Quote from: Ojima-ojo on August 24, 2023, 11:57:06 PM

Quote from: JayJuanGee on August 24, 2023, 10:54:19 PM

There might be some needs for me to read back through some of my most recent posts to fix some ambiguities.. but I don't tend to edit anything beyond a few hours out or maybe if someone merits a post and then I see the post and as I am reading through it, I see some things that are needing to be clarified... usually trying not to change anything I said but sometimes I find that what I wrote is not very clear when I read back through it.

Not only you but everyone of us need to lay back a d take a read through some of our posts in the history to see where we need to make so.e adjustment and editing a few things to make it fit into current discussions and realities.

Surely, I would not want to "make it current," and I am only attempting to fix it for the time in which I wrote it not for anything that might have happened or might not have had happened... that would be really bad, in my thinking to be engaging with those kinds of edits.

In my JJG investment ideas thread, I have been update those 4-5 opening posts with current information, and then I try to show the edits.. but it is getting a bit unwieldy.. like as if I almost need to start a new thread rather than updating those 4-5 OPs.

Quote from: Ojima-ojo on August 24, 2023, 11:57:06 PM

Some bitcoin investors have missed the last market sell-off where Bitcoin gave an around $4,000 or so discount from its previous price in the last few weeks, that was another opportunity to buy more and wait for the dip to be over to be at an advantage when the price will move above it present price., most of them that failed to take advantage of the market to buy more are now waiting and anticipating for the price to fall further for them to buy in.

I would not change any post to change my predictions.. those for sure will just stay, even if I am wrong.. but surely sometimes (or maybe even frequently) it might be a bit ambiguous what someone might be predicting.. but I would not not even feel right to go back and change any of those kinds of posts that are not written clearly.. especially once a few days have past, and I almost never substantively edit a post once someone responds to it.. unless I add an edit comment at the bottom, which may or may not say when the edit was carried out by me.

Quote from: Odohu on August 25, 2023, 03:15:36 PM

Quote from: JayJuanGee on August 24, 2023, 10:54:19 PM

[edited out]

One aspect I have not figured out is if it is possible for someone that does not have regular cash-flow pattern to apply DCA. By this, how will one be able to execute a time-bound DCA when it can happen that some months or weeks you will have huge cash flows while in some months or weeks you will not experience same. I am speaking from the angle of an entrepreneur that have money based on when he is able to secure a contract. You there are chances you cannot completely know when you will hit a jackpot.

I know that I have already attempted to explain this several times, and my tendency is to project out my cashflow for 6 months minimum when I was younger and financial aspects of my life were more simple or maybe up to 2 years if there are several complicated things going on in terms of variation of expenses and/or incoming cash.

If you look at your history and you also try to project the future maybe you might be able to get some kind of a solid grasp that your income might vary between $700 per month (worse case scenario) and $4,000 per month best case scenario, and the vast majority of the time you are receiving around $1,500 per month give or take $300. You could project it all out based on the worse case scenario, but probably it would be more realistic to project it out based on the lower end of the general pattern, which would be $1,200 per month, and then perhaps you might just keep some extra reserves for times when the cash flow is less than $1,200... So if you also know that the amounts of your ability to invest into BTC are going to be vary based on these, then you should be figuring out your minimum amounts to DCA based on your projection of minimums.. whether you choose that to be the $1,200 or the $700 and then of course, you would then be able to add the higher amounts in a kind of manual basis.. or maybe you wait for the whole month to pass before you conclude how much extra that you have, which could be using the extra amounts from prior months to be budgeted into the subsequent month rather than in the month as they are happening, which has a kind of net effect of your maintaining a higher cash reserves.

There is quite a bit of flexibility in these practices, but I think that one of the main keys is trying to figure out ways to calculate based on minimums rather than mids or even averages, which seems more likely to get you into trouble and stressing during the points when you end up overdoing it when you calculate in overly optimistic ways.. related to your cash coming in and your expenses.

Quote from: Odohu on August 25, 2023, 03:15:36 PM

Quote from: JayJuanGee on August 24, 2023, 10:54:19 PM

[edited out]

Reading down more into your post, it seems you already cleared some part of my inquiries above even though there are still grey areas. I don't know if you are suggesting that a person with could just DCA any lump sum he receive if he does not have a cash flow that is does not have a regular pattern. However, if this is not what you are implying, then I would still love to know the best method of approach for someone whose cash flow does not follow a regular pattern; how to apply DCA for such a case.

I was trying to give several classes of cash that comes in, which includes regular cashflow and then variations on the investment formulas and also presuming that you mostly knew what the minimum amounts of the twice a year bonuses... so of course, the more that your values are not known, then the more that you should be attempting to plug in the more conservative estimates into your regular practices and then maybe manually adding the additional amounts after you see them come in rather than your projecting of them... so there could be some categories that range between $0 and $4k for any particular month, and in those cases, you might need to be more cautious and use the $0, even though you might keep some extra cash reserves and count the $0 in a kind of conservative way that you know that you can cover based on your having had kept a cash reserves, and whether you might feel comfortable counting the $0 as $200, $500, or som e other amount, including a higher amount is within your discretion regarding how much you are trying to make sure that you do not over do your estimates in such a way that you cause yourself to have to cash out of bitcoin at a time that is not of your 100% own choosing...

