One of the first books I ever read talked about a wealth creation method I been using since I was 16 years old, the concept is very simple but hard to master.
The book was "The richest man in babylon"
Babylon was the riches city of its time, it was this way because all the citizens of the city shared ideas of earning and expanding their wealth. Because all the money the city had their land had many luxuries.
They where one of the first to use a written language and to use metal tools instead of stone. They had huge walls and advance defenses.
After the empire fell, archeologists found clay tablets that explain the rules they followed to gain riches. The rules were originally made by the richest man in Babylon which explains the title. There were a total of seven rules, the most important being:
Out of every ten coins you make pay one tenth to yourself, then spend the rest
Over time you will accumulate wealth without doing anything, you can get by just as well as before. The book then goes on to explain that with the money you saved, invest in something that can multiply your money. When a opportunity comes you will have the money, to take the opportunity and make money from it.
These rules are still true to this day, next time you receive a paycheck "pay yourself first" then feel free to spend the rest on whatever you want. ( bills, tax and so on )
Make sure you can tell the difference between wants and necessities, overtime you will not even realize you are using less money and it will feel natural to pay yourself first the 10%. Even when you start earning more, don`t decide to stop working getting rich doesnt happen over night.
This is a method on how to start your journey to success, even if you fail and lose your money in a bad investment "restart" the process. The book describes how some of the richest people to rise to power in Babylon started as slaves.
I may take years but in the end your work and good investments will pay off, this is a lifestyle!
Before I start talking about the Bitcoin buying strategy, lets look at investopedia explanation about dollar averaging (DCA)
What is Dollar-Cost Averaging (DCA)
https://www.investopedia.com/terms/d/dollarcostaveraging.asp
Dollar-cost averaging (DCA) is an investment technique of buying a fixed dollar amount of a particular investment on a regular schedule, regardless of the share price. The investor purchases more shares when prices are low and fewer shares when prices are high.
The DCA technique does not guarantee that an investor won't lose money on investments. Rather, it is meant to allow investment over time instead of investment as a lump sum.
BREAKING DOWN 'Dollar-Cost Averaging (DCA)
Fundamental to the strategy is a commitment to investing a fixed dollar amount each month. Depending on an investor's investment objectives and risk profile, the monthly contributions can be invested in a mixed portfolio of mutual funds, exchange-traded funds (ETFs) or even individual stocks. Each month, the fixed amount buys shares at the then-current prices. As share prices decline, the fixed amount buys a higher number of shares; when prices increase, the fixed amount buys fewer shares. The real value of dollar-cost averaging is that investors don’t need to worry about investing at the top of the market or trying to determine when to get in or out of the market.
Dollar-Cost Averaging Example
For example, assume an investor invests $1,000 on the first of each month into Mutual Fund XYZ. Assume that over a period of five months, the share price of Mutual Fund XYZ on the beginning of each month was as follows:
• Month 1: $20
• Month 2: $16
• Month 3: $12
• Month 4: $17
• Month 5: $23
On the first of each month, by investing $1,000, the investor can buy a number of shares equal to $1,000 divided by the share price. In this example, the number of shares purchased each month is equal to:
• Month 1 shares = $1,000 / $20 = 50
• Month 2 shares = $1,000 / $16 = 62.5
• Month 3 shares = $1,000 / $12 = 83.33
• Month 4 shares = $1,000 / $17 = 58.82
• Month 5 shares = $1,000 / $23 = 43.48
Regardless of how many shares the $1,000 monthly investment purchased, the total number of shares the investor owns is 298.14, and the average price paid for each of those shares is $16.77. Considering the current price of the shares is $23, this means an original investment of $5,000 has turned into $6,857.11.
If the investor had invested all $5,000 on one of these days instead of spreading the investment across five months, the total profitability of the position would be higher or lower than $6,857.11 depending on the month chosen for the investment. However, no one can time the market. DCA is a safe strategy to ensure an overall favorable average price per share.
So how can you follow this wealth creation method to become successful with buying Bitcoin?
Each month take 10% or more ( pay your self first ) from you paycheck and invest it in Bitcoin. You want to spread the buying orders over 4 weeks no matter the price.
( for advance users save the money to bear market, this requires that you are always updated on the market )
Using this strategy and you will be a winner, Bitcoin is a long term asset class with great gain potential. Bitcoin is more then just a investment, its the solution to give people back power over money.
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⚠️⚠️DISCLAMER⚠️⚠️
I am a hobby investor. I am not a financial advisor. Please do not take anything I say as tips or advice. I am only sharing what I am thinking, and what I am doing.
Always do your own diligence
NEVER invest any more then you are willing to lose.
Start Bitcoin mining today with SGG ( recommended cloud mining )
http://shortcut-to-riches.swissgoldglobal.com/en/cryptocurrencies
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