That means what I need to ask is whether someone who invests in Bitcoin must have an emergency fund to help when the situation is in trouble or what exactly?

Because basically investing in Bitcoin only requires knowledge on how to understand how the market moves with the aim of not making mistakes when accumulating Bitcoin and also many people accumulate Bitcoin by having discretionary income only meaning that one income generated will affect the investment we make because when there is something that is needed for personal or family needs, of course this will make the situation even more difficult so I asked whether when someone invests in Bitcoin they have to prepare an emergency fund or a fund that is saved behind or what things should be done so that with one income they can make a smooth Bitcoin investment by accumulating Bitcoin either weekly or monthly.

If a brand new investor doesn't have any form of backup funds before he got interested in bitcoin investment, he can start buying right away if he has his discretionary income because that's the most important thing since you can build your emergency funds simultaneously with your bitcoin investment till it reaches three months of your monthly expenses.

If you want to wait till you build your emergency funds before starting your Bitcoin investment, it will deprive you from getting started and that will make you lose a lot of opportunities in the market that you should have used to buy and grow your bitcoin portfolio to a certain size. The reason is because, it can take more than one year to set up an emergency funds of three months of your monthly expenses.

There is no need building an emergency funds when you don't have a bitcoin investment to back up. Also keeping too much fiat in your possession isn't a good idea because fiat depreciates overtime. This is why you need to get started immediately your discretionary income is available because bitcoin is a good asset to accumulate early when you have the opportunity to do so. Bitcoin is the opposite to fiat because it's a store of value overtime.

The funds that are left after meeting your needs from the money you earn are your discretionary income. Instead of buying Bitcoin with the entire amount of that discretionary income, keep 60% for Bitcoin accumulation, 30% for an emergency fund, and the remaining 10% for your extra expenses. An emergency fund allocation will not always be necessary because once a certain amount of emergency fund is accumulated, you can keep the allocated 30% as a reserve fund and sometime aggressively buy Bitcoin.

In order to get rich in the short term, some investors advise keeping a certain amount of funds from the earned funds for investments and spending the remaining amount on the family. I think this is the wrong investment strategy because this strategy will increase stinginess and will be equivalent to living a poor life. Use a part of your discretionary income for accumulating Bitcoin and start with a long term investment target such as 4-10 years or more.

This case is not about any situation of life and death with this mate; he probably didn’t follow the rules of the DCA investment that ask us to have backup money for your upkeep and for any emergency that will come up so that you will not be forced to touch your Bitcoin savings.

If you have to visit your Bitcoin savings always when you need emergency money then you need to improve your savings strategy, you cannot always depends in your  Bitcoin savings  you are supposed to hold for long, and that’s why the DCA method is encouraged so that you can be free and invest using some part of the money you are earning weekly, monthly, Andy time of your convenience so that you can have some money saved outside Bitcoin investment for your daily life and your upkeep.

That is not a very good investment structure and this is not something anyone should normalized. This problem was not that you actually needed a phone, the problem is that your Bitcoin was your back up plan. And this act just prove that there was no proper financial setup in place. See in Bitcoin, when your mindset is in long term, you are not supposed to dip in just for basic needs or predictable needs.

I can't even say that a phone is an unexpected emergency, It is a predictable expense, so when something of that sort actually forced you to sell your Bitcoin, that is a evident that there were no backup funds, no planning and no separation between investment and daily life expenditures. That is not investing, that is simply poor allocation.

This is precisely the way how people interrupt their accumulation and end up later complaining that they did not get to enjoy the benefits of holding, the problem here is not the market but the structure.

The best Bitcoin approach is very simple as ABC, which is to invest only what you can actually afford to leave untouched. Let me tell you, if you are still in a situation where you are actually forced to sell your Bitcoin, then even increasing your Bitcoin should not even be on the list, but rather the focus should be to fix your financial structure, to create backup funds and understand your discretionary income.

We recognize the emergency fund as the guardian of Bitcoin investment, because if Bitcoin investment is held for a long time, it is necessary to form an emergency fund to maintain it periodically. Because many people may face danger, so this emergency fund should be dealt with before extra pressure is created on Bitcoin investment.
Because in this current situation, Bitcoin investment is very important because investing is very important if future money is to be ethically successful. Therefore, it is even more important to form an emergency fund to maintain Bitcoin investment, then it will be easier to hold it for a long time and achieve more benefits.

Not everyone puts their investment experience to good use. For example, you may have been involved in investing for a long time and have been accumulating Bitcoin. After a cycle or two, you may want to grow your wealth faster. One good reason for this is that folk demand is infinite. When a person gets more than he expects he expects more and gradually he wants more.

Comparing Bitcoin investment with other investments may not be the right regard for you. As there is risk in Bitcoin investment and there is a strong possibility of getting high profits for you by saving for the long term. Long term time frame is more than one cycle or a period of 4-10 years by regularly accumulating Bitcoin.

Set aside a large portion of your discretionary income to accumulate Bitcoin regularly, keep an emergency fund and a reserve or floating fund available. Market conditions will change but the accumulation strategy you have to take is to remain consistent and continue to Bitcoin regularly because as Bitcoin holdings grow and it is an independent financial system for you.

This means they should just keep going without thinking about the backup fund first. As I understand what you mean the backup fund will be there after someone has completed their goal of buying for investment whether long-term or short-term. I also need to ask what happens if an investor can't build an emergency fund or backup fund after starting to invest as you mentioned. Is this part of the risk the investor must accept?

And this is the right thing to do because there's no need to wait to start investing. When someone starts they're certainly taking the right steps. We don't know the opportunities we'll get from what we've done when we first started buying Bitcoin. Therefore we must learn this momentum simply to grow our Bitcoin portfolio for the future. Sometimes this momentum doesn't have to wait until after we start because we use methods when buying Bitcoin without considering market prices. This is because we don't waste opportunities or time when starting or doing it.

This is the same thing that someone does when doing DCA when the price is in decline but when they have invested for 5-8 years but when the market price is in a significant increase but still hold back from selling even though if the amount that has been accumulated half of that amount can be sold because we also need to enjoy the results of the profits that have been obtained because basically a person's target will not be the same as what we think even though sometimes someone has the goal of increasing the number of assets but for me it feels bad because it is too much to hold back but there are other reasons that they may hold back or do like that because there are emergency funds saved for the needs to be spent so they dare to hold back from selling half that has been accumulated.

This is what real gambling with your Bitcoin investment is, because selling prematurely and hoping to buy back when the value of Bitcoin has gone down, which we all don't know when it may happen is just another way to say that, I just want to sell and try my luck if the market might dip again, so that I will buy again. And that is no longer an investment, but it's more of trading or  gambling because he or she is trying to outsmart the market that is near impossible, hoping for a quick profit that wouldn't have any significant effect on his finances, so it's a wrong way for any Bitcoin investor to follow, since his ideas is just too myopic.

This method is up to each individual in determining the direction of the investment we make because if it is wrong in placement of course many people experience or do it in the direction you said namely gambling because in fact someone in making an investment is someone who is able to restrain themselves from doing things that are not beneficial for the future because if we are able to protect Bitcoin investment of course this will be an asset for someone's future especially making long-term Bitcoin investments that make the price we cannot predict how much will happen in the future because we invest in this way or method expecting profits to be used in a direction that can be useful not to direct it towards satisfying the desire to gamble by using the profits from the investment we made so this is quite the wrong way to place it in the direction of things that are not beneficial the results of the profits to indulge in desires in terms of gambling.