I understand your confusion. However leet me try to break it down in the simplest way I can..... There are different methods people use to accumulate Bitcoin, some of this methods includes
- DCA (Dollar Cost Averaging): When you buy a fixed amount of Bitcoin at regular intervals, no matter the price.
- Buying the Dip: Here you wait for price drops and then buy more when Bitcoin is more cheaper.
- Lump Sum: You invest a large amount into Bitcoin all at once.
- Earning of Bitcoin: Through work or services( like earning through the signature campaigns and so on) or any other means instead of buying.......etc.
Your whole point is very well put. But you said "Buying dips: Here you have to wait for the price to drop and then buy more when Bitcoin is cheaper." I feel a little confused about this sentence.
As far as I know, buying dips is not for an investor but for a trader.
You are Very funny mate. I know you are a newbie and may never understand everybit of this but Buying the dip is not for only traders but for all. Infact buying the dip is one method or strategy that investors use to mitigate by buying more Bitcoin when the market is bearish.
The three strategy to buy Bitcoin by investor has been listed which are
1. Buying the dip
2. lump sum
3. DCA
All This three strategy are perfect strategy to build a better portfolio. An investor mostly capitalize on DCA which is investing every week or month. Provided they have discretion inc. they can also lump sum at ago when their is a bonus recieved from a place of work. And they can buy the dip from their discretion when Bitcoin is dip and it does not mean that they are traders since they are not buying the dip for taking quick profit.
You mentioned different methods of investing in Bitcoin. But among all of them, DCA seems to me to be the only investment method. Moreover, all the other methods seem a little difficult and confusing. I can't say that anyone except the owner of a billion or very large company can invest patiently in the lump sum method. Because the Bitcoin market is always fluctuating. So if a common person invests a lot at once, he will be afraid when the price drops. That is normal.
And if someone stops investing in the hope of buying dips, then I think he is not a real investor. Because buying Bitcoin at a low price and selling at a high price is a sign of a trader. If someone waits for a low price, he will never be able to buy Bitcoin. Because if the price drops again after investing at a low price, he will feel a loss and sell the investment.
So I think the only way to invest is DCA.
[/quote]