I understand that there is quite a bit of data in the charts and some of the ideas regarding the monthly spending limitations of the accounts are somewhat discretionary, but starting out by sticking with standard 4% per year withdrawal rates and even presume a kind of perpetual ability to withdraw BTC under this kind of system with a kind of underlying assumption that BTC prices (especially the 200-week moving average) will continue to go up at least 4% per year on average, so even if there are some down, years the account is not materially getting depleted in terms of its dollar values (or whatever other utility we might be measuring our cost of living).
It seems like a safe assumption at 4%, which would be the classic rule because at least in the next few cycles it is normal for Bitcoin to continue to give a much higher return than that, although I for one would expect the returns in percentage terms to gradually decrease as the cycles progress.
I am focused on BTC in this example, but of course, there could be various other assets that comprise someone's investment portfolio and maybe even cashflow, so surely I am not against any kinds of Gresham Law types of considerations in which there would likely be spending from other assets prior to spending from BTC, so if the accounts are not spent to the max of their limits, then whatever BTC remains would just continue to sit in the accounts with probably a need to consider whether to maximize withdrawal or to sometimes even hold back on withdrawal or to maximize withdrawal which is also partially already guided by the parameters and assumptions contained in the chart/table.
Well, in my case, and I think I am by far not the only one, Bitcoin is part of my wealth building plan which also has other assets, but I think it is better to focus here on sustainable ways of withdrawing Bitcoin as I am sure that in the forum there is too much heterogeneity in terms of wealth building and having this plan one can get an idea and adapt it to his personal situation.
For example, let's suppose that in a market downturn, apart from Bitcoin we also have money in an index fund or pension plan that we can withdraw to the S&P 500. Surely we will be more interested in withdrawing from the S&P 500 because it is normal that when the market rises again the Bitcoin will give us more returns than the S&P. Then in a bullish market we may be more interested in withdrawing from the Bitcoin portfolio to diversify the risk and not have too high a percentage of our net worth concentrated in Bitcoin. I know that there are people in the forum who have 100% in Bitcoin or a very important part of their net worth but in my case I prefer to play safer even at the cost of sacrificing a little profitability.
Here I am only considering the case in which both Bitcoin and the S&P rise and fall in unison, but if this does not happen, and we have a fall in the S&P and the portfolio in Bitcoin rises in price, or conversely, the decision of where to withdraw It's clear.
I too, like Fillippone, am more focused on increasing my stash, or rather my wealth in general but I am interested in the topic as information for the future.