Even though we are encouraged to use dca method to invest especially since we are new to bitcoin investment, I think it is imperative we recognise that other methods of investing are in existence. So that should we be called upon to lecture and educate others outside this forum, we won't be giving them half baked information. That being said DCA is not the only method to invest in bitcoin. Please take note and take correction.
Sure. Even a newbie might have lump sum amounts available to him or he might come across lump sum amounts from time to time, so if he comes across lump sum amounts, he might have to figure out the extent to which he is going to 1) buy right away, 2) defer by time (DCA) and/or 3) defer by price (buy on dips).
sometimes there is no justification to differ investing, so frequently if a guy is buying bitcoin every time he gets paid, he is not deferring he is buying right away as soon as he figures out the extent that he has enough money available to invest.
DCA can also work quite well for guy who is still early and just getting used to how much money he has available for investing and/or for putting into his back up funds. So it can take a bit of practice to get used to how aggressive a person is able to invest into bitcoin without over doing it, so if the guy figures out that he can mostly do $100 per week, yet there will be some weeks that he can only do $60 and there will be other weeks that he might be able to do as much as $170, so then he can see a kind of pattern and if he is getting his back up funds to a comfortable level then he might have extra money come available due to his not having to add to his back up funds, and then maybe he is working his ass off, and his boss decides to give him a $1,500 bonus.. and usually, he would have just spent the $1,500 on a car or a motorcycle or a phone/computer, but now that he has bitcoin.
He might realize that he is able to invest $1,200 of that bonus into bitcoin, yet he still might be faced in figuring out if he should buy all right away or if he might defer with buying on dips and/or adding to his DCAs in the coming weeks..
There is no real right or wrong answer, even though there are trade offs to each of the techniques that may or may not end up paying off depending on what the BTC price does after exercising such option(s), and the guy may or may not be willing to figure out how to weigh the trade offs until he practices a few times, yet at the same time, he realizes that on average, his bonus had resulted in right around 12x the amount of his usual that was available for his weekly BTC buys, and he feels that it is good to have options, even though not always easy to decide and sometimes a guy might just purposefully divide the amount that he has into three parts $400 for each part and to practice with each one of those parts within their definition, and see how it feels to actually apply theory of each three to practice which might cause him to be better informed how he might choose to make his allocation differently if he ends up getting another bonus or otherwise come across some extra money all of a sudden in the future.
Thank you sir for taking your time to educate me on this matter. You know I have only limited myself to the practice of the dca method. I haven't had the privilege to apply the theory three practice. Hopefully in the future when I get lump sum, I'll divide it into three parts and practicalise the three practice so I will be informed and gather knowledge. For now since I only depend on my monthly income, I will continue with my differ technique (DCA) since I like buying weekly.