Post
Topic
Board Speculation
Re: Road to 100k?
by
JayJuanGee
on 10/09/2024, 05:53:27 UTC
[edited out]
This advice is not worth it, it has a focus/vision but lacks investment dynamism and safety, what is the ultimate goal of Bitcoin price moving up in multiples did not happen, what will be the fate of the investment? So you are wrong to have said we should disregard the price of Bitcoin, if we do that, what type of investor are we? No matter what you think of Bitcoin, you should always have your factor of safety, your investment safety should be your number one goal, and this is why you need the right risk management as you invest.

Tell me, where is the risk management if you do not consider the price of Bitcoin to plan the investment rightly? The DCA investment approach is certainly good as it would help you to average your earnings and risks, but it will be painful at the end of the day if you hardly gain anything from your investment strategy due to the inability of the asset to perform. This is why the price is key. You should also learn the market pattern to assist in speculation and know the right time for the investment (DCA or not).

You seem to either not understand what is DCA or you are purposefully convoluting DCA with ideas of trading.

The concept of DCA is not new, and there are people who have been setting automatic DCAs into assets for 5-10 years or longer, and they don't look at price at all for years, and they merely presume (or hope) that the asset is more likely to go up rather than down in the long run.

As you likely realize no investment is guaranteed, and surely folks pick investments because they believe that they are going to end up being profitable in the longer run, yet they might have a lot of uncertainties about how the asset might perform in the short run.

DCAing, whether into bitcoin or any other asset, is pretty much blind in regards to price, even if there is a preference that the asset is ultimately going to end up going up or being in profits when it comes time to cash in or even to start to withdraw from it.. and yeah, it is true that some investments do not end up performing in a positive direction, even if there may well have had been ongoing investment into it and eve confidence in the strength of the long term investment thesis of the asset... bitcoin is no exception, even though bitcoin seems to be amongst the best of long term investment assets, if not the best, currently available, and yeah, the strength of bitcoin's investment thesis might become weaker with the passage of time, so anyone DCAing into bitcoin could ultimately end up losing money rather than making money.. but the mere fact that there are possibilities that bitcoin does not perform as expected does not mean that it should not be invested into currently and there also are no needs to get caught up on monitoring bitcoin's price for years and years and years, if someone prefers to just automatically DCA or even manually DCA with some monitoring of price but not letting the price affect their DCA amounts, since their DCA amounts are more likely dependent upon how much discretionary income that a person might want to put into bitcoin whether weekly or some other relatively regular period of time.