Post
Topic
Board Speculation
Merits 1 from 1 user
Re: Buy the DIP, and HODL!
by
Troytech
on 20/05/2024, 23:16:12 UTC
⭐ Merited by JayJuanGee (1)
Well, from the beginning of your first comments, I understood the whole thing that you were saying, and I understand your points clearly. If a trader is buying at the dip, he's hoping to sell at a high price because everyone into Bitcoin (trading or not) wants to make a profit. In Bitcoin trading, everyone who's doing it must always keep their eyes on the market to make sure what is happening so that they will be able to know if they will sell or not. Buying a dip is another method of investing in Bitcoin and both traders and investors can use that method to buy Bitcoin. Traders are not different from short-term investors because those people can not hold for a long term.
The difference with the DCA method of buying dips is because, with DCA, you can buy at every given opportunity (whether Bitcoin is high or not), ones you have the money. But as you are using the DCAing strategy to invest in Bitcoin, then you eventually meet Bitcoin at dip time you should be able to grab that opportunity and buy as much as you can.

A trader can start trading during the dip but won't have the patience to hold the Bitcoin he bought because he's not an investor of Bitcoin but a trader. I advise anyone that's ready to make an investment in Bitcoin to use the DCAing strategy, because regardless of the price of Bitcoin, one can still invest any amount they want and can achieve what they want if they always DCA as planned from their portfolio (just like I have said earlier). When you are buying Bitcoin at the dip, you won't be given the opportunity to buy it always because, as Bitcoin's price is fluctuating, sometimes it goes up, and sometimes it comes down, but using the DCAing strategy allows you to buy even when Bitcoin is up or down in price.

I don't actually think it's proper to be mentioning trading in this thread, because I believe that this thread is meant for Bitcoin investment only, so I suggest you take your trading discussion to the right place.

And as for Bitcoin investment and accumulating process, I believe that the DCA accumulating strategy is the best among them all, because you will buy in your own convenient, either weekly, monthly, and what makes it very special is that you can also buy the deepest part of the deep, which the person relying on lump sum method might miss out due to the fact that he thought the price of Bitcoin will go deeper, and as long as you are a long term holder, which have accumulated a very good stash of Bitcoin, you are definitely going to be successful in your investment.


I believe in terms of methodology to accumulate Bitcoin we can't really tell wether one using DCA will be more aggressive in accumulation than another using lump sum. DCA opens room to buy at every market situation but having a good stash of it depends on how each individual accumulate wether aggressively or conservatively.

Yeah we all need to hold for a long term and also view Bitcoin investment in long run but that doesn't certify wether anyone is gonna be successful. Some might take time to be in good profit or even reach maturity stage, so if you wanna be successful then accumulate more with a target and not allowing room for exhaustion.
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I don't really know if your reply is in line with the conversation but speaking in terms of which method allows us to be more aggressive I can hardly say cause aggressiveness is a choice that each of us have to decide on our own and whether its buying on dips, DCA or lump sum, aggressiveness has to do with how much we allocate to Bitcoin and how often we buy Bitcoin, a lump sum investor can be also practice aggressiveness if he wants to, I think the concept of beign aggressive is about not investing less than you ought to or is able and also not more than you should, your free to correct me if I'm wrong.