Post
Topic
Board Speculation
Re: Buy the DIP, and HODL!
by
Tmoonz
on 07/02/2024, 12:19:19 UTC
I don't really think that buying a fix amount of Bitcoin when talking about DCA is proper because to my own understanding, if you really want to buy through the DCA method, then you have to buy with a fix amount of money, weekly or monthly irrespective of the current price of Bitcoin, but if you want to buy a fix amount of Bitcoin, them you might  spend more or less depending on the current price of Bitcoin, but the major challenge with this strategy is that you will be forced to tamper with you emergency fund that would have been for your upkeep till month ending when you are expecting money from another source.
The truth is that is actually very difficult and challenging to  constantly buy a certain amount of Bitcoin on a weekly or monthly basis through DCA method reason been that the price of Bitcoin use to be very volatile and the possibility of meeting or buying at the same price as the previous week is not certain and perhaps it could be that the price has gone up way beyond the price of your last buy so perhaps that's were the ability to adjust to Bitcoin accumulation pattern comes in, so perhaps you can still accumulate with your normal weekly budget even if the amount of Bitcoin you will have will not be up to the last accumulation but however if you have other spare funds that doesn't have any budget for, then you can adjust the accumulation pattern a bit.

I don't agree with you guys, your most emphasis on price fluctuations are made upon upward trend whereas there can also be a downward trend of price fluctuations which will become more advantage to the investor who has decided to accumulate a certain quantity within a specific period of time. There is a prvoverb that says before a blind man says he is going to stone you he already had a stone in his possession. It shouldn't be seen that anyone venturing in to Bitcoin investment is poor there is still investors that can afford to buy Bitcoin even if the price makes x3 or more the current price that is an assumption based on if their is an upward trend in price fluctuation what about when there is a downward trend?

In my own opinion I dont see any difficulty using the dca method in terms of accumulating Bitcoin on a particular quantity either weekly or monthly, before an investor will have this decision definitely he must have got all his plan worked out by making provisions for his personal needs emergency and reserve fund and also have factored in the price fluctuations as a principle factor of Bitcoin functionality. I think this whole thing is apparently and typically based on individual financial capability.