It would be a tragedy if you are figuring everything out and doing everything right, but then not realize that you are gambling because there might be no way for you to recover from some kinds of cashflow events that could end up lasting for 4-6 months and you had calculated the worse case scenario as only 1-3 months.

Quote from: Dimitri94 on August 25, 2023, 05:11:03 PM

......From this perspective, @JayJuanGee certainly made a wise decision. He diversified a portion of his assets in Bitcoin. This diversification strategy not only help him to stabilized his assets also he is benefited.
......

Just to make it clear, we are not referring to diversification into shitcoins, but instead into various other traditional asset classes such as property, equities, bonds, commodities and cash (or cash equivalents).

Other wise I think that you are correct Dimitri94.. including that someone like me was able to afford to be more aggressive in terms of how much I put into bitcoin because having those other assets was a kind of a back up security blanket. and even the diversification is not 100% going to protect you from volatility and/or even liquidation events, but there is some protections in having other kinds of investments, especially during periods of price crashes that might end up disproportionately happening in one of the assets (such as bitcoin going down 80% or so while the other investments might not have gone down even close to that much.

Quote from: Dimitri94 on August 25, 2023, 05:11:03 PM

Quote from: JayJuanGee on August 24, 2023, 10:54:19 PM

When I first started investing I did not diversify, so it can sometimes take 10 years or more before you are getting to a level in which you might feel that you need to diversify.

Through you, we are getting to know this matter earlier in that case we don't need 10 years.

You do not need to diversify when you first start investing, because you will likely end up diluting your investment, and it may well take way more than 10 years to get to a point where diversification starts making sense.

When I say that I did not diversify in the beginning, I am talking about the 80s and 90s. I probably started diversifying in the late 90s and more so in the 2000s,, so by the time I got to bitcoin in late 2013, I already had more than 25 years investing, and was diversifying in the 15 years or so preceding my getting into bitcoin, and bitcoin ended up adding one more thing that I had speculated to not to be correlated very closely to other kinds of investments that I had at the time that I got into bitcoin.

So for sure there is quite a bit of discretion regarding when diversification might start to make sense, and I had suggested that maybe you need a certain amount whether that is $10k or $20k or maybe 50% of your annual income or maybe even 1-2x your annual income. People are not going to decide at the same points, and surely I believe that newbies are mislead into stupid ideas about the value of diversify when they hardly have shit in their investment portfolios, and they would be better off just focusing on one, two or three things (and maybe one of those is cash and another is bitcoin), and then once they get to 50%, 100% or 200% or whatever threshold that they believe makes sense, for them, then at that point, they might start to see some value in diversifying beyond those 2-3 initial categories that they choose, and again I am not referring to diversifying into shitcoins, even though some people might want to get into shitcoins, and I would caution them to not be investing more than 10% of the size of their bitcoin holdings into shitcoins... but hey people are going to do what they are going to do because shitcoins might be the only thing that they believe that they can afford and they also might think that their $10 per week needs to be diversified.. which is just dumb on the face of it to be fucking around with shitcoins when you already have a small amount, and even $100 per wek is not very much to be fucking around with shitcoins or diversifying in any other way besides bitcoin and cash.

Quote from: Dimitri94 on August 25, 2023, 05:11:03 PM

Considering this aspect, we can certainly be ahead in the matter of diversification.

I think that you just confused the idea to suggest that diversifying is necessary for beginners, when it likely is not... It's a dumb shitcoin talking point... that is designed to contribute towards either loss of money or dilution of bitcoin investment based on distractions.

Quote from: Dimitri94 on August 25, 2023, 05:11:03 PM

I have seen several businesses owner who are making decent money from their profitable businesses but are investing their little money in bitcoin. It is no problem to realize that they are diversifying their portfolio.

They may or may not be diversifying depending on how much extra discretionary cash that they have to invest into things beyond bitcoin.. Businesses sometimes do need to invest in things that might be outside of their kind of business, so that might be adding too much off-topic complications to what we might be trying to discuss related to bitcoin building and accumulating.

Quote from: Onyeeze on August 25, 2023, 10:16:44 PM

When buying bitcoin you have a target and you will not make a mistake not to utililize any opportunity seen in bitcoin market, because everyone who is bitcoin billionaire today purchased bitcoin years back when bitcoin price was very low in price and hold until the price increases before they can sell their bitcoin. Everyone good investors always utililize any steps made by bitcoin. Buying at dip is where profit will be easily make and if you buy higher and sell when the price of bitcoin is low you will lose, so it's good to buy when the price is low and sell higher so that profit will be made and for you to have such you have to hold your coin and be waiting for a bullrun

We are not talking about selling here..except incidentally.

We are focusing on accumulation techniques and long term buying, not selling...even though I know that incidentally we are kind of crossing into a bit of selling discussion, but selling is not the thrust of what this thread is about..