One thing financial end-users always bargain for are investments that would yield optimally. That’s why even for bitcoin you would need to trade with the perfect tools and knowledge on how to make your investments worthwhile.
For example, the use of Dollar-cost averaging. We have come to understand from our previous post that dollar-cost averaging is a slow and steady way to maintain your bottom line Bitcoin investments and make other returns also. Basically, dollar cost averaging reduces your risk exposure.
The initial phase to kicking off your foray into dollar-cost averaging is to set up your budget source. That means linking a bank account, credit or debit card, or any other expense technique on your investment. This depending on where you live or reside, it can take anywhere from a few hours to a few days to sort out, before you can link payment to that account. The next phase is the verification step on a bitcoin exchange platform or application of choice will verify your bank account by making a few small deposits, and you will need to sign in to enter those amounts.
Once your bank account or other funding source has been linked, you can set up your recurring purchases or the amount of Bitcoin you want to buy per time.
Depending on the exchange, you can make purchases every day, every week, every month or every year. You can also set the day of the month on which to make your purchases, and that can make it easier to track your transactions and manage your bank details.
In conclusion, it should be noted there are Bitcoin exchange applications that can aid this such as Bitnob in few minutes from the comfort of your home. It is also essential to maintain your eye on the goal while doing DCA and not get carried away and finally pick an exit strategy wisely.
Just as you have meticulously made dollar cost average investments, select the exact time you want to rein in your profits, be disciplined with yourself and trade according to your plan.