SIP or Lump Sum

in LeoFinance4 months ago

I was reading a post from @themarkymark, about What if you bought $100 worth of BTC every month since creation?, and the numbers given was insane. Though I know there are might be none or very few people who have hold their Bitcoin for such a long time.

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Now this post has brought a very interesting question is that what if not from the creation of Bitcoin but from when you know about Bitcoin you start investing $100 per month. Then also you might end up accumulating a lot of money.

Since we have numbers in front of us its very easy to compare $10000 5 years ago vs $100 per month. But what if you have invested that $10000 in 2018 and lost around 70% in 2019. But if we see $100 SIP per month, that will help you to average out your investment. Bitcoin is here to stay, investing $100 per month is not gonna stop in 5 to 10 years but it will be for your future and thus its value will increase once we have mass adoption.

Though I a lot of people will argue that I have money I can invest right away, that's good because the sooner you invest the best. But if you try to time the market or if you do not come out from the market at the right time you are gonna lose. And if you stay invested for a longer time then you are gonna gain that's what we call long term investment.

Though this concept is not only applicable to Crypto, but any stock or bonds or mutual funds where you want to invest. If you have the money invest and then keep an eye on when to come out. If you do not have money then do a SIP (Systematic Investment every month) and thus forget about it until you need it or if you want to maximize of both world. Then buy on every dip but you never know who deep us the dip.

So be careful and start investing however you want but Invest.

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SPI is the best thing In my opinion, it good to see you back here brother

Thats true, I am always here though I dont post much now a days

indeed, oh you should then. It feel good to see posts of the familiar ones brother

!giphy together