With bitcoin as well rest of the altcoins every dip is an opportunity to make an investment. Very few make use of this while majority of the users just keep hold of the assets for the bull trend. To make a good profit out of bitcoin it is a must to move along with the market than just holding focusing on targeted growth.
Very true but basically trading seems tactical unlike any other making scheme because when you're not getting a verified information about the market trends, it tends to disrupt the process of you gaining profits talk more of investing in the long run. Though long term investment are sure jackpots so buying and hodling can be a very taunting decision to make.
Trading is a bad sign, the person who did it understood it, so I don't want to confuse my investment and other new and old investors with it. And of all things, the only long-term holding is the best. Buy Bitcoin for a long time. This will be the main tool for your future and formation. Naturally, if you don't have money to invest, then of course you can invest here by setting aside a small amount of money every week.
This DCA method of investment is the best that new investors and old investors can succeed by using it. The more you patiently familiarize yourself, the more success you will get in this Bitcoin investment. More profits and more capital will play a big role in making your life more beautiful at the end of an investment.
Trading is never a good strategy of making investments in Bitcoin, and whoever that is interested in trading is not an Investor but a Trader, someone who is interested to build a successful Bitcoin portfolio and want to accumulate and hodl, you require a basic source of income, having taken care of your expenses and you have a discretionary funds like it’s always emphasized here you can then accumulate while using the DCA method, but in as much as we use the DCA method we should not forget that we can still continue to accumulate same way fraction by fraction (little by little) especially for those of us who aren’t financially buoyant, i don’t need to be financial buoyant to keep investing, all I need is just a little source of income and I will keep investing and accumulating and holding for long term priorities.
You are largely correct in your statement Jostern - except that you are implying that you need to have both a steady source income and discretionary income, which is not true, and all you need is discretionary income, so even if you have scattered income, there may be some weeks that you are not able to buy bitcoin and other weeks that you are able to buy. Sure, it helps for any guy to have ongoing income and regular income, yet some people do not have that, which is part of the reason to build up back up funds, and surely the guy who is able to build up his source income and also build up his back up funds while he keeps buying bitcoin, then he is going to be better off than the guy who has inconsistent income and perhaps even inconsistent expenses.
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Although I'm not here to compare between real estate investment and bitcoin investment. I just want to answer you on the question you asked. Well before a property owner gives of his house for rent, there is what professionals in the real estate field call full repair and insurance lease. In this this type of lease, the occupant of the property is responsible of carrying out all the repairs on the property throughout the period of the lease. In this type of lease, the property net rent amount is not being spent on any form of maintenance. But in situation where the property owner is going to be responsible for all forms of repairs and maintenance, a certain percentage of the net rent is usually calculated and added to the rent which will now form the gross amount that the intending tenant will pay as rent for the property for the period that the lease will last.
In nutshell, when a tenant is responsible for maintenance and repairs, the tenant pay net rent.
When the property owner is responsible for repairs and maintenance, the tenant will pay gross rent.
Let's assume the annual rent of the property is $1000 (net)
Repair and maintenance 20% of rental value $200
Therefore the gross rent will be $1200.
So in any of these situations, you will see that the property owner net rent is not going into repairs and maintenance of the property. The tenant is always the person that will pay for the repairs and maintenance of the property.
Even if you are not wanting to make comparisons between real estate and bitcoin investing, you are still suggesting that there are some kinds of real estate contracts that might be more profitable, and I doubt anyone is suggesting that there might not be reasons to invest into real estate, yet some folks were suggesting that guys should never sell their real estate and to use that money to invest into bitcoin.
I had provided some earlier examples in regards to the last 10 years that would be quite difficult to beat (or even come close to matching) the performance of bitcoin which was around 100x better than real estate, even if you were to have great property and even if you were to have great contracts, you are not likely going to make up for the difference between bitcoin and real estate over the past 10 years. Of course, past performance does not equal future results either, even though bitcoin continues to have a quite strong investment thesis, even compared with real estate, gold, stocks and/or other places that a person might choose to put some or all of his time, energies and/or value.
It may well be true that anyone who is trying to leverage their labor, they may well be able to get paid better by buying a business or maintaining real estate rather than working for someone else, so there still could be reasons to invest into a business or invest into real estate to leverage your labor in order to receive better income than you would otherwise be able to get on the open market.
I totally agree with you, just imagine an investors doesn't have any discretionary income and the investor start to invest without an emergency fund attached to it, such investor will find it difficult to wait for longer term.
And mostly the newbies that is it coming up with their investment that doesn't have discretionary income, will not be that patient enough to wait for a long term for like 5-20yesrs but with time i know that they will eventually invest in long term because this life one will actually start from somewhere as you can afford believe that you will surely make a changes with respect to time.
To invest is to have income to do so - if you will worry about each part of the investment you put out when you can, it will not end up well.
We just need to invest what we can, when we can - and keep doing it steadily.
