How to beat the Market
Read this article to learn how you can beat the Market and start investing smart in your sleep.
When it comes to Bitcoin, there is only one catchphrase: More!
Maybe you’re just starting to invest or you are already an expert.
Either way, you’re looking for a way to invest that is easy.
I’ve got two words for you:
This is one of the best ways for the investor who is in it for the long run.
If you would have invested 100$ a month (25$ a week) over 5 years your total invested cash would be $6,525 you would have accumulated 6.758725 BTC in total worth +/-$52,802 that would be a 709.23% gain over 5 years.
Let’s be honest, learning to trade and guessing when it’s the right time to buy and sell, can be difficult for all traders.
That’s why if you set up a savings plan with Bitpanda Savings, the funds will get debited automatically from your bank account which is very convenient.
By acquiring Bitcoin over a long span of time continuously, you are able to level out market volatility. Buying Bitcoin, or any digital asset you like, on a weekly or monthly basis means you are less likely to suffer from short-term price volatility.
Advanced Cost Averaging
If you have some experience in trading btc, you’ll quickly realize that you can improve the performance of your dollar cost averaging strategy by making use of some simple tools.
When going this route, you would purchase Bitcoin whenever a set of simple technical analysis tools give you a signal, instead of a fixed time interval.
Some examples of signals that traders can use for better timing entries include buying when Bitcoin approaches a high time frame moving average (like the 200 DMA), looking for unusually oversold conditions (RSI or MACD), or using a valuation tool like the RainbowChart.
Dollar cost averaging is a powerful strategy for investors looking to get long-term exposure to Bitcoin. However, just like any strategy, it has its pros and cons.
-Doesn’t require big up-front investment
-Reduces the risk of buying tops
-Reduces emotional stress
-Gives you time to understand Bitcoin
Everyone that held Bitcoin for more than 3 years, is in profit on their initial purchase. However, many people capitulate just shortly after making their purchase.
These investors often do so because they did not take the time to properly understand Bitcoin, and react emotionally after a sharp BTC price decline.
In order to avoid making the same mistake, it is crucial that you understand the value proposition of Bitcoin and that it should NOT be seen as a “get rich quick scheme”.
A Bitcoin Dollar cost average strategy helps with this by giving you some time to properly research Bitcoin, before your entire investment is allocated.
The result of this is that while you still know little about Bitcoin, your allocated investment will also still be relatively small.
Yet as you continue to learn more about Bitcoin, your periodic purchases also kick in.
Hence, your invested amount in Bitcoin grows together with your knowledge about the currency.
-Eliminates possibility of buying exact bottoms
-Takes time to get the desired exposure
-Potentially lower performance in strong bull market
I think the Pros outweigh the Cons, less stress better live!
Start a Bitcoin (BTC) savings plan here
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Pantos a hidden Champion!
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Cryptocurrency trading is subject to high market risk.
Please make your trades cautiously and don’t go all in.
Please make sure you always activate 2FA* on the Exchanges.
Do not keep all of your Coins on the Exchange, store them on a Hardware-wallet like Ledger Nano* or Trezor*.
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Time for Plan B
Start a Bitcoin (BTC) savings plan here