Post
Topic
Board Speculation
Merits 1 from 1 user
Re: Buy the DIP, and HODL!
by
Mayor of ogba
on 08/02/2024, 20:44:08 UTC
⭐ Merited by JayJuanGee (1)

Maybe you will be able to figure out how to sell BTC in order to accumulate more BTC, yet it seems to me that in your earliest  years of BTC accumulation you should not even try selling BTC to try to accumulate more, and you should merely be using various kinds of buy strategies including DCA, buying on dips and lump sum buying.  The more BTC you accumulate the more options that you have, and the more BTC you accumulate, you can attempt to assess the status of your own BTC holdings (including how much they are in profits - presuming that they are in profits) and also how much they are worth compared to other kinds of investments (which also may well including your various currency/cash holdings) that you have.


Yes ! One shouldn't sell BTC to buy more BTC, fine  it might seem like a strategy but not a good one because we are dealing with future event and you might end up losing out of your BTC  which is opposite of what you are expecting .
However, there are good strategies out there and it has been listed by JayJuanGee and  what fits  the analogy of accumulating more btc without selling  most is buying  the dips as you don't have worry about the sell limit , you should just keep on buying the sell
Anyone selling his accumulated bitcoin when the price of bitcoin is high to buy back more bitcoin at a low price is gambling with his bitcoin accumulation plan, and he or she could miss out on owing bitcoin. For instance, let's say Johnson bought 0.03 BTC for $1200 when the bitcoin price was $40,000 and sold it when the bitcoin price got to $45,000, and he made $150 in profit. For Johnson to buy that same amount he sold, he will have to wait for bitcoin to dip below $40k before he can buy, and if the price of bitcoin doesn't dip, he can't buy back above his sell price because he will be at a loss, and this could make him not own any bitcoin. If Johnson wants to buy back above his selling price because he thinks the bitcoin price will not dip, he will not be able to buy back the same amount of bitcoin he sold because he is buying back at a high price.
Quote
Buying the dip is not bad, as the thread conveys buying the dip and hodl. But if an investor mistakenly missed the dip, then waiting for the next dip is not a good strategy; instead, he should dca. If he continues to wait for the dip, there are two things involved: he may end up missing the dip at the end or successfully target the dip and buy. Still, there is a high tendency that one may miss the dip. I think these people, always waiting for the dip, are underestimating the power of dcaeing consistently; if not, I don't see any reason why they will prefer to wait when they can buy some percentage regularly and risk-free. The good thing is that a wise investor can dca some percentage, and whenever he has more from his income, he can keep some percentage for buying if it eventually dips. By so doing, he won't complain if he misses the dip because his crypto is doing great, as he acquired much through dca.
Why wait for the bitcoin dip? When there is a strategy that allows you to accumulate bitcoin with the DCA strategy and still buy the bitcoin dip, which is dividing your investment fund into two equal parts and using the first part to accumulate bitcoin at regular intervals with the DCA strategy and the second part to be used to buy the bitcoin dip anytime there is a dip.