Bitcoin DCA, explained with real prices
Dollar-cost averaging (DCA) is buying a fixed amount on a fixed schedule, whatever the price does. This page explains the method and how our calculator turns it into numbers.
The idea in one paragraph
Instead of deciding when Bitcoin is cheap, you pick an amount you can repeat, for example $20 a week, and a schedule. Every purchase buys whatever that amount is worth that day. Across years of rising and falling prices, your average cost lands somewhere in the middle of the range, and you never had to time anything.
How the calculator computes a plan
- One daily BTC/USD closing price per day, back to 18 August 2010.
- For hourly plans, each day's amount is split into 24 equal purchases at that day's price, because no public hourly series reaches back to 2010.
- Total invested is simply amount times number of purchases.
- Average cost is total invested divided by total Bitcoin accumulated.
- No fees, no taxes, no spread. Real buying costs a little more than the simulation.
Where DCA helps, and where it does not
| Helps | Does not |
|---|---|
| Removes timing decisions and panic buying | Protect a plan from falling prices |
| Fits a salary rhythm: small, repeatable amounts | Beat a lucky lump sum bought at the bottom |
| Smooths the entry price across a full cycle | Protect a plan that starts at a peak and stops early |
Compare the two entry styles in detail on Lump sum vs DCA, or see the difference in small units with the sats converter.
Questions
What is dollar-cost averaging (DCA)?
Buying a fixed amount on a regular schedule instead of one large purchase. The fixed amount buys more when the price is low and less when it is high.
How does the BitcoinSaving calculator work?
It replays one real daily closing price per day back to 2010, divides each scheduled amount by that day's price, and adds up the Bitcoin. Hourly splits each day into 24 equal parts at the same price.
Can a DCA plan end up worth less than the amount put in?
Yes. A plan started near a peak can sit below its invested amount for years. DCA smooths the entry price; it does not remove risk. Past performance does not predict future results.