Quote from: ginsan on August 02, 2024, 08:55:47 PM

Quote from: Odohu on August 02, 2024, 08:30:08 PM

~~~~So, while we focus on buying, we should also make plans for how to protect the investment from sudden liquidation.

I quoted the last part (liquidation)

That's a big meaning for investments made in futures, isn't it?

You can use the term "liquidation" in more contexts rather than merely talking about futures. Odohu used the term liquidation in the context of your making a mistake and then having to sell your bitcoin (or your investment) at a time that was not of your own choosing.

I know that many of us (if not mostly all of us) are not using leverage, so sometimes in trading and in margin trading a person could get liquidated also when the BTC price moves against his bet (whether he bet long or he bet short), so when you use leverage, sometimes you can lose your money (or your BTC) much faster than you would be able to lose it in situations in which you ONLY buy spot price.

I think that a lot of us frequently proclaim that if you do not use leverage and you are buying bitcoin regularly, then the most that you could ever lose is 100% of what you had invested - yet if you are engaging in sloppy personal cash management, then you end up increasing the kinds of scenarios in which you might be able to lose your money because you end up forced into selling your BTC because you were sloppy in your own cashflow management. None of us should want to be forced to sell some or all of our BTC at a time that is anything other than a time of our own choosing.

Quote from: ginsan on August 02, 2024, 08:55:47 PM

As I have implemented, I buy on the spot exchange and withdraw it to my personal wallet so there is no such thing as liquidation in the investment I make.

You probably are correct, except if you mess around with your own personal finances, and if you don't have an emergency fund, reserves or float, then you might end up in a situation in which you are forced to sell your BTC.. . but if you are engaging in sound practices with back up funds, then it is less likely that you would end up in a situation of liquidation.. yet none of us should feel exempt from sloppy practices, and sometimes guys might even overly spend their discretionary income and take out loans, and then if he is faced with loss of income or extra unexpected expenses, then he could end up getting forced into a situation in which he has to sell some or all of his BTC at a time that is not completely of his own choosing.

Quote from: ginsan on August 02, 2024, 08:55:47 PM

Maybe I don't understand or in other words I'm still a layman, isn't Liquidation included in trading because the smaller our margin, the closer we will be to Liquidation.

So the conclusion here is of course that we also have to have a way to continue holding Bitcoin in any condition and if we implement this successfully then we will see an extraordinary process with satisfaction when we reach the target in the investment we make.

Also agree with your opinion that we don't have to monitor charts every day because we are not traders. And also the purchases we make do not need to analyze charts because we are not traders. Yes, in essence we continue to buy and that is a DCA strategy that runs every week.

From your description and explanation, it seems to me that you largely already understand the ideas of liquidation, yet at the same time, it seems that you were getting distracted and confused by the exact word rather than appreciating how it was being used, and sometimes we need to be more flexible with our undersrtanding of various scenarios in which someone might use words in a context other than what you had been expecting the word to be used..