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I always like to describe over accumulation phase with respect to quantity and not necessarily daily expenses. Yes, we always have an accumulation target at the beginning of our accumulation journey and going well above it can suggest the percentage of over accumulation we have come to achieve.
lets take for example, my initial target is to accumulate 10BTC within the range of 20 years, if I am able to achieve a cumulative stash of 12BTC within the said period, then I am 20% into over accumulation stage, if I got 14BTC, then I am 40% into over accumulation stage.
If I have initially planned the latter part of my life around the 10BTC target and I end up getting 14BTC, then I have a 40% additional cushion to leverage upon. It is still possible to reset your accumulation target from the 10BTC plan to 15BTC and get back into accumulation phase, surpass it and achieve overaccumulation stage for the second time. it all boils down to your target.
This is very educative as I've come to reconcile the context of over accumulation from this. The accumulation process and target is key to achieving the accumulation goal which whatever comes later is an over accumulation. But after over accumulation, the person sells and would he now limit his investments to buying dips? Or would he proceed later to buy at a loss? Or would he stop accumulating and maintain his accumulation target?
This is some of the few reasons why I argued the existence of over accumulation as long as a person is still working. Setting a new target could be an option as you have mentioned. Just to keep a person in the system. Accepting and over accumulation may lead to a sell, sell, sell, line of action.
I personally believe that a person starts to have more flexibility in regards to managing his holdings once he reaches overaccumulation status, and a person does not reach such status in order to fall out of it, but instead to stay in such overaccumulation status, so then he would be able to start to sell small amounts of BTC, but still staying in overaccumulation status.. so he might start with
price based sustainable withdrawal before he moves into time-based sustainable withdrawal, yet being in overaccumulatoin status provides options regarding how to mange BTC holdings and the extent to which to stop accumulating and/or to start to sell whether price based or time based.
I agree with you JJG that staying on your level of over accumulation is the best when you have achieved it, rather than feeling that you have reached your level of over accumulation and start selling too many bitcoin too early to the point that it takes you below your over accumulation status and you start thinking of accumulating again.
In life, progress means increasing in your financial dealing or knowledge in whatever you are doing and not declining from the ladder. Maintaining the level of wealth that you have so that you don't depreciate from your current level shows sign of good financial management, but when you are going down financially can be said to be based on poor financial management.
When one have reach over accumulation, you still need to maintain that stage, and using the sustainable withdraw approach provided by you will keep one's bitcoin investment, to keep on compounding in value overtime because your withdrawal is not affecting the size of your portfolio. Some investors thinks that after reaching their over accumulation target, it's time for them to start preying on their bitcoin investment and relying solemly on it for survival. When we have made the availability of other streams of income, our bitcoin investment will only be a supplement after reaching over accumulation stage.