A person can try to work towards making himself more financially stable, and bitcoin is one of the tools that are available, yet just investing into bitcoin won't be enough if a person cannot generate discretionary income and/or to have some form of income that is available to pay expenses and then to have left over funds (discretionary funds) to be able to invest.  

Sometimes unstable situations are temporary, and sometimes they last a long time. .A person could start out stable and then go unstable for a period of time, and then work himself back into being stable again.  There are a lot of scenarios in which aspects of an investment into bitcoin might either be interrupted or at least challenged in terms of being able to continue to invest into it, and if there are cashflow problems, then adding to the bitcoin investment may well need to be temporarily suspended ..

Ideally we create and maintain our cashflow management systems/practices to lessen chances that unstable periods of our finances and/or our psychology will have negative impacts and/or to mitigate any negative impacts that they end up having on our bitcoin investment.

It seems to me also if a person can get through a whole cycle of investing into bitcoin (like 4 years), it is likely he would have built stronger cashflow management practices and built his bitcoin investment during that time too - and also he will hopefully become better informed by his 4 years of investing in bitcoin and building his cashflow management systems to prioritize investing in bitcoin and to tweak and/or to improve in any areas that he might determine as necessary to improve - and many times 4 years is not going to have had been enough for a person who is just investing regularly, and it is likely there will be a need to continue to invest and/or build beyond 4 years.  

Of course, the more that a person had been able to front load his investment into bitcoin (such as he comes across other money or he starts out by having some other money sources), then perhaps he would be in a better position to have had gotten to a bitcoin stash size in which he might determine that it is justified for him to slow down on his bitcoin accumulation process.

Let me give an example of the past 4 years and an example of the past 8 years, just to show how a bitcoin investment might progress, even though surely past performance does not guarantee future results.

4-year investor: Let's say that a person was able to invest fairly aggressively at a rate of 25% per year of his income into bitcoin for the past 4 years, so that is about as aggressive as anyone is able to reasonably expect to be able to do, and he needs to have that money as part of his discretionary income.  Additionally, he is going to have to have fairly strong cashflow management skills/practices to accomplish an ability to ongoingly invest around 25% of his income into bitcoin, and if this guy earned an income of $30k per year, then over 4 years he would have had invested $30k, which would have been about $150 per week.

In such a scenario, this 4-year investor guy would have had accumulated right around 0.83 BTC which currently has a spot price value of right around $93k and a 200-WMA value of around $44k, and so surely his investment is doing well, yet it is not quite close enough to really change his practices of ongoing BTC accumulation, and he likely would want to and need to continue to invest, since a 200-WMA value of $44k would likely only support around a $4,400 per year income, and maybe this guy has goals to get to a point of doubling his income to something like $60k or even to get his investment up to an ability to withdraw $80k per year.    So perhaps he  is not going to withdraw any of the bitcoin until it adequately reaches his threshold target level of being able to generate something between $60k and $80k per year of income.

8-year investor: Sometimes the investment just needs to run its course a bit longer to start to feel more solid results.  Let's say that a similarly-situated guy with a $30k per year income and investing 25% of his income at $150 per week, had followed the same plan as above for the whole past 8 years, yet the only difference was that he started investing in 2017 (4 years earlier, for a total of 8 years investing), and so he had invested $60k over the past 8 years and accumulated 4.55 BTC.   Right now 4.55 BTC has a spot price value of right around $508k and a 200-WMA value of around $238k, and so surely his investment is doing better than the guy who had ONLY been investing 4 years, and so right now if we look at his 200-WMA valuation, we can see such $238k 200-WMA valuation  would currently support an annual income of $24k (and so surely he is getting closer and closer to his goals), but he had not yet reached his goals    

Even if his goal is to get his income up to $80k per year, before he might start to draw from his bitcoin, he can see from my latest fuck you status table that it is likely that somewhere between 4.55 BTC and 5 BTC (in case he wants to continue accumulating) would get him to an ability to withdraw $80k per year in early 2029, which surely would not be bad for a person who had started out with ONLY an income of $30k per year, but a persistence in his desire to accumulate as much bitcoin as he could do.

Of course, if he had been able to lump sum buy or buy bitcoin earlier rather than later, then he might have had been able to accumulate more bitcoin at a faster rate, yet the fact of the matter is that so many normal people struggle to ongoingly have money to invest, and more likely scenarios involve guys who are just ongoingly taking from their income (and from their discretionary income) in order to figure out how aggressive they are able to invest into bitcoin without overdoing it.. .

and yeah, of course, the examples that I gave can be adjusted for whatever might happen to be our own particular income level.


