A lot of those who bought that type might be lured by the news and hype of the bull run of 2021. Most of those people joined Bitcoin because they heard it was making people rich, so they rushed and bought hoping to sell and make money quickly. When the price reach the peak around $69,000 and started retracing, some were advised to hold more that it would retrace. It kept dropping and taking longer time and the assurance of retracement became ineffective, so most of them sold at loss and left. It may not be all of them that sold but it is very rare to see those who started their Bitcoin buying around that time that is still holding till date.
Starting to invest in Bitcoin is something one should have clear intentions and plan for before starting to avoid running into troubles. It is good that a lot of ideas have already been discussed here, those who are still not clear about certain things should just do little reading.
Starting to invest in Bitcoin is something one should have clear intentions and plan for before starting to avoid running into troubles. It is good that a lot of ideas have already been discussed here, those who are still not clear about certain things should just do little reading.
Through this I came to know what Bitcoin long term investment is and how DCA benefits you in the long run. If you think of inveting in Bitcoin at one price and looking for quick return then there are not much chances of success.
Bitcoin will be a success if you are looking to invest over a longer period of time. Even Lump Sum investment is good if you are willing to invest for next 4 to 5 years. Both DCA and LUMP SUM are good options if you are willing to wait for longer period of time.
Here is my calculation from previous post that show comparison of DCA vs Lump sum.
I just have a small working on DCA vs LUM SUM Profit.
DCA:
If you invest 100 dollars per week into bitcoin starting from Dec 27, 2019 to Dec 27, 2023. Then your total investment is 20900$ in Bitcoin and ROI after 4 years will be +119% or your total investment goes up to 24870$
LUMP SUM investment and HODL:
If you invest total 20900$ in Bitcoin on Dec 27, 2019 and HODL for 4 years then today your ROI will be +505% or investment goes up to 105690$.
https://dcacryptocalculator.com/
Likewise if you go to https://dcacryptocalculator.com/ and play with figures then you will notice that Lum sum investment also gives good result if you are willing to HODL for longer duration.
DCA:
If you invest 100 dollars per week into bitcoin starting from Dec 27, 2019 to Dec 27, 2023. Then your total investment is 20900$ in Bitcoin and ROI after 4 years will be +119% or your total investment goes up to 24870$
LUMP SUM investment and HODL:
If you invest total 20900$ in Bitcoin on Dec 27, 2019 and HODL for 4 years then today your ROI will be +505% or investment goes up to 105690$.
https://dcacryptocalculator.com/
Likewise if you go to https://dcacryptocalculator.com/ and play with figures then you will notice that Lum sum investment also gives good result if you are willing to HODL for longer duration.