Quote from: Minor Miner on Today at 05:46:19 AM

Quote from: JayJuanGee on June 11, 2024, 09:18:56 PM

Quote from: Ruttoshi on June 11, 2024, 06:19:12 PM

I don't know if I am right but I feel that only the DCA method can be used to invest in bitcoin and build your bitcoin investment gradually, and at the same time build your emergency funds from the left over of your discretionary income for those new beginners who are not earning much and don't have bulk cash available to use in startingtheir bitcoin investment. This is why I love the DCA strategy but if it can be mixed with buying at the dip when you are prepared, you will get a better result.

The ONLY way that you get better results by mixing buying the dip with DCA is if the BTC price actually dips. If the BTC price does not dip, then you do not get better results. There have been many times in bitcoin's price history that it did not dip further, so person's employing buy the dip in those circumstances may well not have had been better off than strictly employing DCA.

Part of the reason that DCA is so effective is not because it guarantees that you will have better costs per BTC and the fact is that you may well end up with higher costs per BTC by employing DCA - yet at the same time, you are able to figure out ways to be as aggressive as you can with your investment amount into BTC from your discretionary income - which is quite a good thing for no coiners or low coiners to strive to get a stake in bitcoin and not to preoccupy themselves with short term moves in BTC price.

But to be able to mix buying the dip with DCA we need more money, we must always have a fiat reserve available to buy bitcoin because no one knows when bitcoin will fall.

That comment hardly makes any sense.

You have whatever budget that you have, and you have to figure out how you are going to invest based on the budget that you have and also based on your other individual 9 factors, which happens to include how many BTC that you might have had already accumulated, and for sure the more BTC that you have accumulated, then the more luxury you will have to wait for buying dips rather than just buying BTC regularly and as soon as your money comes in.

Quote from: Minor Miner on Today at 05:46:19 AM

And preparing additional capital can be a challenge for many people.I agree that this strategy will yield better results but it will be more complicated because it requires more capital and there will be risk if bitcoin does not fall further as you say.

Either you have additional capital or you don't.

If you earn some kind of income and the income keeps building up becuae you are waiting to buy the dip, then that is a choice that you have.

If you happen to have some assets (such as stocks or property or bonds or something like that), and you might want to choose to consider selling some of that and buying bitcoin, but you don't necessarily need to sell such other assets, but the selling of some other assets could be a form of capital that you are optionally able to generate.

Another thing could be that you receive a bonus or you inherit money or you win the lottery or you rob a bank (I am not advocating criminal activities), so there could be various ways that you might come upon a lump sum of capital that you could decide to buy bitcoin right away with all or part of it or you might choose to allocate some of that capital towards buying the dip and/or allocating it towards DCA purchases... You have discretion in those cash management regards, and surely there can be advantages to having capital or coming across capital, but there is no need to presume that anyone has any extra capital that goes beyond his/her regular monthly income (and even monthly income can have a considerable amount of variance and even expenses can have a considerable amount of variance... and the existence of such variance contributes towards variance in discretionary income that anyone might have).

Quote from: Minor Miner on Today at 05:46:19 AM

So, I think we should be consistent and loyal to the DCA strategy to make our bitcoin accumulation easier and not make us more stressed because of bitcoin volatility.

DCA works so well because it can be tailored to the level of aggressiveness that any of us would like to employ, and surely once we start to accumulate a decent size of BTC stash, we might want to consider if we might want to modify the way that we do DCA including incorporating buying the dip and/or how we might consider the employment of lump sum purchases of BTC in those times that we might come accross extra cash that we have to decide how we are going to spend, invest and/or save it.