Hafez Financial Services


When is the best time to buy cryptocurrencies?


Cryptocurrencies like bitcoin are always in danger of fluctuating. As we have experienced many times before, the price of cryptocurrencies rises or falls by tens of percent in a day and sometimes just an hour.
When prices start to rise, we all do not know if this is the best time to buy because of the sense of profit we find (FOMO).In any type of investment, the decision to enter the field is associated with a lot of anxiety, uncertainty and fear.
In the following, we will explain the less risky buying process by introducing two methods, DVA and DCA:
The Dollar Cost Averaging method (DCA) is an investment technique that aims to reduce the impact of market volatility by investing a certain amount of assets according to a regular schedule. For example, we can say that we intend to buy bitcoin for $100 every two weeks. This technique is not unique to cryptocurrencies. Traditional investors have used this technique for decades in stock market volatility.
The Dollar Cost Averaging method is an effective way to access cryptocurrencies that can be used to invest a certain amount at a given time without worry. In any case, if you want to use this method, think about whether it is suitable for you and your investment conditions or not.
The Dollar Value Averaging method (DVA) is one of the methods that is currently considered to make a profit through investment. The goal of this method is to invest more money intelligently when the price is falling and, conversely, to invest less capital when the price is rising.
In the Dollar Value Averaging method, more purchases are made when prices are low. In fact, this method determines the amount of value we are looking for in each period, and to achieve that amount, the necessary investment must be made.

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