We can consider that as we invest, we don't really know where an asset like bitcoin will go, and sure we see arguments of upside and downside possibilities, so we invest based on our understanding of the upside and downside possibilities and in light of our own capacities to invest.  If we might have had some other funds saved up or even an expected income level, we start to invest into bitcoin based on those factors, and perhaps even create a budget and reassess more deeply every 6 months or so along the way whether we should make changes to our overall plan.. and the details of execution of the plan might tend to just follow some overall ideas.

At various points along the way there might be considerations in regards to where I am at at that time, and I think that my looking back on where I was at versus where I thought that I was were not always necessarily in line, since I had thought that I mostly had gotten to my target level of BTC accumulation within 1 year after having had set two budgets so by the end of 2014 I thought that I had enough bitcoin because the bitcoin constituted about 10% of the size of my overall quasi-liquid investment portfolio... and so at that point, I had thought that any new income that I would get that goes into investments should be allocated accordingly, such as 10% into bitcoin and the remainder into other investment that I had, yet for some reason I kept buying bitcoin during 2015 to bring me up to 13.5% allocated into bitcoin, which I considered overaccumulation (even though my definition of overaccumulation is different now as compared to what it was then)... So anyhow, the status of the bitcoin and how I had chosen to deal with the bitcoin related to how much I had, and then I put into place systems of sustainable withdrawal based on price, so then following that system was not meant to have any need for additional assessments of bitcoin fundamentals, but instead just to sell if the BTC price went up and to buy if the price went down, and I just followed that system as the BTC price continued to mostly go up, and the amounts of my sales were so small (such as less than 10% of my BTC stash for every doubling of the BTC price), so that the value of my BTC holdings were going up way faster than any amount that I was selling, and so since that time, the BTC price had doubled right around 8 times as of the BTC price reaching $64k and it will be 9 times once the BTC price reaches $128k (I have a compounding chart), and it seems that my amount of sales had gone down rather than up, since now days each doubling, I am probably selling only around 2% of my BTC stash.. and I probably should sell more, which just means that the value compounds way more than the amount being sold.

My description might not really answer your question, since in some sense there is no real needs to get into ideas and/or understanding about bitcoin in order to manage my BTC holdings, since if the price goes up there are sales and if the price goes down there are buys, which largely has been happening since 2015, and there is enough cash generated that I don't necessarily need to do extra sales, yet if at any time I want to do extra sales of bitcoin, such as another 2% or something like that, then there is plenty of surplus BTC to sell from so that it does not undermine the BTC holdings since it has been folded over and doubled many times along the way, which is a form of excessive compounding of value.


Various back up funds and emergency funds are built up and added to from discretionary funds.. so after any basic expenses have been taken care of.  Back up funds are not a necessary expense, yet they are discretionary in regards to whether to make them and how much to put into them and how much of a priority to give them. Any past back up funds have come from discretionary funds or alternatively from assets that may have been earned or gifted. Assets tend to be built up from discretionary funds.

Sure there can be disputes in regards to which expenses are basic and which are discretionary, and guys might mislead themselves in terms of labelling certain expenses as basic when they are discretionary... even housing rental expenses could have a combination of mandatory/basic expenses and discretionary expenses...

Let's say that a single person chooses to rent a fairly nice 4 bedroom and 3 bathroom place and it costs $1,200 per month.  Alternatively he could rent a more modest place that is just 2 bedrooms and 2 bathrooms and the lower luxury unit might cost around 1/2 - $600 per month.  Sure he might be choosing $600 per month of extra luxury that is not necessarily basic expenses, even though he surely might get some more convenience and utility from having the larger place, and surely it is up to each person to consider what are his basic expenses versus what are his discretionary expenses, and sometimes a guy may or may not be able to buy as many bitcoin if he is defining his basic expenses incorrectly. 

There can be similar trade-offs with income, and there could be ways to earn extra income by working more hours or by taking side projects, and there also might be possible direct income improvement that could happen 6 months down the road, but a guy might have to attend some kind of training before he can receive the higher paying position in the future.    Maybe the guy currently earns around $1,500 per month, and he works around 60 hours per week, yet with the training, he could earn $2,200 per month and ONLY 40 hours per week (with other job benefits, too) with possible advancements to $2,500 or more per month, yet his 6 month training is going to cost him around $5k, and he is going to have to reduce his current income from $1,500 per month to $700 per month for the next 6 months.  The better choice may be to get the training and the promotion, yet some guys might be unwilling to make short-term sacrifices for longer term gains... There is no exact correct answer since guys choose differently, even though 4-10 years or longer down the road, there could end up being quite significant material differences in outcomes for similarly situated persons who made different choices in those circumstances.


I agree with this portion Ruttoshi.  You don't need steady income to get started in bitcoin.  All you need is discretionary funds.

You don't need to DCA to get started in bitcoin.   All you need is discretionary funds.

Of course, the more income you have then the easier it is to figure out some regular weekly DCA amount, yet there could be people who have irregular incomes and/or irregular expenses, yet they still might strive to do as best as they can to invest into bitcoin when they can and when they figure out that they have enough discretionary funds in order to buy some bitcoin.

Like you are mentioning Ruttoshi, folks can also improve their situations as they go.  There can be some folks who come to bitcoin with a lot of debt and messed up finances, yet if they can figure out some path to both resolve their debt and to buy bitcoin, they can get started investing into bitcoin, even though they might have to figure out a way to start out slowly as to not overdo it and as to how to both improve their current finances even while they are adding the investing into bitcoin into the mix of their finances, psychology and things that they need to deal with. 

There are personal choice elements in regards to how regular and/or how aggressive a person can be in their bitcoin investment plan and implementation, and surely they could end up screwing up if they try to go too aggressively in the beginning, yet they might see that they have fairly bad finances and even not great psychology, but they figure that if they add bitcoin investing into their mix of what they are doing, they might be able to get out of their situation after 1 to 2 years and even that they are considering ways to increase their discretionary income by increasing their income and/or cutting their expenses, and they may come to bitcoin with a lot of great plans, yet whether they will be successful to continue to buy bitcoin, to set up some reasonable and consistent DCA and perhaps their ability to strengthen their cashflow management systems and practices will depend on a lot of further action and follow through from themselves, rather than merely wishing such positive outcomes.


It is quite likely that an overwhelming number of normal adults (sure some teenagers might have enough knowledge/skills and maturity to get involved in bitcoin investing, too, yet sometimes teenagers are lacking in abilities to focus. .which might overly-distract them into trading and/or shitcoins.. yet their focus might develop/improve with maturity and/or practice) have enough skills and knowledge to get started in bitcoin, and they will learn along the way with practice and studying, and surely people learn in different ways, but an overwhelming number of normal people have enough skills to invest in bitcoin and to figure out, build and improve their cashflow management systems/practices.