Cryptocurrency

A Lesson in #Bitcoin and #Ethereum Dollar-Cost-Average Investing: Why the Average Trader is a Loser Long-Term

A Lesson in #Bitcoin and #Ethereum Dollar-Cost-Average Investing: Why the Average Trader is a Loser Long-Term

Investing X in ETH from March 2020 to August 2021 every 7 days would result in:

$25: $1,825 -> $11,131.86
$50: $3,650 -> $22,263.73

Average price: $1,086.41 per 1ETH: +509.96%


Investing X in BTC from Mar 2020 to Aug 2021 every 7 days would result in:

$25: $1,825 -> $4,736.08
$50: $3,650 -> $9,472.15

Average price: $25,398.52 per 1BTC +159.51%


Combined Total:

$25: $3,650 -> $15,867.94
$50: $7,300 -> $31,735.88


SIDE NOTE: If you spent your original $600 and/or second $1,200 stimulus check on bitcoin – today it would be worth:

$600: $845.29 (+140.88%)
$1200: $7,223.01 (+602.92%)


Just For Fun Math

A dollar-cost averaging + bulk buy on corrective periods strategy with both ETH and BTC for the last 5 years of just $50 each per week was enough to have $1M between the two.

Investing $50 in ETH from Jun 2016 to Aug 2021 every 7 days ($13,500 in total) would result in $303,761.44.

Average price: $475.22 per 1ETH.

= +4400.17%


Investing $50 in BTC from Jun 2016 to Aug 2021 every 7 days ($13,500 in total) would result in $607,522.89.

Average price: $10,957.25 per 1BTC.
= +1259.65%

  • $303,761.44 + $607,761.44 = $911,522.88 *

$10 per week = $158,215.14
$25 per week = $455,761.44

THIS IS NOT ROCKET SCIENCE.


Nearly everyone in my life is capable of replacing a few coffees and drinks or whatever you have to come up with for $10-50 per week. These #’s don’t even consider bulking buying instead of an X regular weekly amount during massive corrective periods.

A formula of dumping more larger amounts during these periods helps significantly increase margin and drive down the average buy price, and these numbers above are much higher.

Most people are their own worst enemy and just can’t seem to get out of their own way. Don’t be that person!


https://www.dca-cc.com/
https://twitter.com/crypto_stimulus
https://twitter.com/600stimulus

https://news.bitcoin.com/dollar-cost-averaging-crypto-profits-low-risk-bitcoin-investing-without-all-the-stress/
https://www.cnbc.com/2021/06/18/crypto-ceo-uses-dollar-cost-averaging-to-buy-bitcoin.html
https://www.forbes.com/sites/jonathanchester/2020/02/18/the-benefits-of-bitcoin-dollar-cost-averaging/?sh=51580236302b
https://cointelegraph.com/news/investors-dollar-cost-averaging-bitcoin-since-2017-made-a-618-

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