It is not the amount that matters in bitcoin investment but how consistent in accumulating, it is what matters most.
I agree with all your points Rockstarguy, and surely it is better to invest consistently and whimpily into bitcoin rather than not investing into bitcoin. It is also better to get started investing into bitcoin, and perhaps even investing into bitcoin in conservative ways in order that we get both get used to investing into bitcoin, but also to make sure that we are shoring up various aspects of our personal cashflow management practices, which includes putting various backup funds in place and maintaining them.
It seems that once our cashflow management systems are strong, then it is going to be better that we are able to work up towards being as aggressive as we can with our bitcoin investment without over doing it, and yeah, even though bitcoin is a great asymmetric bet to the upside a $100 per week investment is going to be better than a $10 per week, especially if a person has enough discretionary income to invest more into bitcoin, they may well be better off to figure out ways to work themselves into being more aggressive rather than less aggressive (or even whimpy) in their bitcoin investment. Many times over the years we have seen folks who are whimpy in their bitcoin investment, but like you mentioned many of them were inconsistent, so consistency does tend to help folks to prioritize their bitcoin investment and to put practices into place in which they would be able to work towards being more aggressive in their approach to bitcoin investment rather than ending up later regretting their level of whimpiness.
I agree with you, it is very important for every investor to adopt the right strategy in Bitcoin investment. If you want to profit from Bitcoin investment, you must maintain patience. You cannot be successful just by investing, you have to manage the investment properly.
And we know that the only best method in Bitcoin investment is the DCA method. However, you will get effective results from the DCA method only when you keep DCA continuous for the next 10 years or the next 3 cycles.
Because Bitcoin is a volatile currency, even if it fluctuates a lot in the short term, it has a high probability of being valuable in the long term. That is why investors must be patient enough and follow DCA continuously, only then will there be a high probability of getting very good results from Bitcoin.
It is easy for every investor to start investing, but it is very difficult to actually maintain your investment for a long time. Basically investors face a lot of challenges after starting the investment which sometimes leads to selling their investments even in reluctant terms. If an investor cannot hold his investment for a certain period of time after making the investment then I would say that the investment is worthless. Even if an investor adopts the DCA investment strategy in terms of investment, the investor should adopt certain strategies in making this investment permanent. For example, the amount of money that the investor will regularly spend for investment, he should keep some amount of money left over so that he can meet his needs with the remaining money when he has financial needs. But he will not need to sell his investment when he has the remaining money. Those who can invest in this way actually have permanent investments.
it is not difficult to maintain your investment for a long period time, yes it's a normal thing for an investor to face some challenges that's why it is advisable to invest with your left over cash (discretionary income) after settling your expense, because if you want to invest in BTC to hold it for long period of time you have to first of all settle you needs as human you should feel the value of needs, also have an emergency fund and other sources of income it we help you to maintain your investment for a long period of time without being tempted to sell them off in short term.
In an investment there are bound to be obstacles, both from a mental and financial perspective. Because sometimes we can't avoid a problem, because we are only ordinary people who can only plan. Regardless of the bad situation, sometimes even having an emergency fund still won't solve the problems you are facing. Because the money needed for urgent needs may exceed the emergency funds we have. For this reason, the only way to cover this urgent need is to sell existing assets, namely bitcoin. Then, mental obstacles will certainly be quite heavy if they happen to us when we are carrying out our investment.
Part of strong cashflow management is putting systems into place so that we never get to a position of even having to tap into our emergency fund, and of course not tapping into our bitcoin investment either.
If we do not have enough money to invest into bitcoin, then we should not be investing. Surely figuring out ways to improve our income and/or to cut our expenses are important too...
but if it ends up that we do not have enough discretionary income to cover all of our expenses, then we don't have enough to invest into bitcoin.
Surely, I am an advocate of getting started investing into bitcoin as soon as possible, yet I am also an advocate of living within our means and building up our cashflow management systems.. and part of investing is preparing for the future, and with bitcoin 4-10 years or more down the road, which means putting systems in place in order to achieve those objectives and never having to touch your bitcoin investment prior to your own choosing to do so down the road.. many times 10 years or longer.
Sure there are instances when actual emergencies come such as getting hit by a bus or otherwise becoming physically and/or mentally unable to earn income that is sufficient to support yourself, yet our own poor cashflow management and/or our poor planning should not be making us more likely to have emergencies of our own making.. we should be building systems to make us robust to not having emergencies.. which sometimes can take a while to build up our abilities to earn money and to cut expenses.. and surely there are some folks who are not able to do that or to figure out ways to have discretionary income for 4-10 years or more, and likely those people should not be buying bitcoin because they would be trading/gambling rather than investing.
Like being impatient when you see the price of bitcoin going down, and finally selling the bitcoin because you are afraid it will go down further.
If the price goes down, you continue to buy, and sure some folks only have their weekly allowance, and they might not have extra money for buying on the dip. Selling should not be part of the formula, since you are only selling once you have accumulated more than enough. .which could take 4-10 years or more to get to such status.
Or you can't wait to sell your bitcoin because you have already made a small profit.
We are not talking about trading here. you seem to be talking about trading, even though you are using the term "investment"
For some investors who cannot control their patience well, these two things will certainly feel very difficult to overcome. That's why when we invest, like it or not, we have to have a stable income, we have to have a strong mentality and we also have to have an emergency fund that continues to be added every month. Because if, for example, from the start we invested in Bitcoin, the nominal amount of the emergency fund we had was not increased, I think this would be an inappropriate action. Because as I said above, this aims to take care of when there is an urgent need that requires a lot of money.
If someone is starting out investing into bitcoin and they do not have any emergency fund, or they ONLY have a small emergency fund, then they can build their emergency fund and their bitcoin investment at the same time. Surely it is going to take a person a lot longer to build up both his emergency fund and his bitcoin investment if he has low discretionary funds, so it may well be important to try to figure out ways that he can increase his income and/or cut his expenses. Sometimes if a person is young, they might need to spend money on their own job (and skills) training so that they can improve their income possibilities, and some of the investments into oneself might have to take priority over investing money into bitcoin, and so each person can decide if they have enough discretionary income to invest into bitcoin in terms of money. They can also invest time and energy into bitcoin, yet it seems better to also be investing value into bitcoin, though people have to figure out their own reasonable balances.