That's just the point buddy, just
invest what you can afford to lose from your weekly or monthly income then you are good to go, why most Investors are struggling to keep to their investment or keeps on buying regularly is because they are overdoing it more than they can afford, but if it's done with am amount they can do away with and in their own pace, nothing is stopping them from not buying and holding firmly for a very long time.
Using the word investing what you can afford to lose is what set's me off balance whenever i see that kind of statement, why not just say invest within your discretionary income rather than saying invest in what you can afford to lose, this statement is a make belief that tries to portrays bitcoin as some sort of gambling that you shouldn't invest what you cannot afford to lose. Bitcoin has had a steady growth right from inception, it hasn't shown any serious investor that they will at any point lose their investment, by serious investor I mean a long time holder, so the need for such kind of remark doesn't arise.
You are getting the wrong understanding and misinterpretation of that word "use the amount of money that you can afford to lose" it still means your discretionary income, because you can do whatever you like with your discretionary income and it wouldn't affect your monthly needs and expenses. Some people use their discretionary income to gamble, club, party, drink and all sort of things that wouldn't add any value to their life because it's the money that they can afford to lose.
This is why you are advised to use such funds to invest in bitcoin doesn't mean that you see bitcoin as an inferior asset. Also bitcoin investment is not guaranteed to be profitable in future even though we know that the odd is high of the price moving uptrend in future than downtrend, so that you can think carefully and invest wisely without using all your life savings to invest in bitcoin. Incase bitcoin didn't perform well in future as you expected, you will not be disappointed and hopeless. I like the word use what you can afford to lose to invest because it sends to lot of messages and caution to you on the amount to be invested into bitcoin.
You are correct Merit.s. The expression "don't invest any more than you can afford to lose" means not to invest beyond your discretionary income, but it also sends an additional message that bitcoin is not guaranteed to go up. There is both executional risk and there is also fundamental value risk in terms of nothing is guaranteed, even if bitcoin seems to be amongst the best, if not the best, of places to put time, energy and value.
That's just the point buddy, just invest what you can afford to lose from your weekly or monthly income then you are good to go, why most Investors are struggling to keep to their investment or keeps on buying regularly is because they are overdoing it more than they can afford, but if it's done with am amount they can do away with and in their own pace, nothing is stopping them from not buying and holding firmly for a very long time.
Bitcoin investment is not gambling that you invest what you can afford to lose. Bitcoin is a reliable asset that has proved over time to be stable and profitable. There should be no doubt or fear in investing in Bitcoin.
It would be better to state that people should invest what they can afford to live without. That is, after you have set aside your budget for expenditure and emergency spending, the rest could be easily invested in Bitcoin. There is no need to invest an amount you will struggle to save because there are other important thing to do with money.
The expression "don't invest any more than you can afford to lose" is a common expression that applies to both investing and trading, and also sends the message that your investment is not guaranteed. if you change that expression to "do not invest more than what you can afford to live without," then you are creating an impression that there is some kind of a guaranteed return later down the road, which is not true.
From my perspective, we should not be employing statements of over-assurance, untrue and exaggerations, and from my point of view, it is better to communicate precaution, even if we might also suggest to persons that bitcoin is amongst the best of investments and they may well want to consider investing as much as they are able to do (aggressively) without over doing it.. and if they have wrong ideas about their investment being guaranteed, then they may well end up engaging in overaggressive and even reckless kinds of behaviors based on their perception of a guaranteed investment, which bitcoin is not guaranteed in terms of either its fundamentals or in terms of various execution risks that could end up getting employed by individuals.
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If a landlord leases a house, it is just like selling that property for a specified period of time, so it is duty of the tenant to maintain the house within the duration of the lease. Whichever way you calculate it, the owner of the property will be at profit even if he is to take care of the maintenance of the property. Although, the tenant and the owner can also reach an agreement of the maintenance of the property if the landlord will be the one to be doing the maintenance from time to time which means that the tenant will pay for the cost of maintenance while making the payment for the leasing.
As an investor, you can still combine real estate investment with bitcoin investments and still make a successful investor because while you will be accumulating bitcoins, your real estate investment will stand as an alternative to your bitcoin investment since it is a real-life investment so instead of diversifying into shitcoins, it is better to consider a real estate investment but it should distract you from accumulating more bitcoins.
You are implying some kind of stability and "realness" in real estate that does not exist in bitcoin that causes greater assurance that real estate is a more solid of an investment than bitcoin, which is not true to be implying such guarantee in real estate or suggesting that there are some superior aspects of real estate on an objective level. Sure, there could be reasons that guys might choose to invest into real estate or even to keep some of his value in real estate rather than selling the real estate for bitcoin, but I doubt that there are objective suggestions that real estate is actually any kind of better investment than bitcoin, even though there could be some reasons that a person might want to keep some allocation in real estate, even while realizing that real estate is likely an inferior investment to bitcoin.
You are free to come to your own assessments and conclusions in regards to real estate versus bitcoin.. and hopefully you are being realistic in terms of the various tradeoffs including that real estate might even be considered as a consumption good that has some investment components.