Note that in general, the DCA strategy is aimed at reducing the entry price. Let's imagine that a trader bought one whole thousand dollar coin. Then its exchange rate dropped by half. Instead of panically selling the asset at the bottom, the investor invests another thousand dollars, but at a rate of $500. This way he will have three coins already, and the average price of each coin will be 666 dollars, because he invested only 2 thousand dollars in them.

Sometimes investors use DCA simply to regularly buy crypto for the same amount at the same intervals. And it’s not a bad tactic for an intermarket when the market is crashing or generally behaving erratically.

Buying cryptocurrencies

It is important to note that such actions should only be performed on serious projects that can survive even the worst cryptocurrency market conditions. Otherwise, you will end up averaging to zero, which will result in a massive loss of funds.

How cryptocurrencies are traded

A program called “Buy the Dip Bot” is designed to “get the best price for a given asset using a limit strategy”. In creating the bot, Samjhill was inspired by the idea of another user Reddit, who suggested using a method of manually placing trading orders on an exchange, i.e. entering data to acquire coins himself. Another user brought the strategy to life by automating it for maximum convenience.

The bot’s page on Github

According to Cointelegraph’s sources, the bot places limit orders at several intervals below the current price, and if the order is executed or cancelled, the process is triggered again. Using Amazon Web Services, Python, Lambda, DynamoDB and React.JS when hosted on GitHub, the cost of running the bot is quite low, at “around $5 per month”.


As a reminder, a limit order is an order to an exchange to execute a transaction at a given price. Usually such orders are used to buy at a lower price and sell at a higher one. Naturally, in this case, no further action is required of the trader to execute the trade.

The Buy the Dip Bot was launched back in December last year, but it began to show success relatively recently, overtaking the profitability of DCA-strategies. When arranging the grid of orders the bot also uses the result of the analysis of the success of past deals. The programmer says that the bot’s tedious tuning work has given him a “winning strategy”.

DCA strategy scheme

Should you use Buy the Dip Bot instead of the usual DCA strategy? The question is answered by the developer of Samjhill as follows.

For beginners, a regular DCA strategy probably makes more sense because their goal is to accumulate as many coins as possible. Traders with more experience probably already have a good supply of bitcoins, so the bot will come in handy as a useful tool to minimise transaction costs.

So, the developer recommends that those who haven't done so yet accumulate large amounts of cryptocurrency. The advice probably makes sense, because newcomers usually have relatively small capital - and it's hard to work with.

Buying bitcoins with bots is not the only way to get hold of cryptocurrency – at least in the near term. The day before, the popular crypto exchange FTX launched a contest to give away BTCs to fans of the Super Bowl, the final championship game of the National Football League of the United States to be held on Sunday. That said, the amount of the giveaway depends on when the FTX commercial appears on viewers’ screens. That is, if the commercial airs at 9:02, the company will give away 9.02 BTC.

Read also: American football star gives away a million dollars in Bitcoin. Why.

Four people can win the contest. To take part in the giveaway, you need to subscribe to FTX’s Twitter account and also retweet the attached post. The exchange’s promotional video is expected to appear in the second half of the Super Bowl, around 8pm North American Eastern Time. Potential winners will thus share around 8 BTC between them. And at current exchange rates, that’s the equivalent of $348,000.

Promotional time during the event was bought by another cryptocurrency company Crypto.com – 30 seconds for its own video for $6.5 million. As you can see, major marketplaces have reached an important development milestone: their budget and scale now allow them to entice a huge number of new users, even at such large-scale events. And that is very good for popularizing the crypto market.


We think the idea of trading bots sounds really good. However, creating them requires additional knowledge, and such programs never work perfectly. They need to be constantly adjusted based on current market events. Therefore, such an idea is likely to remain the prerogative of risky programmers.