Discover a new way to save in Bitcoin thanks to Bitstack's latest innovation: Smart Recurring Buying. While Dollar-Cost Averaging (DCA) has long been an essential strategy used by many investors, we decided to go even further to offer you an intelligent and optimized investment.

What is Dollar-Cost Averaging (DCA) in Bitcoin?

Dollar-Cost Averaging (DCA) is an investment strategy that reduces the risks associated with market volatility. In the case of bitcoin, this consists in regularly investing a fixed sum, regardless of price fluctuations (example: buying €25 worth of bitcoin per week). So, rather than looking for the ideal time to invest, the DCA approach makes it possible to buy Bitcoin at various prices over an extended period of time.

The main advantage of this method is to limit the impact of market volatility on your investment. By buying at different price levels, you smooth out the average cost of acquiring your bitcoins, which reduces the effect of short-term changes. In addition, since you invest regularly, you benefit from the long-term growth of Bitcoin, which has shown an upward trend over the years.

How is Smart Recurring Buying different?

With the Smart Recurring Purchase feature developed by Bitstack, you can now go beyond simple DCA. This new method automatically adjusts the amount of your Bitcoin purchase based on market conditions, regardless of whether you have planned a recurring daily, weekly, or monthly purchase.

Smart Recurring Buying adds a layer of sophistication to traditional DCA, aimed at improving the return on your bitcoin investment over the long term.

How does it work?

Smart Recurring Buying is based on a simple but effective principle: comparing the current price of Bitcoin to its 60-day moving average. If the price of Bitcoin is below the average of the last 60 days, then Bitstack will automatically increase the amount of your recurring purchase. If it is higher, Bitstack reduces it accordingly.

The extent of this adjustment depends on the investor profile you have chosen in the app:

• Careful: The purchase amount may vary by plus or minus 10%.
• Moderate: The purchase amount may vary by plus or minus 20%.
• Dynamic: The purchase amount may vary by plus or minus 30%.
  
  

For example, if the current Bitcoin price is 5% lower than the 60-day moving average, Bitstack will increase your recurring purchase amount by plus or minus 5%.

Why is it important?

This method allows you to make the most of market conditions without having to constantly monitor price charts. This makes Smart Recurring Buying the ideal choice for long-term bitcoin investors. Additionally, you can choose the frequency of your DCA (daily, weekly, or monthly) and set the day and time for your plan to be treated.

How do I get started?

It is very simple! Make sure you have installed the latest version of the Bitstack application available on the App Store and Google Play then go to “Recurring” to set up your smart recurring purchase.

In case you already have a regular recurring purchase scheduled, simply click on the “Smart Recurring” switch to activate it. You can then choose your investor profile.

Conclusion

Bitstack's Intelligent Recurring Buy offers a nuanced approach to Bitcoin DCA, allowing you to adjust your investments in real time based on market conditions. It minimizes risks while maximizing opportunities, allowing you to get the most out of your Bitcoin savings.

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