What is DCA 💥💥

In crypto 💥💥

Imagine you are going to a wedding where there are different types of food — Biryani, Korma, Chicken Tikka, Lentils, Sweets, etc.

If you fill your plate with everything at once (i.e., eat a lot all at once):

Either you will get an upset stomach

Or some tasty items will go to waste

Or you will run out of hunger too soon

But if you slowly taste a little bit at a time (i.e., eat an appropriate amount at intervals):

You will be able to enjoy the taste of everything

You will keep yourself satisfied

And the risk of loss will also be reduced

💸 Now apply the same concept to DCA:

If you invest all your money in crypto at once and the market drops — you can face significant loss.

But if you invest a little over time (i.e., continue DCA):

You will buy at an average price

The impact of market volatility will be reduced

And profit is possible in the long run.