What is the Dollar-Cost Averaging (DCA)? It is an investment method that lowers the risks of buying for a price that is too high with all the funds. Let’s describe the key characteristics of the DCA.
Investment strategy
DCA investment strategy is being used to enter the market while lowering the risk of buying at a high price
Cost averaging
The technique is so-called because of its potential for reducing the average cost of shares bought.
When to use DCA
DCA effectively leads to more shares being purchased when their price is low (typically in a bear market) and fewer when they are expensive.
Regular investments
Investing using the DCA method means buying a fixed amount of bitcoin regularly no matter the price.
Automatic investments
BTC DCA tool eliminates the manual actions and automates the bitcoin purchases periodically in time.
DCA for saving
The automated DCA strategy is so simple that it can be used effectively for long-term savings.