Post
Topic
Board Speculation
Re: Buy the DIP, and HODL!
by
Obim34
on 04/01/2025, 18:27:40 UTC
If you really understand the DCA strategy and you have been using it to accumulate bitcoin for a long time, as you said, you will understand that the DCA strategy allows investors to accumulate bitcoin both in the bullish and the bearish seasons, which is one of the reasons why most investors adopt the DCA strategy when they are investing in bitcoin. Accumulating bitcoin in the bear season alone will not guarantee you a bigger profit in your bitcoin investment; the things that will determine how big your profit in bitcoin investment will be are how much money you have invested in bitcoin and how long you were able to hold your bitcoin.
I have a strategy for this which worked. If the bear session has just started, do not buy bitcoin. If the bear market worsen, you can start accumulating bitcoin. If bitcoin fall far more than expected, that is indicating that you should buy huge. The money I suppose to use to accumulate is divided into 2 each time which I will later use to buy bitcoin at once later if the price fall more than expected.
I hope you will be able to detect between corrections and the early part of the bear season when it happens. You might be expecting a continuous DIP to happen meanwhile the market is just getting ready by taking a back step correcting to move further price marks. No one here will be forcing you to go aside what you plan to step into your investment but ideally everyone always has generous ideas to share that will improve your set of investment. You can't wait too long predicting on several dips and corrections happening in the market, DCA can be implemented with purchasing heavily during the DIP, this combination of both strategies can imply a better portfolio than just depending on taking only the DIP.

How sure can you tell which DIP is worsens than the other?

How do you convince yourself that the market is about undergoing corrections and not DIP?