Emergency funds is very much important for the survival of your bitcoin investment, so in a situation where you are just starting from the scratch, it is best to build your Bitcoin portfolio and your emergency funds together, but once you notice that your emergency funds is big enough to sustain all your financial needs for the next three months, you can stop adding to it and start investing aggressively in Bitcoin because by then, you now have the full financial backings of your emergency funds to go all the way in your investment, so what am trying to say is that a proper money management skills is greatly needed if you want to be successful in your Bitcoin investment.
Emergency funds are certainly necessary to insure against financial issues you may NOT KNOW ABOUT, but unless you spend the major part of your money there and invest very little your bank account will look very little bigger in terms of Bitcoins. A good balance would be to start out aggressively with your investment, and yet saving concurrently a little in case of emergency. As soon as your emergency fund is sufficient to sustain you a couple of months, you will be back to placing more emphasis on aggressive investing. It simply comes to proper management of money and prioritizing when to change priorities. Lacking the balance, one can either take excessive risks or lose on possible growth.
I would like to add another thing to your words, that is, along with the emergency fund, a reserve fund should also be kept. And how aggressively one invests in the beginning depends on the person's wishes. If his monthly income is $1500 and his discretionary income is $500, then he can invest $200 in btc if he wants. He may keep saving $200 to create an emergency fund and reserve fund. And he can spend $100 as he wishes. Because in society, one has to be with his family and take part in many social and family activities. In this way, he can form a reserve fund, emergency fund.
Yes, I know that an emergency fund is very important for the security of investment. It is also important for an investor to have a fund ready so that there is no bad impact on the investment after starting the investment and so that the investor never has to sell his investment due to financial problems. However, it is not possible for all categories of investors to invest continuously after doing so. Suppose a person is earning $150 to $200 a month and he is trying to invest continuously even after earning this amount of money per month, although his investment amount will be small. When this investor meets all the needs of his family and invests some amount of money in Bitcoin, then he will not have the remaining amount to make an emergency fund or save. Making an emergency fund depends on the income of a person.
If a person has a high income and if he can make an emergency fund and a separate fund, it will protect his investment, but if a person with a low income cannot do this, then he has nothing to be disappointed. I think he should be more focused on Bitcoin investment.