 Is the Bitcoin DCA opportunity over? Here’s what traders are thinking 
2024-12-27
Category: None

With Bitcoin dominance creeping back up to nearly 60% amid a price stall in the last few days of 2024, there’s a growing belief among traders it could be time to switch their accumulation strategy toward altcoins. 
“Altcoins, at this juncture, offer a far more optimal R/R [Risk Reward] profile than Bitcoin does,” pseudonymous crypto trader Dyme said in a Dec. 27 X post, adding: 
Around 83.5% of crypto investors have used the dollar-cost-averaging (DCA) strategy, and 59% still use it as their primary way to buy crypto, according to a survey published by Kraken on Oct. 7. 
The DCA strategy is investing a certain amount of money in an asset at a fixed, regular time, to capture the highs and the lows, resulting in one average purchase price.
Dyme said to their 64,400 X followers that the altcoin market in 2025 will be “silly af” and said there could be higher risk/reward opportunities in assets from Dogecoin DOGEUSD to Solana SOLUSD or a wider range of memecoins. 
However, Dyme said existing Bitcoin BTCUSD holders should “stay the course and ride it up.” “Assuming, of course, the cycles continue,” he said.
Echoing a similar sentiment, Soap Capital CEO Tyler Durdan said in a Dec. 26 X post that the “next leg up will be glorious.” Durdan added:
Cinnaeamhain Ventures partner Adam Cochran also appears to agree, saying that he believes a US Bitcoin Strategic Reserve has “low odds with current Congress” which would make it hard see Bitcoin outperforming the rest of the market in the short term.
“Other assets will benefit from regulatory clarity, new launches, new ICO eras etc., and that will suck a lot of liquidity out of the room for BTC,” Cochran said in a Dec. 26 X post.
Change in attitude to Bitcoin ‘from the top’ in the US
However, some observers including Blockchain Association CEO Kristin Smith says the Bitcoin momentum is far from over, and there is still upside potential for newer investors even at this stage of the cycle. 
In a Dec. 26 interview with CNBC, Smith said that Bitcoin will reach $200,000 before any likelihood of $50,000. This represents around a 108% increase from Bitcoin’s current price, according to CoinMarketCap data.
Bitcoin is currently trading at $95,720, and CryptoQuant contributor Darkfost recently said that $95,000 is a “favorable zone for implementing a DCA strategy.”
Smith added that the incoming Trump Administration, along with a shift in attitude “from the top” in the US and more financial advisers getting on board, will trigger a new wave of money flowing into Bitcoin.
“As more and more retail financial advisers are advising their clients to do this, I think we’re going to see more people come into Bitcoin,” Smith said.
“People are holding to look for more Bitcoin, not less,” she added.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.