Post
Topic
Board Speculation
Merits 1 from 1 user
Re: Buy the DIP, and HODL!
by
Inwestour
on 02/07/2023, 13:30:13 UTC
⭐ Merited by JayJuanGee (1)
Thanks for clarifying.   That sounds like a pretty strong, reasonable and prudent strategy. 

For example, as cash is coming in, sometimes there can be times in which we might have $300 per month extra coming in (that we are able to invest into bitcoin and that we can differ investing it right away), and then all of a sudden one month, there might end up coming in an additional $3k that comes in, and then we might be faced with a kind of dilemma in regards to how to allocate that extra income that came in that we had not expected.  So there might be ways that we try to be flexible in order to account for some new circumstances, and maybe when the extra money comes in, we might end up dividing that money into various parts rather than just employing it into one category, and the three parts that I like to think about in terms of how to divide such money in regards to possible bitcoin purchases are:  DCA, buying on dips and lump sum... we could divide the extra $3k into 1/3 each.. $1k for each category. .or we could allocate however we believe better helps our own particulars that might not end up being 1/3 each but instead weighted in one area or another that we might have believed that we had been previously deficient in terms of our own bitcoin or fiat allocations.
I still have to go through this stage, because at the moment I was in favorable conditions, which I determined for myself, for buying bitcoin. Therefore, I used all the funds that came to me for investment, not taking into account the funds that I set aside, as an emergency reserve just in case. Now if bitcoin continues to rise I will accumulate capital, I had a little time to think about it, maybe you are right and in case of accumulating a good amount, it is worth splitting it up to have more room to maneuver, it looks quite reasonable.

Fair enough.  So of course, each of us should realize that the BTC price might fall below $30k, but it might not.. and it may never again fall below $30k.. we have to be prepared for either scenario and of course give the scenarios the weight that we believe is most appropriate to our view of matters, and none of us is going to be 100% correct, and maybe we do not need to be 100% correct, if we design our own set ups in such a way that we really do not need to be correct, and there are thresholds that cause us to buy or cause us to engage in other tactics, such as allowing our fiat to build up.. just like you mentioned..
You are right, there are so many people and possible strategies, many of them can be successful, but we can only find out when we go this way. It is difficult to say that the strategy I have chosen is the best, moreover, I assume that it is far from ideal, but I adhere to the rule of not changing my mind in the middle of the road. So far, everything seems reasonable to me and I have a feeling that this will bring me a good profit, I will trust my intuition.