Post
Topic
Board Bitcoin Discussion
Merits 1 from 1 user
Re: My feelings after 11 years with crypto.
by
ajiz138
on 27/08/2022, 03:15:17 UTC
⭐ Merited by JayJuanGee (1)
So, even if you were to take portfolios of people who are trying to time the price versus those who DCA, you are likely going to get better performance with the DCA.. and even if you believe that you can beat a regular DCA approach, you have to account for your time too.. and in that regard, sure you might consider that it is fun to practice figuring out the BTC price movement in order to time the dips, if any, but you can still play around with attempting to buy the dips while DCAing at the same time... You would just not be using your whole budget for buying dips, merely a fraction of your budget would be used for buying dips.. and you can determine how much of a fraction you would like that to be - even if you appreciate that maybe it is better to not be wasting too much of your time and just make yourself buy regularly. .and maybe hold back on over stragetizing and/or over thinking the matter..
Actually I want to balanced it like that not all money has to buy dips but with DCA at the same time I want to do that and do it full time so that my expenses are balanced by determining two directions of concurrent investment between dips and DCA.
Maybe I should reset how this can be run at the same time because I want both to run maybe the expenses can be tried to be as regular as possible.

Well, if we consider that you could have employed a DCA strategy throughout that time, and even invested a relatively small amount of $10 per week for the past 8 years which would have added up to about $4,180 invested, and would have gotten you nearly 4 BTC, and of course, if you had been able to take a bit more of an aggressive stance, then you could have invested 10x that amount at $100 per week and you would have invested $41,800 and would have gotten about 40 BTC during that same time.  So DCA can be very powerful, even with relatively modest amounts invested on an ongoing and regular basis.
The calculation is quite reasonable for me because after I tried it with the calculator there is indeed a good thing for this DCA, as you suggest $10 as a small value and added with an aggressive attitude with an additional 5x or 10x additional capital every week then the amount will be big for a certain period, then with this DCA for a few years I will get a few more BTC, wow this is really what I want, but everything of course takes struggle right?
If DCA is in the way by me then I have to be strong.

I will study this thread, and read in more detail, it is very interesting for me to read and explore the outline of bitcoin investment.

For sure, Excel can be used in very powerful ways to keep track and also to attempt to project various future scenarios including attempting to plan various strategies that might work decently well and to account for various alternative scenarios and to figure out if the strategy might need to be tweaked at certain time points if it can be determined that one scenario direction might be playing out versus another scenario direction.. and you can surely also get something directionally correct, but then not really be sure about the time frame for it to play out or the magnitude in which it might play out within certain time parameters that you have highlighted for yourself.
To make it easier for me if I project in an Excel Spreadsheet so anything I track in the future is pretty straightforward, so these notes are important for whatever scenario I run.
If there is no Excel, I may not know the results and expenses and income so far, so I will also definitely get a definite direction in every purchase of his records.
Not only I may many people take notes in Excel.