Quote from: JayJuanGee on Today at 04:24:52 AM

Quote from: BitBakerr1 on April 05, 2025, 09:43:50 PM

Quote from: JayJuanGee on April 05, 2025, 07:12:18 PM

Quote from: BitBakerr1 on April 05, 2025, 06:03:46 PM

Quote from: JayJuanGee on April 05, 2025, 04:47:06 PM

[edited out]

Yes you are right holding fiat in reserve funds for the purpose of buying the dip is like waiting for a dip which is not right because no one can be certain when a dip will happen so wait for something that you are not certain of may turn out to be a waste of time.

Ultimately, each guy has to determine the extent to which he might choose to hold some funds back for the purpose of buying the dip, versus just buying regularly and ongoingly when they get the money. There are trade offs, and surely I asserted that waiting and/or holdng money back is more problematic for newbie lowcoiners as compared with someone who had been accumulating bitcoin for a while, yet sometimes folks do prematurely conclude that they have enough or more than enough bitcoin, even though they should be ongoingly accumulating.

Another thing about buying the dip, there can be some psychological satisfaction in that, yet guys still have to figure if they are going to hold back some value in order to be able to buy dips, whether that is 25% or some other amount that they might choose to hold back.

Well I don't think holding back funds just for the purpose of buying in the dip is right especially for newbies because if they have that mindset they will hold more funds and wait for the dip rather than investing it and before you know it there attention will totally shift from DCA to wait for dip, I think newbies should build there reserve funds and if along the line they see a good use for it then they can use it, it most not be for dip only.
Well what may be enough Bitcoin for you may not be for another person but is right and good we have a high standard for ourselves.

Surely once a guy builds up his emergency fund, perhaps as he continues to build up his bitcoin stash, at some point he will get to a level of emergency funds that he considers that he has enough, and then as you suggested, he can continue to build up back up funds that would fit into the category of reserve funds, and sure, those reserve funds might be multi-purposed, and surely they might have priorities that vary.. such as the guys saving up to buy a new car might have a higher priority than his buying a new phone since he might know that the car might help him with his income or some other thing that he is trying to achieve related to his business... I am just using this as an example, and surely some folks buy cars for income generating purposes, and other guys buy cars for status and/or convenience purposes that may or may not justify the extra expense.. but guys have to make their calculations, and sure if a guy had saved up $2,000 for a new car, and he still need to get to around $3,500 to be able to buy the one that he wants, then sure if the bitcoin price dips, he might have a dilemma regarding what he perceives as more important, his saving up for the car or his buying some bitcoin, and maybe if he already has a car, then he might consider that his need to upgrade his car might not be a high priority, so maybe he takes half of his car savings to buy bitcoin, which delays his ability to get the car by around 2-3 months.. .and those are choices that he has to make and the outcome of those decisions may well not be the same for each guy in terms of his calculating of his priorities.

Yeah everyone has his or her own priority and anyone you think is your priority is fine and using your reserve funds on them is okay.
From your example I think if someone is actually building his reserve funds so he can use it to purchase a car and along the line a dip happens in Bitcoin the only reason he should use part of the money to accumulate Bitcoin is if the car is really not that important and it won't affect his financial status if he decides not to buy it at a calculated particular time it won't affect his finance but if the car might help him with his income or some other thing that he is trying to achieve related to his business just like you said earlier I will advise he goes for the car first because that's is part of his source of income and one can't afford to jeopardize his source of income as an investor.

Quote from: JayJuanGee on Today at 04:24:52 AM

Quote from: BitBakerr1 on April 05, 2025, 09:43:50 PM

Quote from: JayJuanGee on April 05, 2025, 07:12:18 PM

Quote from: BitBakerr1 on April 05, 2025, 06:03:46 PM

Quote from: JayJuanGee on April 05, 2025, 04:47:06 PM

Quote from: BitBakerr1 on April 05, 2025, 11:27:36 AM

DCA strategy is seen as one of the best investment strategy because it gives you the opportunity to accumulate Bitcoin at every price as we all know Bitcoin rise and fall the price fluctuate so using DCA strategy will make you buy at every price high and low.
Using DCA strategy to accumulate will also make you enjoy the process of Bitcoin investment.
DCA also eliminates the pressure of trying to time the market or predicting it.
Lastly by sticking to weekly or monthly accumulation of Bitcoin reduces emotional decision making the DCA strategy promotes discipline in investment, there by removing panic from investors during dip and also making them to focus only on long term investment.

This is all true. Regular buying is good for anyone who is still trying to build up their bitcoin stash and they consider themselves to be needing a lot more bitcoin. Some level of certainty comes from continuing to buy which is that your BTC stash will continue to get larger, even if the BTC price is likely fluctuating a lot along the way, you are still able to figure out how aggressively you are able to ongoingly buy bitcoin at regular intervals no matter the bitcoin price...and perhaps 4-10 years or longer down the road, you will have accumulated a decent amount of BTC and even potentially put yourself at an advantage in terms of the various options that you have because of your having had accumulated bitcoin.. yet your profits are not guaranteed, even if you did everything perfectly.

