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"Invest what you can afford to lose" is pretty basic when it comes to investments, but sometimes I don’t follow that strictly because I’m very confident in betting my future on Bitcoin. For me, it’s all about long-term investment, adding little by little until I reach my goal. I don’t focus on the price much, so I stay relaxed, even during bullish runs. I’ve learned to control my emotions, and even when the market turns bearish, it doesn’t faze me at all.
That's the basic rule of investment, but somehow lots of people downplaying it since many think that high risk high reward. That mindset is somehow not recommendable since somehow we are tolerating those entities to take advantage with our wants to earn money. That's why aside from having guts to invest on a risky asset we must also be aware about the risk and any possible best decision to take to minimize the risk we might encounter thru the whole process of our investments.
Good thing bitcoin is here and reliable for long term, its just people need to have patience also knowledge so that they would able to know how to deal with this coin and find reliable ways like by using good strategies which is helpful for investor to have smooth ride with their investments.
I like how you added knowledge to your point because through knowledge one will know that the time of dips is not the time to panic rather a time to continuously buy more Bitcoin because then it is cheaper to get. Knowledge will enable one understand that the price will always recover when the time is right. It is those who lack experience that often panic when price is going down because they failed to realize that the price does not go in one direction forever, rather is also retraces to represent the general behaviors of the market participants. So, good knowledge of the market dynamics, price cycle, corrections and consolidation and the phases of the market and others are very important for the sustainability of the investment.
It is also a thing of knowledge for one to be able to know how to many the finances to be able to set aside the emergency funds as well as the money for daily needs if the investment is to be protected from sudden sell off. I learnt a lot here and that has changed my investment approach significantly.