You are right when I first came to this thread I was actually mislead by the tittle as I thinking it was some kind of trading and buying when it is low and sell when it is high until I begin to understand it was not actually trading and buying when there is dip, with the rank Z_MBFM in this forum he should have been able to know that this is not a trading thread or where to advice newbies to go into trading and also to buy shitcoins instead of accumulating Bitcoin but think he is new comer to this thread I believe he has learnt something today newbies who has also seen it now will not adhere to his misleading advises.
I think that we will continue to need to remind newbies to the thread, since there are so many people who get the impression of trading as soon as they see "buy the dip," yet at the same time, I think that the thread has a history in which "buy the dip" is the premise, and it even took the OP author (Wind_FURY) several years before he even began to realize that DCA is a better strategy than buy the dip....and that is o.k. too.. since it seems to me that so many folks get lured into thinking that they need to start investing in bitcoin with "a good entry point," and so they do not even realize that waiting for a good entry point is not as good of strategy as getting the fuck started and start buying as soon as they can figure out if they have discretionary income.
In the end, some newbies are going to learn, and some will continue with a trading kind of mindset that they have difficulties to shake...and if we are in bitcoin and if we are wanting to continue to talk to newbies, then we likely have to realize that many of them are going to gravitate towards wanting to talk about trading, gambling and even shitcoins, and so some of them will come around and others will take time to figure out that trading, gambling and shitcoins are either inferior ways to treat bitcoin or to think about bitcoin in those kinds of distracted (and lack of focus) ways.
As long as the title of the thread would remain like that then expect that more new people would think about that what people discussing here is all about trading. That's why its somehow good that there are active people would remind them that what's better approach they could do and correct those wrong thoughts running in their minds.
But if the title will be change according to the topic discuss in this thread then maybe there's no misleading or confusing post will come here and people can easily could go here either to learn about Bitcoin investment and other strategy to use and will not talk about shitcoins and trading thoughts. There's ongoing discussion about changing the title but it didn't happen since many people think about its not important since what needs to pay more attention is those good points shared by people about Bitcoin investment here.
JayJuanGee made a very explicit explanation and I love what he said regarding the OP and the caption which is that the OP might not have learnt about the DCA method when creating the post and that is understandable. To me, the first part of the topic sounds like trading but when combined with the other part that is connected by the conjunction "and" it quickly shift from trading to long time investment. The only thing is that it suggest only one aspect of Bitcoin accumulation process which is buying the dip which is actually a very great method but with the introduction of the DCA method and its undoubted advantage, there seems to be more acceptance for it as it aligns with the personality of a lot of us following this thread.
Surely OP can speak for himself in terms of various nuances that he might want to express, yet I think that he has become quite a bit more value to the idea of both getting started right away with bitcoin investing and then investing into bitcoin consistently, persistently and ongoingly, especially for newbies. OP likely still has some sentiment for the idea of buying on dips, even though he has likely come around to the risks that are associated with waiting rather than taking action, which surely is more problematic for newbie, no coiners and low coiners, and another one of the problems is that some guys who have been accumulating bitcoin for sometime, do not always realize that they are low coiner status and that they would likely be better off to just be buying bitcoin regularly rather than waiting around for dips that might not end up happening.
We can also take any point in bitcoin's history, and we can see that the BTC price fluctuates around a lot and at any point, while we are in the period of BTC price fluctuation, we cannot really tell if the BTC price is going to go up or down, and in the meantime, we still might be receiving our paycheck every week or every two weeks, and we may well be way better off to figure out how much BTC that we are going to buy based on our own cashflow and expenses rather than trying to guess which way the BTC price is going to go, which tends to be almost an impossible task since so many times the BTC price will not really go where we expect it to go (especially in the short term), even if we have been watching it and studying it for several years.
We are not talking about crypto (shitcoins) in this thread, and we are also not talking about trading in this thread. Some guys get mislead by the title of the thread to think that we are talking about trading, when really we are talking about investing.. which is different from trading (gambling).
Yes, this thread is not primarily for discussing shit coins or altcoins. In fact, it may have happened to many people that those who are new might be confused by the title of this thread. When I came here in the initial state I thought it might have been indicated only to buy the dip. Because the title of this thread is done accordingly, that is, it is named by the Dip and hodl which means buy at a lower price.
But those who are able to understand some of the posts of this thread will be clear to them that the purchase of Bitcoin is regularly discussed here, which means that the most DCA Bitcoin investment is given priority. Although there may be a few methods to invest in Bitcoin, all the members of this thread may be most interested in adopting DCA strategies in their investment.
It could be that the title of the thread lures in the traders and then they realize that buying on the dip is an inferior method to the DCA strategy.. If they are a fairly new BTC investor, they might come to realize that they may need to invest into bitcoin steadily and regularly for a full cycle or more before buying on the dip even starts to have a place in their ways of accumulating bitcoin.
Of course, each guy can choose for himself the extent to which buying on the dip might have some place, and I think that many guys have come to the conclusion that if they are fairly early to bitcoin then maybe DCA and lump sum investing are the only ways to go, but then after a while of building up a BTC stash, then it might make some sense to hold some dollars on the side for buying on dips.. while at the same time, realizing that the dips may or may not come, so any money that is held on the side is considered to be balanced in terms of it might not end up getting used.. since the BTC price might not dip to the levels that the money might be tagged.
