Good news for those who were little bit worried about the drop in the price of Bitcoin - today the price of Bitcoin has increased by about 5.8% and the current price is $93614.00, which is a 7.1% increase compared to the last seven days. Those who have idle money or have some extra money left after paying all the expenses for living or have any source of income from which you regularly get some extra money that you can invest in Bitcoin in the DCA (Dollar Cost Averaging) strategy, whenever you want, you can buy Bitcoin - this way your investment will gradually build up. Which will be a big investment in the future.
Hitting $94,000 is what we could be proud of seeing happening this time, because i must confess of not expecting it this faster, when there is lots of buzz on the internet already that the reason behind the fall is Trump and am still wondering if the same reason could be on why it pumps to this stage, but to be honest, i must wish all the loyal holders a hearty cheers on making some profits from this recent pump, they can still do more better by reinvesting when the market dips and then they continue in this pattern seizing every opportunity to invest and hold till they break even and make profits on their investments.
Hopefully guys are not trading their bitcoin, but instead accumulating bitcoin for a whole cycle or maybe two cycles, unless maybe they had been able to frontload their bitcoin investment and/or perhaps reach a state of overaccumulation early in their bitcoin investment journey.
It tends to take a long time to build up a bitcoin portfolio, and trading bitcoin (or anything else) is not necessarily going to help to build the bitcoin investment portfolio faster, but instead both put the bitcoin quantity of holdings at risk and also end up inspiring waiting rather than ongoing, persistent, consistent, regular and perhaps even aggressive buying practices, and so with bitcoin it has historically been better to just keep buying it without fucking around with selling and building the investment rather than to be employing waiting strategies, and selling is also problematic for anyone trying to build up a bitcoin portfolio because the point of selling may be to buy back more cheaper, but if the price does not end up going down, you end up with less bitcoin than if you had just kept buying, and then you also become a waiter rather than an ongoing buyer.
Accumulating BTC overtime could indeed be seen as a solid strategy, especially when you plan is to build a solid portfolio within the long term.
Trading/gambling can indeed also be tempting, but it comes with lots of risks, the uncertainty in trading is just too high, it’s not as if investing or accumulating Bitcoin doesn’t have its own risks but it’s a lot more manageable than that of trading/gambling because traders can easily get caught in trying to time the market, which of course we know has its own risks too.
For those who’s plan is to build a solid Bitcoin portfolio, then the best option and approach remains consistent BUYing and HODLing. If we tend to look at the history of Bitcoin, we’d notice and understand that Bitcoin’s price has always moved in an upward trend over the years/previous cycles. So surely, there’s every tendency that it may likely continue in that direction/trend, which means that the potential for significant gains via consistent BUYing and HODLing is pretty much high.
And it’s pretty interesting and commendable that you mention the importance of engaging in consistent buying practices. When it comes to investing in an asset with long term potentials like Bitcoin, it’s of utmost importance to have a disciplined approach to investing, as this is a great way to remain focused on their long term goals.
Who is the person that passed the law that investors don't need to aggressively buy Bitcoin when they are managing their investment? Buying bitcoin aggressively won't stop you from managing your bitcoin investment in the right way; it is only when you overdo it that you will pass through difficult times to manage and sustain your bitcoin investment for the long term, and if you're not strong enough, you will sell your bitcoin to survive. Buying aggressively doesn't necessarily mean using the amount of money you haven't used before to buy bitcoin. If you are using $5 to consistently accumulate bitcoin weekly, that is an aggressive buy because it is the amount of money you can comfortably invest in bitcoin at the moment without getting stuck in your accumulation journey.
Being aggressive is good as long as you don't overdo it and do it at the right time. Whether you are aggressive or not in investing is completely your personal matter. But always remember one thing that it should never be excessive. I would advise a person not to be aggressive in investing. Because it is important to be consistent rather than aggressive in investing and it is important to keep the backup funds strong. If you are still a new investor, then this is not the right time to be aggressive in investing. It can cause losses for you. Maybe you can push yourself into a financial crisis by being overly aggressive and force yourself to sell the portfolio or when the big dip season starts, you may be deprived of that opportunity which can cause some kind of loss for you and you may regret it. So before being aggressive in investing, think again and again whether you are making the right decision or not.
You are describing problems with being overly aggressive, so hopefully folks can figure out the difference between being aggressive and being overly aggressive, and being aggressive is a good thing as long as you don't over do it... so each person has to figure out the boundary, including that if he has strong cashflow management practices including the building up of various kinds of back up funds, including emergency funds and reserve funds, then he is likely in a better position to be aggressive as compared with someone who might still be solidifying his cashflow management practices, including making sure that he has sufficient quantities of emergency funds and/or reserve funds.. perhaps including having good ways of dealing with any monthly cash float amounts that he might manage over the course of each month.
One should also prioritize having a very solid cash flow management plan and some backup funds (emergency and reserve/float funds) in place, as this provides a safety net and also giving room for more aggressive investment strategies. This is simply all about identifying and knowing one’s financial situation/boundaries and knowing exactly how to manage the risks involved.
Every investor has their own unique financial situation and that’s why it’s important to critically evaluate and assess your own financial situation, i.e cash flow and risk tolerance level before finally deciding/choosing how aggressive they’d need to be with their investments so as to avoid being overwhelmed and thereby leading to financial mistakes.