Post
Topic
Board Speculation
Merits 3 from 2 users
Re: Buy Buy Buy or Sell Sell Sell?
by
Justbillywitt
on 10/11/2024, 13:16:47 UTC
⭐ Merited by Frankolala (2) ,JayJuanGee (1)
If you ignore those important ingredients which are having a good backup funds and good source of income before you becoming aggressive in your Bitcoin investment you will surely dip hands into your Bitcoin investment, so before you become aggressive in your Bitcoin accumulation you need to have a good source of income and a good backup funds.
Now when we talk about aggressive Bitcoin accumulation is in different ways one may choose to use more than half of his discretion income to accumulate Bitcoin weekly or monthly which is not the way he those before and the other person may choose to use all his discretion income to accumulate, now when you have a good backup funds and a good source of income you can cover up and it won't affect you but if you don't have them it will affect you and it may lead to you dipping hands into your Bitcoin investment.

It is important to have a backup fund so that the individual does not have to sell his Bitcoin investment in the event of an emergency. Moreover, many investors keep backup funds in their investments with the DCA strategy, essentially for buying in lump sump. When they face dumping periods in the market, they take the opportunity to buy more bitcoins with the backup funds at lower prices.
Yes it is important to have backup funds when investing in bitcoin, but that backup funds are not meant to be utilise for Lump summing or buy any fucking dip. The backup funds are specifically kept for solving future emergencies. Your investment is for a long time and in course of the years that you will be holding your bitcoin, you are going to experience some unplanned emergencies along the line. So it is because of those unforeseen emergencies that may occur that's the reason for keeping the backup funds.

If you use your backup funds for Lump sum buying, then you have exposed your investment to possible sale, because when you will be hit by emergency you won't have money to solve it, and at that time you will have no options than to sell your investment to settle the emergency. You can lump sum when you receive extra funding maybe from the sales of inheritance or when you receive funds from other business deals. But just know it that your backup funds is not meant for Lump sum buying or buying the dip.

It's actually not a problem if you end up having to sell your Bitcoin because of an emergency. I've done it before, and I have no regrets, although if I had held on I would have made a bigger profit.
if you have a reserve fund that can be used to back up emergencies. But sometimes when we have that kind of fund and see Bitcoin going down, we can't resist the urge to add some to our wallet. It's a human condition and is often experienced by investors.
That you sold your bitcoin because of an emergency doesn't make it the right thing to do. You sold your bitcoin for emergency because you neglected some of the things you needed to put in place after you started your bitcoin investment. Had you had an emergency funds in place there wouldn't have been any needs for you to sell of your bitcoin. You can say here that you don't have any regrets for doing that here, but deep down you actually regretted doing it. The right approach for a successful bitcoin holding for a long term, is to start building up your emergency funds and reserved funds along side your bitcoin accumulation. If you have your emergency funds in place, you can always take money from there and fix your emergencies without having to sell your bitcoin way too early or in a premature stage.