But they would never think about that when they are accumulating for long term since they are not dealing with more bigger risk since by using DCA it eliminates what they have worried since at anytime they can set up their buy orders especially if they understand on to make everything work according to their plans set. People just need to be patience and stick on their target so that everything will goes well on their long term journey with Bitcoin.
The concept is not like that buddy because even though we do it with DCA, it doesn't mean we don't think about risk because in the end, regardless of the method, risk still exists, especially when talking about where we invest. Bitcoin is one of the risky aspects of investment and we must be prepared for all possibilities including loss if we really want to be here.
So whatever we take in terms of strategy in accumulating bitcoin whether it's DCA or buy on the dip or even lump sum everything has a risk in the end.
So that we cannot let go of the word risk from the investments we make so that in the end we realize that being in bitcoin is not as comfortable as thought because even though we will get good things when our goals are achieved but in the end all the risks are clearly very present and we must be prepared with all of that.
Yes, investing in bitcoin will certainly not be free from risks. Because in essence there is no investment asset in the world that does not have risk. So we really have to be aware of this and prepare ways to overcome or minimize possible risks that might occur. Just like in Bitcoin, there are many ways to minimize possible risks that might occur. Like
. Study the bitcoin cycle itself.- Only use cold hard cash to invest(discretionary income).
- Determine a purchasing method that suits your financial situation (such as DCA).
I think with these 3 factors we can minimize the risks that might occur when we invest in bitcoin. Apart from that, talking about DCA, it is true that this purchasing method does not guarantee 100% that we will avoid risks. But this DCA purchasing method only makes us more organized and consistent when buying bitcoin. So basically whatever purchasing strategy is used for bitcoin investment, everything will still have risks. But as I said above, we only minimize it and will never be able to eliminate risk. So the point is to invest according to the risk you are able to face.
All what you said here is very much ok too me here except the statement i made bold in your write up, which is
studying the Bitcoin cycle itself.I really don't think it's necessary to be studying the Bitcoin cycle if you are a long term holder, ok after studying it, and knows how the Bitcoin price behaves in every four years, do you think that it's best to be selling in that period? No.
As a long term holder that have the intention of building a generational wealth overtime, selling your Bitcoin holdings during that time can't have a significant impact on your financial status for ever because you are actually sell for minimal gains which is what traders do, that wouldn't have much impact in their financial status.
Or you don't have the intention of selling it then, so what the benefits of studying Bitcoin cycle, it may have on your holdings on the longer run?
All other risk factor you made mentioned is very much ok too me, but this one here is what I think that it's not necessary, unless you just want to get the knowledge, but I sees no benefit it might have in your holding on the longer run, rather it might tempt you to sell off during the bull run.
I think people who show more interest in studying Bitcoin cycle are Bitcoin traders because they are in for short term hodling but if you are into a long term Bitcoin hodling I don't think is necessary for you to be studying Bitcoin cycle because it may lead you to panic especially if you are a newbie into Bitcoin investment.
My friend is a Bitcoin trader he always study Bitcoin cycle so one day he said I should come let's study the Bitcoin cycle together and we did and discovered there may be a dip in some months to come and me being a newbie in Bitcoin long term investment started to panic I almost sold all my Bitcoin because of that.
Some set of people says the reason why they study Bitcoin cycle is to know when there may likely be a dip so they can save up money and accumulate more Bitcoin, this approach is a very wrong and if you are not careful it may lead you to finance problem the right thing to do is have a backup funds such as emergency, float and reserved funds and if you don't have them you can start building them along side your Bitcoin investment and if you finish building them you can now focus more on your Bitcoin investment, those back up funds you built will help you in times of emergency and you can use your reserved funds to accumulate more Bitcoin if a dip happens.
Studying Bitcoin cycle is just a mental stress and a long term Bitcoin holder should not engage in it because is pointless and of no use to them.[/list]
Nobody can study bitcoin price movement but you can only know about the bear market and the bull market, which year they will occur but for you to know when will be the peak of the bull run or the bottom line of the bear market is impossible and can never be studied. If it is possible, then nobody will invest and hodli. Also traders will always be in big profits and the market will be one sided.
This is why there's no need for you to think you can understand the price movement of bitcoin. Your friend and you that studied the market, and you saw that a dip is coming ahead, what that true because I guess not. Buy bitcoin with your discretionary income and invest with DCA regularly to keep your bitcoin accumulation journey ongoing and focus on how to improve your income so that you can increase your weekly orders and forget about the market because you don't need it.
My thought concerning early investors who adopted bitcoin it’s certain they knew bitcoin is valuable before investing and for those who left investing so early that’s their lose, some features might have attracted early investors but I can’t tell accurately if they knew the growth will be this massive. This is accurate, I can’t compare bitcoin with other coins or product due to value, one must be careful so they don’t get fooled with advertising or promising project, if people invested in bitcoin because of adverts I’m sure bitcoin adopters will be so few because bitcoin doesn’t need such activity.
I doubt that majority of the early bitcoin investors knew that bitcoin will be valued to this extent because if they were aware about the future growth of bitcoin many of them could have invested their fortunes in it. Though i am not generalizing all the early investors because there were some people that also saw that bitcoin can increase in the future and they invested with their discretionary income while having the knowledge that despite that they believed in the future growth of bitcoin, unforeseen circumstances can still occur.
We have already said it often times that bitcoin is a potential coin that needs no publication, announcement or advertisement because it is a self made marketable asset, it only needs growth and the news is all over the internet already of which a large number of the world population are making use of the internet so they will definitely come across news about bitcoin and it's potential growths over the years. When the price of bitcoin got to $100k, the news and excitement was all over the internet so tell me who will hear about it and not develop interests to invest in it.
It was in the early days of bitcoin, that bitcoin needed promotions and awareness to the public for adoption, not now anymore, because bitcoin is no longer a baby and has grown to a teen that everyone can see embrace. That was why you see
Laszlo Hanyecz bought two papa jumbo pizza with 10000btc to make it worth something in the beginning.