How to use Dollar Cost Averaging Calculator on Bitnob

The Dollar Cost Averaging calculator is more than just a simple calculator; it aids investors, like you, in predicting how much their investment would have generated over a specific time frame. Making investment-related decisions, such as how much money to invest and how long you want your investment to last is made easier with the help of the DCA calculator.

I don't want to assume that you are familiar with the concept of Dollar Cost Averaging, so let's define it.

What is Dollar Cost Averaging (DCA)

Dollar Cost Averaging (DCA) is a long-term investment strategy that enables investors to invest a specific amount regularly over a long period. An excellent example of this is making regular daily purchases of $1 worth of bitcoin regardless of its market value.         
 

Dollar-cost averaging is especially appealing for new investors with lesser commitment because they can make little, regular investments that will yield positive returns.

This method typically yields comparable or superior outcomes over time versus trying to time the market. To understand this concept better, click here to watch a quite informative video about it.         
 

Why is DCA  Important

Cryptopedia regards DCA as a way of building wealth over time, which also concedes to the saying of “making money while you sleep” literally. And while that is true, it's important to emphasize the advantages — using bitcoin as a use case.         
 

• If the price of bitcoin drops while you are dollar-cost averaging, then you stand to make a profit if the price moves back up. 

• You are less emotionally attached to your investment as you are saved from the effort of timing the market to get the best prices.         
   
• This method saves you from making a single, large investment, known as a lump sum investment. 

Before going ahead with the DCA strategy, you can predict your returns with a DCA calculator, here is a simple guide on how to use Dollar Cost Averaging Calculator on Bitnob.

How to use Dollar Cost Averaging Calculator on Bitnob

Step 1: Click here to open Bitnob’s DCA calculator 

Step 2: Enter the amount you want to start investing with, set the start and end date, and enter the intervals at which you want it to run. Whether daily, weekly, or monthly, feel free to choose.

        
Step 3: Tap “Continue” and voila, you get to see an accurate calculation of your proposed investment.

Then you can start your savings in bitcoin after making your decision based on the Dollar cost-averaging calculator. Saving in bitcoin on Bitnob is the easiest and most transparent way to invest in bitcoin, we have simplified the use of bitcoin such that you can create a savings plan that will run at intervals just like the DCA calculator. Get started with Bitnob here.

If you have any questions about saving in bitcoin on Bitnob, click here to get your answers.