so looking at it very well you notice that bitcoin price may rise above 70k or fall below 50k, say I said that is because the price is unpredictable
It is not completely unpredictable. It has mostly been going up since 2010 (when it first got a price), and yeah there have been periods of down, but you will must consider that the trajectory has mostly been up, which justifies considering getting some in case it catches on, and then once you get some just continue to buy it... . there is no reason to believe that it has stopped in its overall trajectory to go up, even if there are likely going to continue to be various corrections (and volatility) along the way.
Perfectly said @JayJuanGee because looking at the way Bitcoin price is moving I think is really good for one to Accumulate more Bitcoin in our portfolio because just as you have said earlier if we check since that time till today will would notice that you are right, because even as at yesterday Bitcoin price $56 but just this night the price have increase to $63 and if we check it now any one who buy Bitcoin as at yesterday that the price was DIP you we see that you have make small profit today that price is up, and I still have strong feeling that Bitcoin will go more higher in the future.
I doubt that we should be measuring our BTC investment in short time frames, and surely if we measure in 4 year or longer time frames, then we likely are going to be doing quite well, even right now.
I guest he doesn't know the time frame he should have use to describe how volatile bitcoin would be. Parhaps he just have a short sightedness on Bitcoin. and according to his explanation the discripancy is indirectly pointing on trading even though he didn't explain all what he meant.
@cityhunter34 When talking about Investment your goal should be focused or Chanelled on a long cited goal, not a mear change in price within 24hours. Bitcoin volatility is beyond few hours change in price. Your goal should be a long time plan of 4-10 years minimum and 20-30 years maximum. by then you may have reach your exit time. When you may have accumulated alot and may need less of accumulating rather taking out %10 of your investment. So don't focus on a short time. Always make sure you have a discretionary income that will help you way up, to keep you up to date by constantly buying weekly through DCA strategy. That will keep you out from selling your holdings or ripping off your investment premature. Because not having a discretionary income will slow your investment plan down, just like someone going to war without a weapon.
Sure it is good to have a longer time line, and that was part of the reason that I outlined the examples to show that the longer that we invest, even if we might start out at a market top, we still might well end up still putting ourselves into a good position.. even though surely it is not guaranteed, but we can see how our BTC portfolio is growing over a timeframe in which we might continue to buy for 4 years or more and then perhaps reassess if we might need to make any changes to what we are doing or just keep buying regularly.
Checking From your analysis, I see a slight difference in price from the first and second. The first person who did his DCA at the beginning or early 2021 peak and late october 2021 peak, there is a slight different. Showing that time intervals of investment really matters to every investor.
Even if an investor has the same strategy, he might end up buying bitcoin at a higher price and then a lower price, so even a guy that got into bitcoin earlier could end up having a higher cost per BTC than someone who came in later, but in the longer run, he still would end up having more BTC, so the time in the market may still end up being better, even if he ended up with a bit of a higher cost per BTC than someone who came in later. At the same time, there is ONLY so much value in comparing to other people, but a guy could still compare to himself at time one or time 2, and surely I am not much of a proponent for waiting, even though I know that sometimes, there may need to be adjustments to how much is bought based on anticipations of price conditions, including being able to buy BTC as the price is going down, if that might end up being a guy's point of entrance into BTC.
If the investor who invested at the late october peak 2021 baught when the first person baugh he could also have made him self alot of profit but now you can see there different clearly $17500 and $13600.
Sure. How much invested is part of the formula, and another part of the formula is how much BTC each of them has.
The first guy has 0.5386 BTC and the second guy has 0.4489 BTC. and sometimes we still cannot change the facts and/or the prices in which we end up accumulating BTC, and there may well be cases in which we acquire a bunch of BTC, and then the price goes down, and then we see some later entrants who are able to buy more BTC than we have for lower prices.. so yeah, we cannot necessarily avoid some of those kinds of situations, and we just need to do our best in terms of building our own stack so we feel as if we are prepared the potential of UP and also for down too.
Those are two different figures. It is important to buy btc at early stage than allowing it to increase to an extent people become confused of not knowing when to buy expecially the confused investors. The more people buy BTC when it is low in price, the more we have accumulation power of having more bitcoin in our possession. which implies that in the future the amount you have will keep on multiplying in your portfolio. Let's say someone baught like 10 bitcoin when it was like $1k each at a total of $10k by now his rate of accumulating will reduce because he has taken advantage of Bitcoin low price. By now surely the person may be in harvest time depending on his time program of selling.
Yes. A guy could have bought various BTC earlier and ended up with $10k invested and 10 BTC and an average cost per BTC of around $1k, and he could choose whether or not to keep investing or if he believes that he has met his BTC accumulation goal and whether he is in a position to change his BTC strategy to something else. Holding BTC gives options, and it may not be a great idea for anyone to just start cashing out his BTC in large amounts, so personally I believe that there are ways to sustainably withdraw bitcoin through either time based withdrawal strategies or raking strategies that involve selling as the price goes up (I talk about both of those kinds of strategies in
my sustainable withdrawal thread), yet a person still needs to figure out how much of an income he might want to get from his BTC in order to conclude whether he has enough BTC to start to employ sustainable withdrawal or if he wants to keep accumulating for a while or if he might just want to wait for a while between accumulation and when he might start to employ some other kinds of practices.