Post
Topic
Board Speculation
Re: Buy every dip!
by
laijsica
on 22/04/2025, 07:27:50 UTC
Consistently doesn’t really have to be a process of buying with huge amounts that is why it is necessary to always have a reserved funds, and emergency and floating funds. This can really help us to dive into the market and enable us to be consistent and aggressive to buy smart.
In all your consistencies and aggressiveness in your purchases, leave your emergency fund out of it, plan your purchases around your discretionary income, manage your cashflow properly so that provisions for your consistent purchases are made without your emergency fund being utilized in the process. This is necessary for your holdings to survive longer. Taking chances with your emergency fund is only endangering your portfolio.
exactly I agree with you on this one no matter how consistent and aggressively an investor want to be in accumulating bitcoin he or she should never  use his or her emergency fund to accumulate bitcoin, because using your emergency fund to accumulate bitcoin is a very wrong approach to bitcoin investment and it can endanger your bitcoin investment and make you sell in lost when emergencies arises and there is no emergency fund to handle those emergencies, which  is investing mistake, only accumulate bitcoin with your discretionary and avoid been tempted to tap into your emergency fund to accumulate bitcoin aggressively or consistently,  for that is the best way to approach bitcoin investment.
Yap, but sometimes you may come across some Bitcoin price that you are less likely to face any difficulty in increasing the holding more aggressively and holding it for the long term but a part of the backup fund can be used. Suppose you have a one year or two year backup fund that is ready for the long-term cycle and if the dips event occurs in between aggressive buying can greatly positive affect the increase in holdings.
It makes no sense for any newbie to be holding excessive funds in dollars rather than investing into bitcoin, so why the fuck would they be holding 1-2 years worth of cash?  It is already a struggle to get back up funds between 3-6 months, an there is no reason to build up back up funds prior to investing into bitcoin.

Maybe if a person has been investing for a whole cycle or more he might have had invested a year into bitcoin and have a year of back up funds, but even that sounds unrealistic and overly skewed in the back up funds direction.

You are right. It is mostly not possible for newbies investors to raise backup funds and we should be mindful of this reality. I had recommend having a backup fund for 1-2 years to execute aggressive buying in bearish sessions.Which was probably my wrong decision. But I should have to realized that keeping a portion of discretionary income is a struggle for new investors. As investors become more experienced in investing, they need an emergency fund to run long term Bitcoin deposit. We should stick to the process of driving long-term accumulation while avoiding investment deviations.