Investors should avoid just waiting for Bitcoin to fall, on the other hand, if they come up with a short-term plan, they can definitely suffer, Bitcoin has a beautiful history where you can see that there were many types of investors in the past, some investors were those who did not invest in Bitcoin for the long term and left Bitcoin because the price of Bitcoin fluctuated at that time, on the other hand, many investors held Bitcoin for a long time, but when they saw their wealth increasing, they sold their Bitcoin out of greed, and there were also long-term investors who set their goal to hold it for a long time, so they put their greed behind, and succeeded in holding Bitcoin until the present time with full confidence, that is why they have become very profitable at the present time, but it was their right, in that case, it is better to see the small decline of Bitcoin as an opportunity for you to invest at the present time, but if you have a discretionary income, why are you behind? In this case, it is better to invest slowly using the DCA strategy. You can strengthen your investment.
To hold Bitcoin in the long term and make it successful, you need the right strategy and plan. You need to be mentally and financially prepared when investing. Buying when the price is low and taking risks in the hope of short-term gains is dangerous. The risk of investing in the DCA strategy is low and it is possible to deal with the ups and downs of the market. However, you should first start investing by clarifying your financial capacity, emergency fund and goals. Prepare an emergency fund as soon as possible after investing so that you are not forced to move away from DCA in an emergency. And unexpected situations can be easily dealt with. So I think in addition to a long-term mindset, risk management, emergency fund and financial situation are also important in this investment.
Opting
onin for a DCA method of accumulating bitcoin should cancel out any plans for short term gains to take profit, you’ll not achieve the long term goal of the investment if you approach the market with such mindset. Being mentally and financially prepared to start an investment in bitcoin should include canceling out the thought of short term gains which will come during the process of accumulation, it may look enticing to take such profits but it will kill the long term growth and gain you would have accumulated if you wait patiently for the time. Emergency funds is a most in order to have a smooth running accumulation process using the DCA method. Emergencies cannot be avoided but can be controlled if you planned for it before hand and that necessitates an emergency fund set aside during accumulation in order not to annul or affect the process and strategy you’ve set aside to use for your bitcoin investment.