But this may not be acceptable for everyone. Because everyone's earning capacity is different. Again, everyone's needs are different. Those who basically spend 80 percent of their income on basic family expenses. If they start investing without creating an emergency fund and suddenly their expenses increase and they fall into a financial crisis or disaster, they will not be able to maintain their investment. This will not maintain the long-term normal rules of Bitcoin.
You can do whatever you like Xhowdhury, but the fact remains that it's wrong to set up an emergency funds before investing. Do you know how long it will take you to set up an emergency funds of at least three months of your expenses from your discretionary income. It can take more than a year to set it up, and you feel that's the best for you because you prioritize emergency funds over bitcoin investment.
Cmon what will it profit you to waste more than one year piling up fiat currency that depreciated in value overtime instead of putting half of it into bitcoin and safe your money from inflation while your bitcoin investment continues to grow bit by bit.
If your monthly expense increases and you don't have any discretionary income, you are not to buy bitcoin at that time but wait till the next pay day when you have a discretionary income before you buy again. Your emergency funds isn't to take care of family basic needs and monthly expenses. Rather, it should be only used when there is a real life emergency.
Your bitcoin investment should be given the first priority, followed by your emergency funds because emergency may come or not, but it's better to be prepared for an unforeseen circumstances which is why when you don't have an emergency funds, you don't need waiting and wasting time to build it because emergency might not come. It's better to build it along side with your bitcoin portfolio. It does not mean that because you are building your emergency funds with your bitcoin investment that you wouldn't be able to hodli your bitcoin investment for long term.
There is no need building an emergency funds to protect your bitcoin investment when you don't have any bitcoin because you have nothing to protect. Bitcoin is an investment and you should be thinking on how you can accumulate as many bitcoin as possible overtime, by looking for other mean to increase your income when you have started investing and cut down your expenses in order to enable keep your bitcoin investment ongoing without selling a dime.
I think the balanced, practical approach is to start both accumulating Bitcoin and an emergency fund at the same time, but to prioritize liquidity until a minimal safety net is in place. You just have to allocate your discretionary income with a temporary tilt toward the emergency fund, for instance like 60 to 70% to cash, 30 to 40% to BTC until you’ve covered 3 months of essential expenses. This lets your DCA consistently so you don’t wait on the sidelines while still building protection against life shocks that might otherwise force you to sell BTC at a bad time.