Starting a new job soon which will give me enough to invest in BTC after watching from the sidelines. Planning to use strike for my investmetns and dca'ing quite agreessively to reach at least 0.21 of a bitcoin as a bare minimum in the next 24 months.
My main question is would anyone recomend dca'ing daily as opposed to monthly to offset the higher volatility in swings? Obviously im holding for long term and not looking to sell but i think this may be more beneficial to me?
Anyone recommend DCA'ing daily with smaller increments vs monthly?
byu/Fresh_Phrase_7086 inBitcoinBeginners
Posted by Fresh_Phrase_7086
1 Comment
Strike is smart because after the first investment (for monthly) or week of investments (for daily) you can than buy for free with an auto DCA plan. The key here is to not make the mistake of changing your plan after because than this resets and you pay for another period.
As far as when you should invest , typically the quicker you get exposure the better you are but the differences are often negligible so often its best to just invest when you get paid . So if you get paid once a month set the dca for than , if you get paid weekly set the dca for weekly.
A better solution to benefit is to instead have a fiat savings account that you sometimes dip into and manually buy (smarter to do with a post only buy limit order on another exchange to lower fees) every time Bitcoin dips 5% or more ontop of your DCA investing plan with strike. It is important to refill your fiat savings account ASAP with next paycheck though. You can even setup buy limit order beforehand that auto buy on dips and than simply reset them if they get filled.
The reason is for these 2 reasons
a) you can auto pickup savings with BTC volatility on the dips which is psychologically rewarding and allows you to invest for a cheaper price
b) If a large amount of people create large amounts of Buy limit support than BTC becomes more stable unit of account and more liquid leading to more investor confidence and making BTC more of a currency(less volatility = better unit of account) and thus increases the likelihood your investment will continue to appreciate in value