Cryptocurrency Lexicon Letter D

DCA (Dollar-Cost Averaging)

An investment strategy of dividing total funds across periodic, regular purchases of a target asset regardless of its price.

DCA (Dollar-Cost Averaging) glossary illustration
Advertisement

In-Depth Explanation

DCA removes market timing anxiety and automatically acquires more units when prices fall and fewer when prices rise, creating a smooth cost basis.

Practical Market Example

Real-World Application

Investing $100 every Monday into Bitcoin over three years.

Related Calculators

Related Educational Guides

← Return to Complete A-Z Glossary