyone not only specifically for a particular class of investors and remember that not all newbies are rich enough to do the lump sum some were even waiting till they had more money that's why they didn't start earlier.

That's right, though anyone  can choose  the type of strategy they love or better still the one that makes them feel comfortable doing. There are disciplined buy the dip accumulators who continually buys the dip once in a month or as it suits  them. But one of the reason I prefer DCA over buy the dip is, the fact that with DCA you can actually  buy at any price range and sometimes the price most people consider too high to buy  bitcoin could in turn become one of the dip prices in the next few month. Since we can't always  tell we're the proce is headed especially  on small time frames, then we just have to buy not considering price.

What is important is that you’re able to buy and invest in bitcoin and hodl for the long term goal without panicking to sell whenever you notice a little downturn in the market. Bitcoin investment is a long term investment and for you to be able to attain some level of success you must approach it with a long term vision of consistently accumulation of bitcoin and hodl and that’s why some people prefers using the DCA strategy in accumulating bitcoin so it’s easier for them to accumulate and hodl whenever they are able to figure out a discretionary income.

Is good to have a long term vision and accumulating consistently but it is not just about these because it is possible to be accumulating consistently with the long term goal and yet one doesn't have a good back up funds and emergency funds that can take care of unforseen circumstances because there will always be a circumstance or circumstances because  Bitcoin investment is not all rosey, there are always trial time and this defines who is a real investor and who is not and a real investor will always overcome because they always prepare ahead of time and are always ready for anything.

Almost everyone wants to be a real investor but due to financial circumstances they cannot hold Bitcoin for the long term. DCA strategy is a solution for long term investors. Short term planning for trading and tight situations can create a mental instability for you. Before you decide on emergency funds make up your mind to accumulate Bitcoin through discretionary funds. Don't waste time investing because the supply of backup funds is low in the initial stage. If there is a shortage of immediate floating cash flow you should consider building funds gradually because the need for emergency funds may or may not be in your future. You need backup funds to maintain long term Bitcoin holdings but it is more important to start Bitcoin accumulation initial stage.

[AYOBA]

I think Abaeze is misunderstanding the entire strategy of investment. I was expecting you to explain the various Bitcoin strategy because many folks believe DCA is the only successful and effective strategy. It seems they do not know why many practice that strategy. There is buying on dips, lump sum, dca and so many others. But its preferable to use DCA as a pleb so you can manage your investment and other part of you life without getting hooked. On the other hand, people who are rich use lump sum to buy. Which I will prefer if I have that kind of money. 

The DCA is talked about mostly so newbies won't be mislead into starting their accumulation journey with buying during the dip and Lump sum moreover when you're doing the DCA you'll still get opportunity to buy the dip since you'll encounter several dips while on it along the way, well it's not a bad idea like you said to explain other strategies as well so newbies would understand what they're all about and which to prioritise more on. One good thing about the DCA is that it's for everyone not only specifically for a particular class of investors and remember that not all newbies are rich enough to do the lump sum some were even waiting till they had more money that's why they didn't start earlier.

That's right, though anyone  can choose  the type of strategy they love or better still the one that makes them feel comfortable doing. There are disciplined buy the dip accumulators who continually buys the dip once in a month or as it suits  them. But one of the reason I prefer DCA over buy the dip is, the fact that with DCA you can actually  buy at any price range and sometimes the price most people consider too high to buy  bitcoin could in turn become one of the dip prices in the next few month. Since we can't always  tell we're the proce is headed especially  on small time frames, then we just have to buy not considering price.

What is important is that you’re able to buy and invest in bitcoin and hodl for the long term goal without panicking to sell whenever you notice a little downturn in the market. Bitcoin investment is a long term investment and for you to be able to attain some level of success you must approach it with a long term vision of consistently accumulation of bitcoin and hodl and that’s why some people prefers using the DCA strategy in accumulating bitcoin so it’s easier for them to accumulate and hodl whenever they are able to figure out a discretionary income.

Is good to have a long term vision and accumulating consistently but it is not just about these because it is possible to be accumulating consistently with the long term goal and yet one doesn't have a good back up funds and emergency funds that can take care of unforseen circumstances because there will always be a circumstance or circumstances because  Bitcoin investment is not all rosey, there are always trial time and this defines who is a real investor and who is not and a real investor will always overcome because they always prepare ahead of time and are always ready for anything.

Almost everyone wants to be a real investor but due to financial circumstances they cannot hold Bitcoin for the long term. DCA strategy is a solution for long term investors. Short term planning for trading and tight situations can create a mental instability for you. Before you decide on emergency funds make up your mind to accumulate Bitcoin through discretionary funds. Don't waste time investing because the supply of backup funds is low in the initial stage. If there is a shortage of immediate floating cash flow you should consider building funds gradually because the need for emergency funds may or may not be in your future. You need backup funds to maintain long term Bitcoin holdings but it is more important to start Bitcoin accumulation initial stage.

