For sure, each of us has evolving situations, and we have to be able to monitor how aggressive that we are attempting to be in our bitcoin accumulation journey.. and even if we might get to a stage of our bitcoin journey that we believe that we have mostly accumulated enough BTC and we are merely trying to maintain some kind of a balance in our BTC portfolio as compared with other assets that we might hold.. and for sure, sources of cashflow are likely to change over time, and sometimes if we have accumulated a variety of assets, we can convert one of them into a means in which we draw cash from it on a regular basis.. which might even end up off-setting some other cashflows that we might have had that might be related to work and we might choose to work less or to change the kinds of work that we do in such ways that our regular cashflows might become less regular or even dry up.. and sometimes we might choose to do those things and other times, we might be forced into situations in which some of our cashflows have dried up (kind of outside of our control and we might be faced with decisions whether we want to reestablish some of that regular cashflow through work or to perhaps sometimes just decide to lessen the amount that we work or to change some of the kinds of work that we do).
You are very correct, one needs a stable cash in flow to help you have that confidence to hold for long. when I first started my bitcoin journey, I thought because bitcoin is volatile in nature, I should and sell when I make little profit each time. This was from my poor understanding of how bitcoin accumulation works. I have a job,so I went to my Boss and told him that I want to go on a month vacation so that I can put myself together, which he gave me the permission to go. After a while I discovered that if I don't continue to work,I will end up eating up all my bitcoin investment in order for me to take care of some major responsibilities. After one week,I said to myself if I want to have a good fraction of bitcoin then I need to go back and resume work. Immediately, I called my Boss that I will becoming back in three days to resume work and he was surprised. Actually, I intended to stop the work from my vacation but when I realised that for me to be able to accumulate more bitcoin I must have to work. Presently,am only accumulating and not thinking of the price if it dumps or pumps anymore as long as am holding for a very long period of time,that I wouldn't regret it.
Yes. That's very insightful and informative Merit.s. Many times we need to recognize and appreciate that it is way better to delay the arrival at any fuck you status that we might choose to exercise in order that if we do end up pulling the fuck you lever, then we may well have a decent chance of at least attempting to be able to live off of the expected appreciation of our principle (which would be the interest) rather than ongoingly depleting the principle which would thereby contribute to such a fund (retirement fund or whatever we might want to call it) to not really be long term sustainable, so in that regard, if we start to employ a withdrawal of our investment traditionally, 4% per year had been thought to have had been a sustainable rate - even though surely we might be able to imagine higher than 4% rates with something like bitcoin in the event that bitcoin is able to appreciate in value that tend to average at greater than 4% per year rates....
For sure it is nice to have a cushion and to make sure that we have a financial cushion that would be sufficiently robust in order to account for BTC's likely ongoing volatility.. and so in that regard, we might attempt to accumulate at such a level that would be several times higher than what we might consider to be an entry-level fuck you status amount in order to strive for an ability for our investment portfolio to be sustainable.. and for sure, if we are younger and we expect to live a longer period of time, then there may be greater concerns about how long our investment portfolio is able to last and to provide enough value to ourselves at our expected withdrawal rate to be able to last throughout the period that we are expecting to either live off of it or to have it supplement any other expected income sources that we might have... so surely ONLY calculating 10 years would be easier than if we were to have 30, 40 or even more than 50 years that we might expect to live and withdraw upon our investment portfolio.... and it would be a shame to run out of money and still have more life in us and who would want to have to go back to work in the years before their death.. (optionally might be ok. but having to do it might actually greatly lower quality of life and even feel a bit shameful).
Storing all assets in Bitcoin is a good decision (to be faster in a heart attack and higher stress) lol.
With a fluctuating market, it is certainly not a good option for financial health.
This is the worst financial strategy to store all your assets in bitcoin because when their is a drastic dump in price,it will look like your doom day has arrived. A very bad way of financial management.
Part of the rationale to diversify at least a little bit in terms of NOT holding all your wealth in one asset class.. especially one as volatile as bitcoin, even though surely there are some people who engage in such a practice.. which does not seem to be good financial management or even advisable absent some pretty special circumstances. such as perhaps if they were to have a pretty guaranteed cashflow that allows them to NOT have to be reliant upon the value of their investment in any kind of way... but even then, for sure, there does seem to be some value in any ability that any of us might retain to be able to continue to buy on the dip or to DCA during dipping times, rather than completely losing confidence because our investment might have had gone down greatly.. such as greater than 70% and stayed at such depressed levels for extended periods of time.. including potential uncertainties regarding if such asset might continue to drop in value further and for much longer periods, too.