Investing with your emergency fund is not a total bad idea at all because after you have might paid all your bills and the money remaining becomes your discretionary income and inside that your discretionary income you can still generate out your emergency fund and started investing in the last 6 months and think you to invest using your emergency fund so that it multiple more income since you are not using it at the main time, you can invest with the emergency fund and tage it emergency fund which means it can be pull out if incase of unforeseen circumstances that might happen, so the reason why we should invest emergency fund is to back your really investment incase of anything, so you can decide on what to do with your emergency fund as per dividual convenient or best know to you, if actually you needed your emergency to in cash but left with me, i will say that once you progress with your Bitcoin portfolio that there are always a need to invest to have emergency fund.
Your comment is very misleading. Investing with emergency fund is never a good idea. Because if you invest with emergency fund and at that time if you are in financial crisis then how will you deal with financial crisis. As you said invest with emergency fund and then create another emergency fund. If you create another emergency fund, what will you do if you have financial crisis. If the price of Bitcoin falls during emergency then you will have to sell Bitcoin at a loss. It is never a good idea to use emergency fund to invest aggressively or to invest. Investing with emergency fund and gambling are the same. A person should buy based on his financial situation if a person buys without depending on his financial situation then he may face danger after some time. So one should continue to buy based on financial situation.