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
70980946 /
npub184…x6myg
2024-05-15 08:12:33
Author Public Key
npub184ckyj92slsaslp48tu0sgqgqvj4qdlf4qc2lylp3q3he0andz2sgx6mygPublished at
2024-05-15 08:12:33Event JSON
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"tags": [
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"content": "Dollar Cost Averaging (DCA) vs MVRV \n: A 10-Year Bitcoin Investment Comparison\n--------------------------------------------------------------------------\nInvestment Period : October 1, 2014 - June 1, 2024\n--------------------------------------------------------------------------\nDollar Cost Averaging (DCA) Approach :\n- Strategy: Invest $3 USD on the 1st day of each month, purchasing at\nthe opening price.\n- Total Amount Invested : $351 USD\n- BTC Acquired : 0.2698 BTC\n- Total BTC Value : Approximately $16,608 USD\n- Compound Interest Rate : 47.1%\n--------------------------------------------------------------------------\nMVRV Approach :\n- Strategy : Purchase only when the MVRV ratio is below 1.0, investing\nthe same amount as DCA at the opening price.\n- Note : During the period from November 1, 2023 to June 1, 2024, \nas MVRV was above 1.0, all funds were invested on June 1, 2024.\n- Total Amount Invested : $351 USD\n- BTC Acquired : 0.2433 BTC\n- Total BTC Value : Approximately $14,978 USD\n- Compound Interest Rate : 45.5%\n--------------------------------------------------------------------------\nConclusion :\nWhile Dollar Cost Averaging (DCA) involves a simple monthly \ninvestment approach, it yields better returns compared to \nthe MVRV strategy over the specified period.\n#Bitcoin #Nostr #Siamstr\n",
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