How often should I buy Bitcoin – The low-risk strategy

As a new investor, a question that often comes to mind is “how often should I buy Bitcoin?”. The answer to this question will highly depend on your goals. Let us explain.

  • Depending on the current conditions of the market, it might be preferable to buy in small batches or all at once. 
  • Also, you may only be able to allocate a small amount towards your BTC investments. In that case, small batches over repeated timeframes could be a solution.

So, how often should I buy Bitcoin?

Let’s assume you are a new investor, looking for some advice. You should know by now that over long periods of time, Bitcoin increases in value. 

As such, investing a small amount of money over repeated timeframes is almost always profitable.

A strategy called Dollar Cost Averaging (DCA) is probably the best example in this case. DCA entails that users allocate a small amount of money on a weekly or even daily basis, to buy Bitcoin or other cryptocurrencies. 

Obviously, the smaller the timeframes, the more local highs you may be able to “catch” along the way. For most investors, this has been the most profitable way to acquire Bitcoin so far.

If you are more experienced and went through at least one bear market, you could try to guess the market movements. 

For example, if your indicators show oversold conditions, it might be a good time to buy a large amount of Bitcoin. You can do this fast and easy through Paybis. And later, when overbought conditions occur, you can easily sell through our platform as well. 

In most cases, the Relative Strength Index and the Money Flow Index are two good indicators to help you better predict when it is a good time to sell.

Keeping things on the safe side

In most cases, people who think of themselves as advanced traders are usually not. As such, there is one thing that you should keep in mind. Do not try to “short” Bitcoin in a bull market.

Even though technical indicators seem to work, for the most part, they can act irrational during bull markets. As such, it is always better to buy and HODL your coins, since history has shown that Bitcoin grows in value over time.

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