I have one thing going on in my mind for quite long i.e. DCA is also a form of lump sum investment. Like if a person is investing 10$ per week then he is like investing a lump sum of 10$ in week one and then a lump sum 10$ in week two and so on. DCA is also a kind of accumulation of Lump Sum investment that are made over a period of time. It's my own interpretation, it may or may not be correct.
You also have a valid point that anyone who invested a huge money several years ago and is ignorant about Bitcoin that he didn't invest at later stage, such are just hypothetical assumptions. The person who is inve. sting a lump sum money into bitcoin is well aware about Bitcoin and will continue to invest in Bitcoin over a period of time.
Okay, so you're saying DCA is like making a bunch of small, separate lump sums. Kinda true, but it's different. Lump sum is ONE big investment. DCA is many small ones, spread out. It's like the difference between dumping a bucket of water all at once versus slowly pouring a glass at a time. Both get you water, but DCA is less risky. Anyone who put a load of cash in Bitcoin years back probably knows the deal and is likely still adding to it, just like you should be. It's all about stacking sats, whether big or small.
Yes, it is fair to say that DCA can also indirectly be said to be a lump sum purchase. Because quite a lot of people don't have a lot of cold or free money and invest bitcoins with the DCA method every week. This could actually be said to be a lump sum purchase at that point. Because basically the person no longer has any cash because he invested it in bitcoin that week. Maybe next week the person will get more money, because let's say the person who invested in DCA gets a weekly salary. However, because this person routinely buys bitcoin every week, this can be said to be DCA.
Because basically, after I researched further what DCA is, it turns out that DCA is like saving money. However, quite a few also think that in carrying out DCA we have to collect the same amount of money at each allocation time. So if you look at these factors, when doing DCA we are required to have a fixed income and the same expenses to continue to have a regular discretionary income. But I wouldn't worry about this, because the most important thing is if we do DCA on bitcoin. While we have cold money we continue to accumulate that cold money into bitcoin.
And talking about a lump sum purchase, I think if you say it's a one-time investment. Maybe this is true, but if for example that person regularly buys Bitcoin, I think that person could be said to be doing DCA too. So basically the purchasing method when investing in bitcoin can be said to have the same thing. But still there are differences.