Dollar Cost Averaging (DCA) vs MVRV

: A 10-Year Bitcoin Investment Comparison

--------------------------------------------------------------------------

Investment Period : October 1, 2014 - June 1, 2024

--------------------------------------------------------------------------

Dollar Cost Averaging (DCA) Approach :

- Strategy: Invest $3 USD on the 1st day of each month, purchasing at

the opening price.

- Total Amount Invested : $351 USD

- BTC Acquired : 0.2698 BTC

- Total BTC Value : Approximately $16,608 USD

- Compound Interest Rate : 47.1%

--------------------------------------------------------------------------

MVRV Approach :

- Strategy : Purchase only when the MVRV ratio is below 1.0, investing

the same amount as DCA at the opening price.

- Note : During the period from November 1, 2023 to June 1, 2024,

as MVRV was above 1.0, all funds were invested on June 1, 2024.

- Total Amount Invested : $351 USD

- BTC Acquired : 0.2433 BTC

- Total BTC Value : Approximately $14,978 USD

- Compound Interest Rate : 45.5%

--------------------------------------------------------------------------

Conclusion :

While Dollar Cost Averaging (DCA) involves a simple monthly

investment approach, it yields better returns compared to

the MVRV strategy over the specified period.

#Bitcoin #Nostr #Siamstr

Reply to this note

Please Login to reply.

Discussion

No replies yet.