So then if you project your income versus expenses out into the future, you would likely realize that there may well be some potential short-falls and/or uncertainties, so in that regard you have to figure out ways to have cushions in your finances such as emergency funds, reserve funds and floats to make sure that you don't run out of money or need to sell any of your investment (into BTC) at a time that is other than your own complete choosing
This is where most people has failed in their bitcoin investment. Due to greed (norms we humans are emotional beings) but still we should learn how to manage those emotions so that it won't overwhelm us . Most people go all in without no proper planning thinking of even having a good emergency funds to cover some future expenses , inorder to have huge ROI. Which would increase the chances of them running to their investment at the end for survival. Is good to in huge amount of money in bitcoin and also back it up with some nice DCA inorder for you to meet your accumulation goal pretty fast, knowing that you financially capable. But if you know you are managing with your funds same time investing, there's no need for you going all in at ones, there's a reason why DCA strategies is there for you, it would help to accumulate large quantity of bitcoin in a long run and also give you the chances to buy at any price movements reducing the risk .
You may be saying something similar as me, and largely if a person has a handle on what is his discretionary/disposable income, then there should be no reason to spend beyond that and use money that is actually needed for expenses and/or desires.
So it might be tough to be aggressive (and even extremely aggressive) without ending up using money that you actually need which is another way of describing gambling because if you need the money - even if it is further down the road, and you don't have a replacement for it, then you are likely gambling rather than investing and you are less able to withstand the volatility, especially when the volatility might run considerably against you.
Another thing. I am not even against someone maxing out their discretionary income for investing into bitcoin as long that they have emergency funds, reserves and a float, but surely there could be times when people might not recognize the difference between money they have and money that might be part of a float that it actually going to end up being needed for an expenses that is not quite known, so then when the expense comes in, then it is higher than expected, even though it should have had been expected, but if a guy has several back up sources of funds, he can make up for some of the mistakes that he might make in terms of becoming overly aggressive, but sometimes several things will happen at once, and so in that regard, many times it would be safer to maintain a bit larger of emergency funds, reserves and float in order to be able to adapt to such mistakes without losing your investment.
Another thing could be that a person has a friend who he knows will give him work if he needs the work, but he does not want to do that work; however, if he has some mistakes that he makes, then the extra work could be part of his emergency fund.. even though it might only be a part of it, and not serving as his whole emergency fund/backup plan.
But sometimes if guys over do it, and then they get themselves into a pickle and they might not have a choice - because they failed to adequately plan - which planning does not even need to take place in advance, but can happen along side of investing into bitcoin, as long as matters are being accounted, and preparations for prices to go in any direction as well as various aspects of cashflow to potentially have variabilities that are not always known in advance.
but some people might take many months of their savings and even years before they get up to $500 to $1k worth of BTC built up, and I suppose some exchanges are more risky than others, too...so we are not always going to know how much balance to keep on exchanges prior to withdrawing to private wallet, but it makes little sense to me to have a bunch of $10 to $100 transactions that might have their periods of difficulty to have those kinds of relatively small UTXOs
you're right and it won't be safe holding your asset for long in an cex account, Ruttoshi if kucoin is actually 10% of the amount of coin you want to transfer is taken as fee. I think such exchange would be good for those that are new in bitcoin accumulation with the use of DCA . If a user whose DCA amount is as low as $10 , want to transfer their bitcoin that they purchased from their cex account to their private account the fee would be 10% of $10 right. And 10% of $10 would be 1. Which means they would pay fee of $1 to transfer $10 and they would end up with $9 in their portfolio if am not mistaken. So such fee won't put that much impact in affecting their DCAing which would lead to them not holding their asset in cex account For that long..🤷
We do not just consider our transaction fees at this time, but we try to prepare ourselves for the future, and that is part of the reason that I suggest larger UTXOs.. but you can do whatever you like.. if you have a bunch of $10 to $100 UTXOs, you may well end up regretting that in the future if you are not able to consolidate them for a reasonable fee or if they end up getting stuck because they are not economical to spend.. so sometimes there can be reasons to allow the CEX funds to build to a larger size, and if you choose to have lower sized UTXOs you also should consider that there is a certain amount of preventable risk (and cost) in that too... and some times we might be forced to do some things that we don't like also, so that is understandable, and one of the dilemmas in terms of dealing with smaller transaction sizes in bitcoin.