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DCA_Crypto_Analysis

DCA

Testing Dollar Cost Averaging in principal Cryptos

Dollar-cost averaging involves investing the same amount of money in a target security at regular intervals over a certain period of time, regardless of price. By using dollar-cost averaging, investors may lower their average cost per share and reduce the impact of volatility on the their portfolios. source


Lump sum investing, as the name implies, is the strategy of putting all of the money into the market as soon as possible.

Dollar cost averaging and lump-sum investing can both help you invest your money strategically, but it can be tricky to choose between them. Source


In this Data Analysis, I am going to test the performance of the DCA strategy against Lump Sum investing for some of the top cryptos using Jupyter notebook.

Data source: Yahoo finance

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