I tested DCA vs Lump Sum 50+ times. Lump Sum wins 81% of the time

I’ve seen so many people say “just DCA, bro”. So I got curious and ran the numbers myself using a Bitcoin DCA calculator. Here’s what I tested: Fixed amount of cash (e.g., $44k) Strategy 1: Lump Sum – buy all at once Strategy 2: Weekly DCA Backtested over dozens of start dates since 2014 The Result? Lump Sum beats DCA ~81% of the time. Why? Because Bitcoin usually goes up over time. Waiting to enter the market just delays exposure to upside. DCA only won in a few cases — and only when I happened to start right before a major crash (like late 2021). But those are rare and hard to predict. So here’s the tradeoff: Lump Sum = better average outcome DCA = better sleep at night If you’re sitting on a big cash stack and thinking about easing in… just know that historically, you’re paying for that emotional buffer. The math is clear: unless you know a crash is coming, Lump Sum gives you more Bitcoin. Happy stacking. submitted by /u/Necessary_Flounder_7 [link] [comments]

Jun 20, 2025 - 23:00
 0
I tested DCA vs Lump Sum 50+ times. Lump Sum wins 81% of the time
I tested DCA vs Lump Sum 50+ times. Lump Sum wins 81% of the time

I’ve seen so many people say “just DCA, bro”.

So I got curious and ran the numbers myself using a Bitcoin DCA calculator.

Here’s what I tested:

  • Fixed amount of cash (e.g., $44k)
  • Strategy 1: Lump Sum – buy all at once
  • Strategy 2: Weekly DCA
  • Backtested over dozens of start dates since 2014

The Result?

Lump Sum beats DCA ~81% of the time.

Why? Because Bitcoin usually goes up over time.

Waiting to enter the market just delays exposure to upside.

DCA only won in a few cases — and only when I happened to start right before a major crash (like late 2021).

But those are rare and hard to predict.

So here’s the tradeoff:

  • Lump Sum = better average outcome
  • DCA = better sleep at night

If you’re sitting on a big cash stack and thinking about easing in… just know that historically, you’re paying for that emotional buffer.

The math is clear: unless you know a crash is coming, Lump Sum gives you more Bitcoin.

Happy stacking.

submitted by /u/Necessary_Flounder_7
[link] [comments]