Well, basically this is very important that having an emergency fund is very important for a Invest. When you invest in Bitcoin at a fixed price and then if the market falls, you can use that emergency fund for any necessary purpose. It is important to collect an emergency fund before buying Bitcoin, it will always be a good plan for yourself and it can benefit the investor in any bad time. I think such a plan would be a good step for real investors where they invest according to a percentage, save some percentage and leave some for an emergency fund. Many times this emergency fund is very useful to deal with emergencies, every person should have such an emergency fund plan that will always benefit them.
It is never a good idea to use an emergency fund after a market crash. What you mean is that an emergency fund is for you to buy aggressively when the market crashes, but this is a complete misconception. Because an emergency fund is there to protect your investments. For example, in the event of an unexpected financial disaster, you do not have to sell your holdings, so that you can take money from your emergency fund to deal with the financial disaster. Or if someone gets sick and you have no other money except the emergency fund for treatment. Then you can take money from the emergency fund at that time. It is not right to rely on the emergency fund all the time. When you do not have any money except the emergency fund, you can take money from the emergency fund.
It depends on the size of your emergency fund. If you have a sufficient emergency fund, say oneyear or more, you can increase your holdings by aggressively buying during a market dumping. I am not completely dismissing the idea of @out of mind. An important element of making an emergency fund a long-term investment is that the longer you hold it, the safer your Bitcoin holdings will be in the long term.
To put it more clearly, let's say if you have one-year emergency fund and have no source of income or in that case if you lose your job. Or someone in your family needs medical treatment, you can use that fund without withdrawing the Bitcoin holdings.
Now the question may be how much of your emergency fund you have to spend on emergencies. This depends on how much your medical expenses will be if you get a job again.
Continuing aggressive buying from your excess emergency fund may be the right decision, depending on how much floating cash you have.