Indeed because investing in anything using emergency funds will not recommended. The mean of emergency funds is covering our urgent needs that need money so we can use that funds and fill it immediately. The emergency funds specifically for an urgent needs and not for other things. So we have emergency funds and a free money for the investment with other money that we prepare to fills each needs we have. If we can allocate the income to the right place and know how much money we can allocate, we can use the income proportionally.
It seems you misunderstood a point that people mostly invest without reserved money as their emergency fund. It's different than they have an emergency fund that was used for investment and I hope you see difference here.
[b{At least people had emergency funds but later used it for investment is better than people who never minded about having an emergency fund
[/b] . They practiced badly by lacking discipline to maintain their emergency funds but if they can improve their discipline, they can do it better in future.
For a first type of investors who have never minded of having an emergency fund, they must change their mindset and break this barrier first. Then they might have their first ever emergency fund and move on with same mistakes like a second type of investors aforementioned.
It's wrong for you to use your emergency funds to accumulate bitcoin, neither should you have your bitcoin investment without setting up an emergency funds after you have started investing
into bitcoin.
Your emergency funds is to take care of a real emergency that pops up during your bitcoin investment journey so that hou don't sell your bitcoin investment to take care of any unforeseen circumstances that plays out as you are investing. Imagine if you use your emergency funds to buy bitcoin and the price of bitcoin dip and stay there fora long time. During this price dip, you were hit with a real emergency, you will go and sell your bitcoin in loss in order for you to slolve that emergency.
Whoever is investing in bitcoin without setting up his emergency funds along side with building his bitcoin portfolio is only gambling because you don't have a back up funds to safeguard your bitcoin investment from selling when it's not of your own will. This is why an emergency funds is important whenever you have started your bitcoin investment to help you grow your bitcoin stash during your accumulation period.