Of course investing is built on a premise of deferred gratification (deferred consumption), yet there is still a balance that each of us has to try to reach depending on a variety of our personal circumstances.  If we do not spend any money on anything except the absolute necessities, then maybe we might suffer in a variety of ways in our social lives, and we also might have responsibilities to others, such as friends and families.

I am not opposed to the idea of greatly cutting out consumption, yet we still have to realize that even if we take care of our basic expenses, there may be ways to cut back on some of our expenses, yet sometimes some of our spending actually causes us to be more productive, so we have to be careful regarding cutting back too much, and maybe if we live in a bad neighborhood and if we wear used clothes, we might have more difficulties getting ahead because frequently we have to be liked and/or to present well in order to gain access to some limited resources, whether it is jobs or whether it might be getting invited to parties that might allow us to properly network and perhaps lead to more opportunities.


Some young people may well be better off to gain certain skills, knowledge and/or experiences while they are younger and that may lead to better employment options and/or opportunities as compared with a person who had already worked his whole life.

Also, some older folks might be better off to retrain and to get into some other kind of work, even though it might cost money to do that.


You cannot assume that everyone is at the same stage, even though surely there can be some commonality with younger people who might be first moving away from home and starting from whatever social circles that they have, but then there can be a certain amount of baggage that comes from folk who might have had been working for a while already, and some have already been trying to invest, and maybe some have made better progress than others.  You are preaching to the choir in terms fo my own preference that guys figure out ways to build various life and/or employment skills at younger ages, and bitcoin is merely one part of that, yet there can be aspects of bitcoin that conflict with wherever a person might have had previously thought that he is going, yet when he comes across bitcoin, then bitcoin might have had helped him to change plans or even created conflict in regards to what kind of profession that he might pursue, in the even that he is a young  person still trying to decide what is going to be his profession.


Bitcoin is still a relatively new asset class, so people have to figure out how much time, energy and/or value that they might choose to put into bitcoin versus something else, and they might already have other investments.

Of course, even if we assume that many people have not taken adequate measures to invest prior to hearing about bitcoin, yet we cannot completely presume the status of other investments that bitcoin newbies might have in the beginning and some of the juggling that they might have to make in terms of considering bitcoin as compared with other assets that they have or as compared with other assets that they might invest into.  I am not referring to fucking around with shitcoins, even though surely there are plenty of folks who get distracted into shitcoins, especially if they might be starting without much or any other investments.


Yes, of course, holding your own bitcoin should be the goal, yet people may well not start holding their own keys.  They might work their way up to such a status, and it may well take some time for them to get to a point in which they are holding an overwhelming majority of their bitcoin.. such as greater than 90% of their holdings is self-custody.. yet there are a lot of people who might not even know the difference between owning bitcoin and holding it with a third party or buying exposure to bitcoin through a bitcoin ETF or by owning something like Microstrategies.


Historically bitcoin has provided the most profits, and sure it could continue to be the best risk-adjusted investment, yet bitcoin's future price performance is not even close to being guaranteed.


You are flip flopping.  You said that there is no reason to consume and then now you are saying to NOT invest all of your discretionary income in bitcoin.  


It is unclear what you are saying here.

Maybe you could give an example of what you mean.   We also know that if we describe a hypothetical person, then that hypothetical person might not capture a variety of circumstances, so it might be good to compare one hypothetical person to another, especially when you seem to be saying more than one thing and almost contradicting what you said in the first part of your post.


I think that people with age and/or health considerations could still categorize themselves as an investor if they are planning to have an investment timeline of 4-10 years (meaning less than 10 years)..

I think that anyone coming into bitcoin with less than a 4 year timeline is trading rather than investing, even though surely some folks might come into bitcoin with less than a 4 year timeline, but then change their mindset after spending some time investing into bitcoin and learning further about it.

I think that some folks might come to bitcoin with greater than a 4 year investment timeline or even greater than a 10 year investment timeline, but sometimes life circumstances might force them out of their position, even if they had intended to be in bitcoin for a longer period of time.


That does not sound smart to me.  Bitcoin has proven itself as a good thing to own, which is likely going to continue to be true in 10-15 years from now and thereafter, so even if you may have done a lot of the accumulation of things right, and you accumulated bitcoin for two cycles and then maybe you waited another cycle before you started to contemplate selling, and then you sold most or all of your bitcoin, then what are you selling them for?  

Where you going to put that money?  At that point you are planning to buy back, especially if you are selling upon an ATH?


Using a loan is a form of front loading an investment, and sure there are risks that the BTC price will go down rather than up during the term of the loan, so it is likely best that the person taking the loan has means to pay the loan without expecting the BTC price to go up.