This is absolutely right i do advice when investing in Bitcoin always invest in what you can afford to loss don't ever use emergency funds or borrowed money or ready the volatility of bitcoin has said it all that any one depending on short term hold it is a risky movement and an
financial obligation
Using one's emergency fund to accumulate or buy Bitcoin is just like going to commit suicide because definitely you won't go any far in the investment. Anyone who uses his or her emergency funds to invest,
the volatility of Bitcoin will humble the investor because that is not the right way to invest in Bitcoin.surely using emergency fund to invest in bitcoin is not advisable as that will be creating a loop hole that will affect such person if not replaced as soon as possible, but surely this got nothing to do with volatility as you have said @sotelorene. volatility is a normal casse when bitcoin rise and fall. the only problem in using emergency fund instead of discretion, is just exposing yourself at risk of not having enough emergency fund, which if any unforeseen contingency should occur, it will prompt you to dip dive into your bitcoin hodling which is not ideal for any bitcoin investor.
Why would a reasonable Bitcoin investor even invest with his emergency funds?
Doing that is as good as removing the extra layer of security to your holdings, because if it's not replaced very quick and a serious emergency arise, is either you temper with some part of your holdings or they are all gone, depends on the size of the emergency situation that arises.
So in other not to be trapped in such mess, it's best a Bitcoin investor don't even entertain the idea of using his or her emergency funds to invest, even though their is a serious dip in the market, it's a stupid risk that might bring an end to your holding journey if you are not lucky enough.
Lastly , as we are investing, we shouldn't forget to be adding up to our emergency funds, like investing in it also because their are different sizes of emergency situation that may arise in the future, if your emergency fund is not big enough to carry the financial burden that may arise, just know that your holding must be tempered with, so it's very advisable that we also invest in our emergency funds so as to have the capacity to withstand any level of emergencies situation that may arise in the future.