I always feel sorry for those people who invest in Bitcoin, doing it well and at a low price. But then they are forced to sell Bitcoin because there is no money. Although they would not have sold it in any other case.
For someone who has a long-term investment plan in bitcoin, and doesn't have another side hustle that pays them daily or monthly will be the one to sell their bitcoin at a loss price because they need money to solve a problem. But for Someone who has a long-term investment plan in bitcoin and a side hustle that pays them, will not be forced to sell their bitcoin at a loss price, compared with the individual who doesn't have a job or side hustle.
It is appalling that some investors are no longer investing in bitcoin with the money they can't afford to lose. They are not investing money for their needs just because they heard of the bull run is coming and they forget to save up some for the rainy days when problems come
This is for any long term investment - there is a need to have more than enough cashflow, so the invested amount is coming from extra money that is not needed..
Yet, on the other hand, as you mentioned, there are people who are using money that they need for future expenses, and they expect that the BTC price is going to go up, and so therefore, they can use that money that they are going to need in the future in order to buy bitcoin today at lower prices.
There is nothing wrong to do this (gambling) with small amounts of money, but there is also a need to have enough cashflow coming in to be able to pay for expenses.. and surely sometimes, someone might have a small portion of their investment (such as less than 10% or there might be various ways to measure how to put limits on oneself) that they put into a kind of bet that the price will go up and then they will have a plan to cash out at a certain price or within a certain timeframe that it taking chances, but maybe they are taking chances, but not so much chances that they are not able to cover their little gambling inclination.. yet part of the problem is getting carried away and doing too much.. which is not always clear about going too far until an emergency situation comes and there is a lack of preparation for the emergency situation because too many of the emergency funds were put at risk.