📉 What is DCA? How do traders use it to reduce risks?
In the crypto world, prices change rapidly, making market entry psychologically exhausting.
Here the concept of DCA – or "Dollar Cost Averaging" – emerges as a strategy to reduce stress and risks.
✅ What is DCA?
Dollar Cost Averaging
It means buying small amounts of the currency at regular intervals, instead of buying a lump sum.
✅ Its benefits:
Reduces the impact of price volatility.
Prevents emotional decision-making.
Suitable for long-term investors.
✅ Practical example: Instead of buying 100$ BTC in one go, you buy 20$ every week over 5 weeks.
🔚 Summary: DCA does not guarantee profit, but it is an effective tool for managing risks and reducing stress.
📩 Have you tried this method? Share your opinion with me.
