Quote from: Jewan420 on Today at 03:23:11 AM

Quote from: Justbillywitt on October 24, 2024, 05:23:59 PM

Quote from: Jewan420 on October 23, 2024, 07:16:09 AM

We often get too pragmatic while investing, and don't plan for the future at all. Proper planning is essential to make an investment successful. Even that plan should be from the beginning to the end of the investment. Every investor should consider having a back-up fund and it is better if this back-up fund is more than the amount invested. Because you can divide this back up fund into several parts and prepare different funds for different periods. Be it a reserve fund or an emergency fund, you prepare the funds depending on your needs. But I consider the emergency fund a must. An investor should always be prepared for the unexpected.

The reserved funds don't necessarily need to be bigger than the money invested. Provided you have as source of funds. In most cases, you don't even necessarily need to have the reserved funds set up in place before starting to invest in bitcoin. It is something you can gradually build up even after you made your investment. The most important thing is for you to get started with your investment. Waiting to build up a backup funds or reserved funds before starting your investment is not a wise practice. But often times we see some individuals or groups of individuals who thinks that without the reserved funds being in place, that one can't start investing. Get the investment started right away and figure out everything else down the line.

@Justbillywitt, Why are you mistranslating my sentences? You're misunderstanding 2 places in my sentence, it's better for a back-up fund to be bigger than an investment fund. Here you are not forced to keep increasing back up funds against your circumstances. I want to stand by my statement now.

I am not getting what you are pointing at, because it is not compulsory that your back up funds should be bigger than your investment funds for you to be able to invest the right way. You can use the same amount to buy bitcoin weekly with DCA and at the same time use the same amount to build up your back up funds for 3-6 months of your monthly income. For instance, my discretionary income is $100, I can use $40 to DCA every week and use $40 to build my emergency funds till it gets up to 3 months of my monthly income before, I can start buying bitcoin aggressively with $80. However, everyone is free to use whatever amount that will be comfortable for them to build their emergency funds to the right size.

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But you need to plan before you start investing.

Of course, a proper planning is needed before anyone can venture into his bitcoin investment, otherwise, you will sell your bitcoin investment before time, because you need to figure out how much of your discretionary income you will need to invest in bitcoin weekly for long that will not put pressure on you and how long you will be investing 4-10 years and above, and to reach you bitcoin target, because there should be a target.