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What are your thoughts on how we can balance the need to educate newbies about the risks and rewards of investing in Bitcoin with the temptation to oversimplify the process and just tell them to 'HODL'?"
I don't just suggest people merely HODL.
The vast majority of normies take a long time to build up a bitcoin investing, so they tend to have to learn how to invest, learn how to get better at their cashflow management in order to accustom themselves to how aggressive that they are able to be in their bitcoin investment being related to how strong their cashflow management that includes their backup funds, such as their emergency funds and other aspects of their figuring out how much bitcoin they are able to buy on a weekly basis and then whether they might adjust their strategies based on what might be their investment goals and perhaps aligning withe their
9 individual factors.
And to invest for a long time, they have to be so perfect in the field of investment, no matter how big the danger may be in the future, they will not back down from the investment. The basic principle of investment is that you should never tell anyone about your investment. And try to invest from a position where your investment will last for a long time. And if you want to earn
then you must invest in Bitcoin
You don't have to be perfect in the field of investment to invest into bitcoin or continue investing into it for a long term, In fact you just need little knowledge to start and can continue learning about patterns of engagement and best practices as you advance into your accumulation journey. The more you engage, the more clearer it becomes and the more experienced you get. Being practical is the best way to learn. Everybody makes mistakes in their investments, both a newbie and an experienced investor, but you would not let mistakes limit you, rather you be sure to learn from it and adjust your patterns to make-up for the mistakes and continue your accumulation journey with your accumulation target as your main focus. If you wait to be very experienced in bitcoin before starting your accumulation journey, you might even end up not investing because you can never be experienced by just learning series of theories without practical involvements, also before you know it, you've wasted a lot of time you should've utilized to accumulate a good quantity of bitcoin at a better price.
It is true that most people already have sufficient skills and education to be able to invest into bitcoin, yet many of them do not have specific experience investing, so they just need to build on and put into practice skills that they already have, which are things like only investing with the extra money that is not needed for expenses and then trying to invest into bitcoin on a very regular basis, perhaps weekly in order to reinforce the habit and continue to put priority into building the bitcoin investment, and yeah, sure some folks might not be in a position to start their investment at $100 per week, and they might need to start with $10 per week and then figure out ways to assure their abilities to invest more because they have perhaps increased their income, cut their expenses, and gotten into a practice of making sure they have an emergency fund that is at least as large as their bitcoin investment, at least until it reaches 3 months of expenses, and then afterwards the bitcoin investment could be able to be focused on more aggressively... and sure, there may well be some other practices that a person has to make that has more to do with their individual circumstances rather than merely their view about how bitcoin is as an investment as compared with other possible investments.
there are only two viable strategies for those accumulating bitcoin in my opinion.
- you either consider yourself a trader which means you have to be buying the dips and each time you see a good opportunity like the correction after we hit $5500.
- or you are just dumping your fiat every time you have some extra laying around and turning it into valuable bitcoin. in which case it really doesn't matter when you buy specially since that strategy is a long term one and whether you buy at $5000 or $5500 doesn't make much difference when price goes up in long run as it doesn't matter if you bought at $220 or $240 back in 2015 now that price is 25 times more!!!
Some of you ideas are good but DCA is smart plan. I think It's hard to time the market. It's more complex.
My personal opinion is learn first. Without learning, anyone may lose money so learn first then think about trade.
And If you want to hold bitcoin, I believe use DCA is a smart choice but spend all the money at once is risky.
Market don't move in the straight line so Watch the market will be wise. No one can't guess future prices by looking at past ones.
Beginner investors into bitcoin do not need to learn about trading, and they don't need to stall in terms of getting started investing into bitcoin. They can start with $10 per week and then work their way to higher levels as they become more comfortable with their finances.. learn as they go with skills and knowledge that mostly they already have.
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I agree, using DCA and holding Bitcoin for long time is the best way but everyone need to know the difference between shitcoins and Bitcoin. Most shitcoins go to zero.
But, I think it's okay to sell sometimes. Taking partial profits can help if you need money for living expenses.
You can do whatever you like, but you are likely going to end up doing much worse if you are failing/refusing to consider bitcoin as a long term investment of 4-10 years or longer, and yes, it is usually going to be more than 10 years to really get the benefits of bitcoin. Those who invest into bitcoin for ONLY 4-10 years are short term investors, and likely should ONLY be getting out of bitcoin (or unable to commit to longer than 10 years based on health and/or age considerations).
So one of the problems if you continue to take profits from your bitcoin you are going to end up failing to get the compounding effects in regards to leaving your money in bitcoin and keeping on investing into it until it gets to a large enough size and has compounded in value for a while.
Another problem with your thinking about cashing out and taking profits is that you likely are thinking that you are smarter than everyone else and you are going to trade, so you believe that you are going to end up with more bitcoin because you are going to sell them higher and then buy back lower, which truly at that point you are running the risk that the BTC price might not go back down and also that you might be removing yourself from the proper mindset of focusing on persistent, consistent, ongoing and perhaps even aggressive BTC accumulation...
So yeah, you are free to do what you like, yet it seems problematic for you to believe that you are going to be able to time the market and to be greedy about an asset that is amongst the best (if not the best) of assets that we have ever had. We have a great asset, and you are going to fuck around trying to trade it because you are greedy and you want more, but you may well end up with less because you end up selling too much too soon and the BTC price ends up going up rather than down. It doesn not seem worth the risk to me, but again you can do what you like.