Quote from: Samlucky O on Today at 12:11:50 PM

Quote from: JayJuanGee on July 16, 2024, 06:11:56 PM

yea truely lump sum is another easy way of investment strategy that allows you to invest once at ago and never stress up to regularly buy bitcoin through DCA. though that doesn't mean that some folks will not preferably chose other strategy against lump sum too like buying the dip, because I know that not everyone will like to combine the 3 investment approach all together. some may chose DCA while some will chose lump sum, and some will only like buying the dip. so each person will chose the investment approach that is easy for him and which it is not a must that everyone will follow all approach, but for a better investment goal all investment approach is needed for a better acculturation process. why I chose DCA as top priority is because regular buying of Bitcoin through DCA is like getting addicted to invest and saving from unnecessary expenses. you always recite it as a poem in your head to invest all the time, it gives you that impression and constant zeal to always buy regularly Instead of wasting some money for fun on weekly or monthly basis. because there some persons who recieve a huge amount in a contract or some business deal and invest in lump-sum for interval of 4-10 years and stop investment. where as they have a well paying job that gives them a regular payment every week or month which could have been used for regular DCA and buying the dip but they think that they have money in bitcoin which they have a 4-10 years plan, and may spend some money recklessly because they didn't deciplined themselves for regular DCA. I can say that DCA is another way of self deciplined that allow you to make judiciously use of your money without spending it any how and indirectly creating wealth for the future or for our children

This made me remember when I was debating with a friend about whether to DCA or Lump sum and which is the best strategy. We couldn't come to any agreement because both have several advantages which means they are both good strategies but it depends on the investor to make a pick to use for Bitcoin investment. I agree that we should consider our allocation in Bitcoin and whether the risk tolerance is suitable to continue using the strategy we are using. And it is not a criterion that we should stick to one strategy till the end. It is allowed to make necessary changes to a different strategy when we are not comfortable with the previous one.

Having high or better average returns is not the point of DCA. The point is instead to reduce the risk of a large loss and/or reduce the variance of the portfolio. It is important to assess how well it accomplishes that objective when we compare it to a lump sum. DCA is not the only way to accomplish a good portfolio. If we can live with the x% possibility of it being the best strategy then we can as well believe that the Lump sum can yield good results when pratised accordingly. What is important at the end of the day is that we adjust our portfolio to suit our level of risk tolerance.

Quote from: Samlucky O on Today at 12:11:50 PM

~snip

You're making the same pyramid style while quoting. And I believe Jay has corrected you on this as it makes it difficult for one to find what you are referring to.

I believe this thread will be useful for you - [TIPS] to avoid pyramid quotes (for Newbies)