Any new investor or low coiner that has a $90 discretionary income, and decided to invest only $10 every week on bitcoin as the amount that he is using to DCA, and keeps $80 in his reserve funds for the dip is not a serious investor and is not ready to build his bitcoin investment in ac fast pace. It's bad to keep too much fiat currency with you all in the name of waiting for the dip that you don't know when it will come.
You will also miss out the good chance of investing aggressively with DCA a neb increase your portfolio faster. The funny thing is that the dip may come or not and before you know it other investors portfolio have grown to a certain height and yours is still very small because the dip does not come all the time, which is why regular DCA is good to keep your accumulation journey ongoing with persistent, consistent and aggressively.
If I was in your shoes, and want to set up my reserve funds, I will use $50 for every week DCA, and keep $25 to build my reserve funds to a certain height, and after that, I will use all the $80 to invest aggressively based on my financial scenario playing out at that moment. It's wrong is you can invest aggressively and you invest in a whimpy way. Your focus when investing on a long term should be how you can keep buying bitcoin continuously, persistently and aggressively or frontload overtime by looking for other means of income to increase your discretionary income and not to be keeping our discretionary income to accumulate bitcoin in a slow pace.
I agree with you here. $90 and $10 man such investor will be seen to be an unserious investor or a greedy one. Only an investor who is not ready to invest properly into Bitcoin will invest only $10 out of the $90 discretionary income. Unless he has other places he is investing into it. Maybe he is diversifying his portfolio so he only choose to invest 9% of his discretionary income in Bitcoin but that is not an ideal way to invest.
For newbies that just started its either they should focus on Bitcoin on the early stage rather than diversifying into several asset with the same frequency they are using to DCA in Bitcoin. After they must have had a good amount of Bitcoin in their portfolio they can choose to diversify. Diversification should come only when they are properly settled with the first Bitcoin investment goal if not they will only end up having little amount of Bitcoin in their portfolio. Meanwhile on the contrary they are jeopardizing their investment gradually thinking they are investing the right way.
I get your point but I don't see any problem in starting small, remember that bitcoin investment is for every class of investors, if $90 is a steady income he earn on a weekly basis I don't see any problem in starting with 9% of it, 9% could be what he's willing to spare, everyone have other issues they're going through asides investments so you should consider that as well, I believe that the further he continues investing he'll get more experience and either cut down expenses or figure a way to invest more than 9% without going into debt.
I would've mentioned diversification if you haven't talked about it but since you've, I'll just add to what you've said cause it's another area of consideration, it's better for one to atleast start investing a penny now that the price of Bitcoin is still cheaper, maybe he might be diversifying a large part into other cryptos or trading rather but with time he'll get to understand that investing into Bitcoin is more profitable and focus more on it thereby pumping more cash into Bitcoin investment than others, starting a portfolio with constant investment of 9% of one's income for 5 years is better than not investing into Bitcoin all.