Post
Topic
Board Speculation
Re: Buy the DIP, and HODL!
by
Tamaperdana
on 22/09/2025, 10:09:15 UTC
Investing in the DCA method is safer than investing a large sum at a time and it reduces mental stress. The DCA method is more effective for ordinary people who have limited monthly income and limited risk-taking capacity. Here they can gradually build a significant portfolio by continuing to invest small amounts. And in this way they move forward on the path to financial freedom in the long term.
DCA method isn't about safety but about the quantity of discretionary income at your disposal as an investor. If you've a large discretionary income available at the point you want to invest, then you can go ahead and lump sum and it's still financially safe. DCA provides a slow and steady approach to investing into Bitcoin and even when using DCA, if you're over aggressive in DCAing, you would not be too safe as you may not able to sustain it for long.
I don't think the best way to describe the benefits of DCA is to make investing safer, but rather, to make buying bitcoin with DCA more comfortable. Essentially, DCA allows us to invest in bitcoin even if we don't have much discretionary funds. So, with that in mind, I believe DCA is a truly unique buying strategy. As for aggressive DCA practices, I don't think that's a big deal, as long as the money used is discretionary. As long as you're investing in bitcoin with discretionary funds, I don't think being aggressive is a problem. Investing in bitcoin with borrowed money, necessities, or even spare cash, in certain situations, is not a good idea. So, in addition to DCA, we should also use discretionary funds to invest in bitcoin.