Yes that's true no one is certain what will come out of his or her Bitcoin investment and that is the little risk there, Bitcoin investment is risky too because just like you said your profit is not guarantee, I think as Bitcoin investor we should also bear this in mind also that our profit is not guaranteed because of the volatile nature of Bitcoin and since no one can predict correctly what may happen it means anything can happen and that why Bitcoin investment is risky however no matter how volatile Bitcoin is if you keep holding there's a great hope of getting profit even if is not certain.

Even though anything can happen, there surely are various probabilities that can be assigned to different future outcomes, and some outcomes have higher probability as compared with other future outcomes. We are not going to think through our probability assignments in the same way, and surely there are ways to prepare for a variety of outcomes without even being correct in the specifics, yet with bitcoin we may well hope that we are directionally correct, even if we might end up being wrong with specifics.

There are also ways to prepare for low probable events without overly preparing for them...so for example, even in 2022, there were many guys who got reckt when the BTC price went below the 200-WMA, which was then around $22k in June 2022, and the 200-WMA ended up moving up to $28k in late 2023. In any event there were guys who were predicting that the BTC price would not go below the 200-WMA, and they overly bet on such outcomes, and surprisingly bitcoin spent a lot of time between June 2022 and October 2023 near or below the 200-WMA.

It was likely a low probability event that ended up happening, but several guys were still able to hold through that period and even keep buying BTC during that time, even though they might have had suffered financially (at least on paper) during that time, but if they held through it and even held until current time, their bitcoin holdings are going to be nearly 4x better off, even today with our dip down to $80k as compared to where they were at during that period and while some other folks were completely destroyed by such bitcoin price moves because of the way that they had set up their bitcoin holdings without properly accounting for possible extreme negative scenarios like that to end up playing out. There are other similar examples in bitcoin's history, and likely in the future there will be additional examples of extreme bitcoin price movements in the down and/or in the up direction.

From your explanation it is clear that the only way to become successful in Bitcoin investment or to overcome the risk in Bitcoin investment is to keep holding till you see is a good time to take profit so for those who set a target of 4 to 5 years you may not benefit because of Bitcoin volatile nature, I believe those who who has been holding from 2013 or 2018 till date may not have target of the number of years they want to hold for, if you set a target of 5 years and getting to that 5 years a dip happens will you still sell or you will keep holding, I think the right approach is to keep holding till the right time and since know one can predict the future or tell what will happen in the future is better to remove number of years target and keep holding till the right time and when is the right time the right time is when Bitcoin reaches a new great mile stone.

Each of us has to figure this out, and surely there have been a lot of guys who sold way too much of their bitcoin way too soon, and surely once we get through a whole cycle of accumulating bitcoin, we may well have to figure out some new ways of evaluating our bitcoin that are based on how far we have gotten in our accumulation and if we want to sell all our bitcoin right away or if we might enter into some kinds of a sustainable withdrawal of our bitcoin. Surely, even if previously, we might have had assessed that we could sell all of our bitcoin, we might come to realize that it would be better if we figured out how to employ some kind of a sustainable withdrawal system, which might mean that we have to continue to accumulate for another cycle, perhaps depending on how much bitcoin we had already accumulated, and sure there could also be situations where we might conjecture that we had accumulated enough bitcoin, yet we still are not in a position to start selling within our sustainable withdrawal, so instead we might transition to either buying dips or perhaps we might consider that we might have a whole cycle of HODLing before we might be ready to transition from accumulation, to maintenance and then to sustainable withdrawal. I think that I try to help with the making of those kinds of calculations in my sustainable withdrawal thread, yet guys are going to have to independently assess if they agree with some variation of my approach or if they believe that they would be better off taking some other kind of an approach towards their bitcoin portfolio management.

You are right for the fact that Bitcoin is still growing it is never advisable that when one has accumulated enough he should sell off all his Bitcoin the best thing to do is to withdraw little by little, my own reason for saying that is that a growing asset like Bitcoin has big potential and you selling all your Bitcoin at once may lead to you regretting in the future, just imagine you have accumulated enough Bitcoin and you decide to sell off all your Bitcoin and at that time bitcoin is $150k and after the sell a year later Bitcoin hits $250k or $300k I'm sure you will feel a little bit of regret in you but if you had sold only some of the Bitcoin you will still profit from that rise with the once you kept.
The point is that you don't have to close your Bitcoin investment by withdrawing all of your accumulated Bitcoin, let it be an investment you should keep growing when you have accumulated enough you may decide to keep holding or you may still decide to be accumulating more maybe only when there's a dip, you can sell but don't sell all, entering into some kinds of a sustainable withdrawal will surely be nice and help us maintain our investment.