Many people are unable to invest due to financial problems. But, as you mentioned earlier, not everyone has the patience to hold onto Bitcoin for a longer period of time; all they can think about is, "What if they in needed that money later?" Because of such challenges, they recommend that if we come to invest, we should invest only what we can afford to lose.

When it comes to long-term investing and Bitcoin accumulation, the DCA method has made everything easier. For this reason "the earlier is better" is highly beneficial to us. In order to avoid regretting it later when we discover that others are cashing out huge amounts of money, that’s why is good for we to start accumulating Bitcoin at early stage. Because it's much better than someone spending time, money, and energy on riskier trading.

[Joeboy]

[edited out]

Indeed, Good money management + backup savings = you won't be forced to sell your Bitcoin holdings during though times, and you can let it grow until you are ready to spend it in the future.

Honestly many persons are only focused on stacking up their Bitcoin holdings without really considering their daily cashflow.

Essentially many normie newbies tend to use their BTC as their emergency fund and they also do not recognize and appreciate the value of keeping a bunch of cash that  seems to not be working for them.. Surely I am not opposed to the idea of growing the BTC faster than building the emergency funds, so long as the emergency funds are not inadequate to deal with likely shortfalls of income that are likely to come up from time to time... and so it can be difficult to figure out what might be all of the various kinds of emergency funds that a guy might have available, but it is also messed up if a guy does not attempt to figure out those kinds of matters so that he does not have to sell bitcoin at a time that is not of his own choosing and that he can also recognize and appreciate that it is not good to sell any bitcoin, even if the bitcoin is in profits, especially while the guy is in his fairly earlier of stages of building his bitcoin holdings..

and yeah, guys can get thrown off by their bitcoin being 2x, to 3x to 5x in profits and all of a sudden they are thinking that they are in heaven and that they are in a position to start to sell their bitcoin, even though they still might not have even invested 3-6 months of their income into bitcoin, so it is difficult for them to be concluding that they have even come close to reaching over accumulation status when their total holdings might not even constitute much more than a year or two of their income (at spot prices and not even accounting for its possibly lower 200-WMA values)..   And, guys can also prematurely conclude that they can start to sell BTC too based on the BTC spot price being 2x to 3x or more higher than the 200-WMA, even though they may well be better off to continue accumulating or at least to HODL through such periods rather than prematurely depleting their BTC stash.  Guys can get mislead into risky ways of trying to manage their bitcoin holdings... and it can be unclear how to help them to not get into some kind of a trading mindset...and they still have to figure out these matters for themselves in terms of all of their circumstances.. since sometimes guys will overly deplete their bitcoin based on some kind of a need that they perceive themselves as having, and they expect that they will replace their BTC, potentially at lower prices, yet maybe it ends up taking them 3 to 6 to 9 months or longer just to build their bitcoin back to the quantity of BTC that it had previously been, and even during that time, they could have had been building up their bitcoin more rather than backtracking to make up for their earlier selling of too much of their BTC.  These are not easy situation, and guys can get lured into the wrong kinds of behaviors in regards to how to treat their BTC holdings.

The truth is, if your income and expenses are not balanced, you will always find yourself in a situation whereby you will always have to touch your Bitcoin when you really don’t want to. Having an emergency fund or some extra savings outside your Bitcoin holding is very important coz it gives you peace of mind and patience in the long run ....

It can be surprising how much more empowered a guy will feel to have various back up funds, and surely a guy has to be careful not to overdo their back up funds also.  I heard some guy talking about having several years worth of cash, and surely that can be an overreaction in the other direction, even though the larger that a guy builds up his BTC, then the more likelihood that his cash reserves are going to build up too.. which becomes more of a justification for diversifying some of the cash reserves so that they are not losing so much value, even if a guy might well want to keep them in some variation of cash or something that is more liquid and/or less volatile than bitcoin... so if some of the back up funds get to be more than 6 months of the value of expenses, then there may well be some reasonable inclination to keep such back up funds in other assets and/or currencies that still might be somewhat liquid yet not as likely to be volatile in the same direction as bitcoin.

Indeed, having an emergency fund is necessary but leaving too much of it in fiat currently is unwise, this is because inflation can cause the value of it to begin losing value overtime, thereby reducing your purchasing power.  The best practice is to Keep just enough cash that can cover 5-6 months of your living expenses. Then any extra left can be put into other assets that protect value better. Assests like stablecoins, bonds, or even keep part of it in Bitcoin depending on how comfortable you may be. This way your investment is protected against inflation, and at the same time you are not staying without cash.......