Post
Topic
Board Speculation
Re: Buy the DIP, and HODL!
by
I_Anime
on 07/02/2024, 20:57:31 UTC
You are missing something here, the  the idea behind the DCA method was designed to meet the need of those investors who wants to owe bitcoin but don't have the money to finance their desired level of bitcoin holding at once.  
I don't agree with you, the dca strategy is a strategy that anyone can adopt regardless of their investment sizes, even individual with substantial capital benefits from it.
Putting it directly to you that the major aim of the dca method is to offer a structured and disciplined approach to navigating the unpredictable market condition for investors accumulating Bitcoin for long term purposes other enormous advantage of the dca are secondary . Therefore an investor can buy a fixed amount of Bitcoin weekly or monthly without disrupting his other needs depending on his financial capability and a well structured plan towards his investment, including making the availability of emergency and reserve funds and taking care of his personal needs.
I think you both actually got a point. At first what justybillywitt is trying to say is that most investors and not financially capable in purchasing a big quantities you of bitcoin (like 1 bitcoin and above) so inorder to meet up they would start practicing the DCA method to start accumulating the quantities they are capable of accumulating That period so as time goes on their portfolio will grow massively to that state of accumulating such large quantities of bitcoin without buying it ones. But another advantage sti attached to this DCA method during the process of using the DCA method in buying in different time or fixed time interval. You would end up accumulating bitcoin in different prices not like just buying ones in a fixed price at that moment. But in DCA method your buying prices varies either you buy when the price increase or dip. Most time when you buy at certain price and it's dip you won't be In much loss because of the different price you where accumulating. But in a scenario where market experience a dip and you buy the dip using DCA method and it dip again and you still  buy the dip with same method, so whenever market turn greens (rises) you would endup making huge profits than just buying ones that why still even though most people can afford more than one bitcoin they still exercise the DCA method to accumulate more in different prices.