Bitcoin Investment is all about for discipline in other to succeed if not you will just be at the fence watching, without a normal source which I think you are talking about steady income, you can still have your discretionary income if you are serious about investing into bitcoin, you can get it from any job you do that fetches you income ,even if quarterly, or annual job as long as you have made up your mind and are serious about it, if you can't get discretionary income from your present income is to look for a supportive source of income to make you a bit stable and invest, bitcoin Investment using the dca strategy does not need much money just %10 only whenever you have funds on you and since the t is for a long-term it will be beneficial to you, and if you don't have money to continue your investment, you can pause until you start having money and then continue from where you stop .
I agree, the truth is this makes me remember that on the Spanish board I said something like that and I didn't know that leaving some discretionary income to buy on the dip was a variant of the DCA method, because the DCA method consists of buying daily, weekly, monthly whatever the quota of money to accumulate, I thought that some other income to buy on the dip was another strategy or method and no, it turns out that it is the variant, but it is the safest way to do intelligent DCA work.
I would not consider holding aside money to buy on the dip to be a variant to DCA, even though buying on dips could be a way to supplement DCA.
Buying on dips is not a variant of DCA because it is different. It does not guarantee buying right away and as soon as you have money, but instead it conditions the buys for if the price dips.
Buying on the dip may or may not happen, since in order for buying on dip to take place the BTC price has to go down to the targeted price level in order for the buy(s) to execute. If the BTC price does not go down enough to reach the targeted amount(s), then the buy(s) do not execute.
DCA can be designed to buy as soon as you have money coming in, and it is not conditioned on price changes.
The reason that discretionary income involves money that you can afford to lose because you make a choice.
Discretionary income can be spent on anything whether investment, consumption or savings, so you can choose to totally gamble it away, if you like.
You may well make a choice to invest into bitcoin with all of your discretionary income or you might choose some portion of that discretionary income to go into investing rather than buying cigarrettes.. and yeah, cigarrettes are equally valid if a person chooses to use his discretionary income to buy cigarrettes and perhaps some other thriller, exciting and expensive habits that a person might have.
The person with the expensive habits might find that when he arrives 10 years down the road that he had not made any financial progress in life. He thought that he was happy with his various expensive habits, yet maybe 10 years down the road he is in his 50s rather than his 40s, and he is finding that his income is going down or he is not able to earn as much money, and even though he had a lot of fun in his youth, he has nothing to show for it.
He made choices when he was in his 20s, 30s and 40s, and some people choose to focus on investing, others choose to focus on consuming and perhaps some choose to focus on saving, yet if they kept their money in cash rather than assets (such as bitcoin), then they might find that their savings did not appreciate in value and instead it lost value... so we make choices, and there are consequences to our choices, and discretionary money means that we can choose to do whatever we like whether it is investment consumption or savings.
I would not say to do only one of them, yet we can figure out out to strike a balance since we likely need to bring ourselves some pleasures, yet if our budget is tight, we might have to choose to figure out how to prioritize investing, even if investing means that we won't be able to consume as much in the present.
None of us can tell anyone else whether to prioritize cigarettes over investing... and part of the idea of discretionary is that we can do what we like with it, which is a reason why some folks refer to discretionary income as disposable income... meaning we can throw it away if we like, and when we invest into bitcoin maybe we might think that we are throwing it away, and we are willing to wait 4-10 years or longer before we will start to cash in on the investment, and we are not guaranteed to be in profits, but we invest into something like bitcoin that we believe is more likely to be profitable than not.
You’re absolutely right, discretionary income is quite discrete which is why it’s something that we can easily afford to do whatever we feel like doing with our discretionary income,
Discretionary and discrete are not the same ideas - not when it comes to labelling choices when it comes to choices of how to spend income. Discrete has a different meaning, so
I would not have said that choices regarding how to spend discretionary income is discrete, because that would be confusing and even filled with gobbledy gook to say something like that.
it’s quite our own responsibility to decide whatever we feel it’s comfortable for us to deal with it, an individual can always choose to gamble with it with playing whatever they feel like doing with their discretionary income and they can also choose to save the money somewhere in the bank that will not have any future interest unlike bitcoin that we would have opportunities for future interest, Some individuals save them as fiat money and also be thinking of having fun with their discretionary income, like buying expensive clothes and shoes and also buying cars and living an expensive lifestyle, or be clubbing with their discretionary income, but the truth is that Bitcoin doesn’t stop and individual from living their life or probably be enjoying their life as they feel like doing or doing whatever that makes them happy like going for basketball games or soccer games, but it’s important and necessary for an individual to consider his life choices and decision, because there will be a time where we would definitely have to think about the choices that we have made when we were younger and then when we get older what would have become our decision and choices that we made when we were young, so using our discretionary income with something reasonable like buying and investing into bitcoin which would be a good decision for a lifetime.
