Post
Topic
Board Speculation
Merits 1 from 1 user
Re: Buy the DIP, and HODL!
by
Perfectbaby
on 10/05/2024, 21:00:42 UTC
⭐ Merited by fillippone (1)
Aggressive approach may sometimes bad if you don't know what you are doing but there are times that its good to execute this especially if our knowledge is enough and you have confident that there's something good will happen on your bitcoin investment in long period of time.
Like I said agresive approach is not bad expecially if you are capable of it. And there is no special skill or knowledge required what really matters is where you get you source of income from. You may not be well knowledgeable about bitcoin but provided you have a higher paying job that can be able for you to increase your investment strategy, you are good to go.  Let me say a person who receive $1300 as a salary may be investing $50 on DCA weekly or $100 depending on his programming. He may as well increase it to $300 weekly if he has a higher paying job of $4000 so it may seam to be an aggressive investment but it's not a bad one because he is capable to invest and have enough in his discretionary or reserved and floats. When it can be addressed as a bad aggressive Investment is when he is aiming $1300 and investing $200 weekly.
Investment are made according someone capacity to accept risk and lost, anyone who investing around $200 weekly is depending on their level of risk and not about what they are earning per months.
Before you are called a HODLer, it is assumed that you are already a rist taker who eventually keep investing and HODLing for a long term without thinking of either bearish and bull market. So Increasing your level of weekly investment by $200 surely depends on your level income or salary and there is no doubt about it because if you don't have enough income generation you wouldn't increase the level of you btc portfolio or increase the level of your discretionary. Though most people may have enough amount to invest more but chose to invest little as to avoid risk, but i doubt if those are truely HODLers ofcus such people are traders who looks for opportunities to buy at slight dip and sell the rips.

I disagree with you that those who have more than enough funds to invest in bitcoin but choose to invest only little are traders. It is just that they don't have the insight of what the power of bitcoin will be in future based on value, because if they know, they will happily invest aggressively instead of in a whimpy way. Those who invest whimpishly will always regret in the latter when bitcoin price hits a certain level.

Let just take for example as you had already explained above, someone earning 1300$ per month and aiming at investing $200 per week, this implies that 200$ x 4 (4 weeks as 1 month) is equal to $800 and he is now left with $500, to me there is nothing wrong with this and I don't see it as aggressive approach because since the balance can foot his bill or sustain him while the next salaries comes and what we must understand is that the money his is using for DCA is not a wasted resources and can be easily gotten back if he wants provided that bitcoin prices is on positive side. What I easily sees as aggressive investment is when someone receives salaries and wanting to put all into DCA and later run began to dip hands into investment for his upkeep and as a reserved funds.
Agresive Investment is not only putting all your fund in bitcoin without having reserved and emergency, sometimes investing %80 of your fund in bitcoin without considering the level of your discretionary and emergency fund can as well be seen as agresive or over doing. like as I explained above if you received $1300 and you invest $200 each every week, making a total of $800 per month left with $500, that is a bad agresive Investment and surely the person is over doing it. because your bitcoin Investment should be don in a manner that you will not over do it. It will definitely affect you or Put you in a tight corner. If you Invest $800 on bitcoin how much will you use for feeding and running family expenses? Or how much will you set aside for emergency and reserved? Surely if you over invest in Bitcoin, the $500 available amount you will not be enough for  emergency and reserved. Definitely it will affect your bitcoin HODLing. Though it depends on you and how you can be able to manage your family. If its you alone you can cope but if it's a large family I doubt if you can manage. The point of the matter is that don't over invest what you can not afford to lose that will make you to sell you bitcoin HODLing down the road because of not having a discretionary fund to back you up.
You can invest aggressively when you have the funds to do that, the most important thing is that you don't over do it, if not it will affect you, and you will end up selling some part of your bitcoin to conver up some emergencies that will arise. Your emergency funds is good to be in a good position size because that is what will determine how aggressive you will be in buying regularly weekly or monthly.
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Like I said whomever that is doing this investment should be able to know that he has what would sustain him or her at the cost of investment, people are investment according to their risk levels and anyone who has chosen a best way that is suitable for him should carry on with his investment, in as much as he understood the situation and knows when to tackle risk and needs then what more bro? Like me I invest according to how I could accept my risk level I don't over investment where I have to put myself in a tight corner or having to start dipping hands in my previous investment is a really bad practice in my opinion and can never make a good investment.

He must set aside reservation or cushion fee that would be sufficiently enough to carry out their emergency needs without them having to go touch their investment to keep pushing their lives.