The first and foremost goal of those of us who invest in Bitcoin is to hold our investment for a long period of time. We all have a tendency to buy bitcoins when we see that the price of bitcoins is high then we wait for bitcoins to be low. Maybe many people think this is the best time to buy Bitcoin. But you mentioned that you don't wait for the price of Bitcoin to fall because it can rise again. If you don't care about Bitcoin price going up and down then you should go for DCA.
If you start investing using the dollar cost averaging method, you don't have to worry about the price of bitcoins going down or up. You can buy bitcoins anytime and save them for investment. So set a fixed average price and hold accordingly by buying bitcoins.
People who focus too much on the rise and fall of Bitcoin prices, perhaps these people are not long-term investors, but medium or short-term investors. So for them, the rise and fall in prices that occur in Bitcoin really determines their profits. In contrast to long-term bitcoin investors, they will definitely not focus too much on observing the market every day or every week. Because long-term investors have goals over a long period of time. So the current increase or decrease in the price of bitcoin does not have much impact on them. So long-term investors in bitcoin, look at the market when they want to buy, or when they just want to know the price development.
And DCA is probably a strategy used by many long-term investors in bitcoin. Because with DCA the accumulation of money in bitcoin becomes regular without having to look at the price of the bitcoin. Apart from that, the DCA strategy is also very useful for bitcoin investors whose income is not too large. So in essence, bitcoin investment uses the DCA strategy, giving hope for anyone to be able to invest according to their abilities.
Yes, that's right and I think there's nothing wrong here, you explained in simple terms what the two investors who used two analyzes, namely technical and fundamental, did in the accumulation they did. Fluctuations are a normal thing that happens in the market because after all that is the nature of the market and that will also determine whether you will end the investment session or plan with a profit or a loss. On the other hand, as you said, people who focus too much on the ups and downs of market prices are short-term traders, yes maybe that's true, but I think we can also say the same thing about investors who have long-term planning, or what that means is Long-term investors also do the same thing, but perhaps over a different period of time.
Actually, everyone has their own choice regarding which one they will choose between being a short-term or long-term investor, there are always advantages and disadvantages, and for short-term investors, perhaps they should be able to focus more in terms of seeing current market movements. This occurs because they have a short-term approach which is usually vulnerable to being aggressively impacted by market fluctuations, which means potential losses are more likely to occur. Meanwhile, for long-term investors, I think they will not feel too tense by seeing the current fluctuations, because they have long-term planning, even though we don't know what will happen to bitcoin in the next 10 - 15 years, but if we look history has happened, bitcoin has had a significant increase, so I think it is not wrong to suggest that it is better to have long-term planning when you want to engage in accumulation. And you have said the right things regarding DCA which is a good alternative to help achieve maximum profits in the future as long as you can remain consistent in your allocation.