It is true that we can use discretionary money however we like, and there are trade-offs to defer pleasure today of possible greater pleasure tomorrow. Frequently guys will prefer to have pleasure today rather than pleasure tomorrow, since tomorrow might not come.. but yeah, sometimes when people fail/refuse to defer gratification, they can sometimes end up putting themselves in a bad situation later down the road since they failed/refused to sufficiently/adequately invest earlier in their lives... and there is a cost to investing, so it is not free to make those kinds of trade offs, and so people have to decide what they believe is a sufficiently reasonable balance for their own circumstances.
However we know there are people who can constantly have a discretionary income and have this basic expenses but we should consider not making a mistakes that will affect our lives in a long term, and also we can try to strike a balance with our lifestyle and our basic expenses because investing in bitcoin doesn’t stop us from having a good fun life, which is why we are investing in bitcoin with our discretionary income and we can possibly have control of this funds instead of the money to control our decisions, as an individual I can possibly consider buying bitcoin with my discretionary income instead of appreciating whichever possible lifestyle and might seems like we are throwing money away, then we can decide to invest with some of this discretionary income, because we might not possibly invest all our discretionary income, but if I decide to invest with all my discretionary income and I know it’s sustainable that is also quite good, then as an investor I can decide to invest in bitcoin for one or two circles depending on my lifetime goals and plans which will be a better decision of holding bitcoin for a long term, instead of throwing our discretionary income into something that would seems like we’re wasting our money on unnecessary spending and then we are making mistakes, well I must say right now that I’m in my accumulation journey I shouldn’t be having any time to appreciate lifestyle choices, instead I would prioritize buying more bitcoin and doing it more aggressively with caution.
Of course, each person has to assess his own situation and weigh the extent to which he believes that investing in bitcoin as compared to investing somewhere else as compared with consumption is good for his situation, and surely the more money that a guy has then the more likely he has more options to generate more discretionary income and to do more than one thing at a time. Some people struggle more than others to generate discretionary income, and sometimes people come to differing conclusions in regards to calculating the trade-offs and/or the sacrifices that might be involved to get into bitcoin or to venture in other areas.
Sure, many of us recognize bitcoin as being a great place to put time, energy and value, yet not everyone is going to come to the same conclusion or a similar conclusion.
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Honestly, man, i still don’t fully get this whole “discretionary income” thing. from what i understand it’s just money you can lose without wrecking your life. So i’m sitting here thinking if i skip a pack of smokes and throw that into Bitcoin, ten years later maybe my lungs are healthier and my wallet’s fatter. Sounds like a win-win, right? but then the other side of me goes what if Bitcoin tanks? then i’ve got no smokes and no gains. Double loss that’s where the confusion kicks in.
one thing I am starting to realize, though, is that nobody’s saying “only invest” or “only live it up.” the real trick seems to be balance. like, say i skip a pizza today and toss that cash into Bitcoin one day maybe that turns into enough for the whole family combo.
So yeah, i’m still a total newbie, half the time my thoughts are scrambled, but common sense tells me this: don’t blow all your extra cash, just mix it up a little fun, a little stackin.
You don't sound confused.
Sure you might have to practice with the ideas for a while and put such ideas into practice within your own life - without being flippant about it, and surely, you might be able to learn to take bitcoin and your cashflow seriously and even learn about bitcoin (and your own self - finances and psychology) along your journey into building up a bitcoin stash and strengthening your cashflow management systems and practices. And, yeah, all of what you do may or may not end up improving your life and giving you more options by investing into bitcoin as compared to not investing into bitcoin, as you noted that possibility to be part of the mix of things that could end up happening in your life.
You could make all kinds of great plans, and have everything going for you, and the next thing you know, you got hit by a bus and kilt. You also could try to figure out some balance, and maybe you get hit by the bus and maybe you don't, and if you end up putting yourself in a better position 4-10 years down the road due to your balanced practices that involve investing, reasonably improved cashflow management practices and some kind of balanced consumption, then yeah, you may or may not be in a better place due to your various efforts.. and bitcoin may or may not be $1-10 million in 10 years.. .it could be ONLY $20k..
You don't really know the future or the various outcomes, and what outcomes might be more likely than other outcomes, even though if you educate yourself on various matters related to the world, money bitcoin and other topics that might affect you, then you may well be able to put yourself in better positions that you are able to fit into a variety of possibilities, yet how you deal with these matters is in your hands, and what you consider would be the better ways to prepare yourself for a variety of future scenarios would also be within areas that you likely could control.
These are matters that are on you to figure out the various kinds of preparations in regards to attempting to control things that you are able to control and accounting for various possibilities of things that could come at you from things that you either cannot control or that you might only be able to partially control. There is a mixed bag in life and some folks start out with better tools in their bag, and others are able to acquire some of the better tools along the way to improve their situation at various points along the way, even if there are a lot of challenges in the world and even some bad things going on too.