Post
Topic
Board Speculation
Merits 2 from 2 users
Re: Buy the DIP, and HODL!
by
BITCOIN4X
on 04/02/2024, 17:15:59 UTC
⭐ Merited by JayJuanGee (1) ,Falconer (1)
~Snip
I agree that it is good to learn those various areas, yet at the same time they can be learned as you go rather than prior to getting started.  Anyone can get started investing into bitcoin with bare minimum knowledge, and they can invest $10 per week while they figure out more specifics, including honing in on their own budget and financial management.  

Now off the top of their head, even if they are not very good at finances, most people have ballpark ideas about whether they can afford $10 per week or not.  Now they might not know how to manage their budget, and they might have a lot of debt and they might be having emergencies every month or maybe several times a year because they are not sufficiently spending lower than their income and/or keeping track of their cashflow versus expenses.. .but these are things that people can improve, even while starting to invest into bitcoin.

Now if they are not exactly clear about the level of their disposable income, they may need to get  more specific ideas prior to starting to invest more aggressively into bitcoin, such as increasing their investment to $100 per week or performing a lump sum investment of $5k... so the more aggressive that they choose to be, then the more they are going to need to know, and also if they build up their investment amount, then the more that they have invested, the more they could end up getting tempted to cash out at the wrong times or to engage in gambling behaviors rather than investing behaviors.. so most people can learn those kinds of things as they go, even though sometimes they are their worse enemy by doing before knowing.. so if the amounts are small enough, then it might not make a BIG difference, so that would mean that they have their risk management under control by not investing very much, but they may fail to realize their potential because they are not being as aggressive as they could be, including likely needs to pay attention to their whole cashflow situation and to make sure that they are spending reasonably within their discretionary income while maintaining some kind of an emergency fund, float and reserves. which becomes even more important as the investment into bitcoin grows. including accounting for the price changes that bitcoin can go through during the period in which someone is starting to invest into it.
JayJuanGee, yes, I agree they can learn with time. Some investors have done it and they have really succeeded in developing their investment skills even to the expert level. It all starts with interest, they can develop strategies and abilities over time, and I admit that. Thinking too hard before starting allows someone to get scared and abandon their intention because they feel they are not ready to take the risk, but starting from something small for example $10 per week or $40 per month can make them more courageous in their steps forward.

The hardest thing here is to control emotions and psychology. There are many external influences that can make an investor change his plans midstream, including friends or family. Sometimes that is the reason why we don't need to tell our friends and family about investment plans, they can influence us not to take big risks regardless of their support for the final decision. Starting small and going big is much better than the other way around.