06-22-2021, 09:38 AM
Don't Underestimate the Power of Averaging Down (Especially when it's already down a
<!-- SC_OFF --><div class="md"><p>Let's say you bought $100 worth of MATIC at $2. Then MATIC dropped to $1 and you bought $100 worth again.</p> <p><strong>What's your average now?</strong></p> <p>If you think it's $1.5, don't worry, you are not alone. I know 2 friends who said the same thing.</p> <p>You have a total of 50 + 100 = 150 MATIC.</p> <p>With a total investment of 200$, your average is 200/150 = <strong>$1.33</strong></p> <p>Now you only need to wait for it's price to go up 33% before breaking even.</p> <p>This is indeed a basic math. But there are some people who legitimately fail with that.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/pkg322"> /u/pkg322 </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/o4z0n8/dont_underestimate_the_power_of_averaging_down/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/o4z0n8/dont_underestimate_the_power_of_averaging_down/">[comments]</a></span>Kind Regards R
<!-- SC_OFF --><div class="md"><p>Let's say you bought $100 worth of MATIC at $2. Then MATIC dropped to $1 and you bought $100 worth again.</p> <p><strong>What's your average now?</strong></p> <p>If you think it's $1.5, don't worry, you are not alone. I know 2 friends who said the same thing.</p> <p>You have a total of 50 + 100 = 150 MATIC.</p> <p>With a total investment of 200$, your average is 200/150 = <strong>$1.33</strong></p> <p>Now you only need to wait for it's price to go up 33% before breaking even.</p> <p>This is indeed a basic math. But there are some people who legitimately fail with that.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/pkg322"> /u/pkg322 </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/o4z0n8/dont_underestimate_the_power_of_averaging_down/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/o4z0n8/dont_underestimate_the_power_of_averaging_down/">[comments]</a></span>Kind Regards R