DCA Calculator — Dollar Cost Averaging
Calculate the benefits of dollar cost averaging for cryptocurrency investments
DCA Investment Plan
Amount to invest each period
How often you invest
Total time investing
Initial asset price
Final asset price
Typical exchange fees: 0.1% - 1%
DCA Results
Investment Summary
Performance
Your DCA Plan
📅 Frequency: Weekly
💰 Amount per purchase: $100.00
⏱️ Duration: 12 months
🔢 Total purchases: 52 purchases
📊 Average cost: $32,495.80 per unit
💡 DCA Strategy Insights
Purchase Schedule (First 20)
| # | Investment | Price | Units | Avg Cost |
|---|---|---|---|---|
| 1 | $100.00 | $29,682.32 | 0.003352 | $29,682.32 |
| 2 | $100.00 | $29,229.24 | 0.003404 | $29,454.04 |
| 3 | $100.00 | $31,697.77 | 0.003139 | $30,165.80 |
| 4 | $100.00 | $28,892.58 | 0.003444 | $29,837.09 |
| 5 | $100.00 | $28,939.85 | 0.003438 | $29,653.22 |
| 6 | $100.00 | $29,583.08 | 0.003363 | $29,641.51 |
| 7 | $100.00 | $31,429.43 | 0.003166 | $29,884.37 |
| 8 | $100.00 | $31,278.34 | 0.003181 | $30,051.78 |
| 9 | $100.00 | $30,009.24 | 0.003316 | $30,047.05 |
| 10 | $100.00 | $32,378.84 | 0.003073 | $30,265.00 |
| 11 | $100.00 | $30,093.82 | 0.003306 | $30,249.36 |
| 12 | $100.00 | $30,821.27 | 0.003228 | $30,296.21 |
| 13 | $100.00 | $32,577.99 | 0.003054 | $30,460.32 |
| 14 | $100.00 | $30,322.48 | 0.003281 | $30,450.43 |
| 15 | $100.00 | $32,497.16 | 0.003062 | $30,578.83 |
| 16 | $100.00 | $32,063.92 | 0.003103 | $30,667.60 |
| 17 | $100.00 | $30,927.03 | 0.003217 | $30,682.74 |
| 18 | $100.00 | $32,134.40 | 0.003096 | $30,759.94 |
| 19 | $100.00 | $32,434.23 | 0.003068 | $30,843.74 |
| 20 | $100.00 | $31,879.42 | 0.003121 | $30,893.92 |
Showing first 20 of 52 total purchases
Example: Monthly DCA Strategy
Investment Plan
Amount: $100 per month
Duration: 12 months
Starting Price: $30,000 per BTC
Ending Price: $35,000 per BTC
Fee: 0.5% per purchase
Expected Results
Total Invested: $1,200
Total Fees: $6
Net Invested: $1,194
Units Accumulated: ~0.038 BTC
Average Cost: ~$31,500 per BTC
Current Value: ~$1,330
Profit: ~$136 (11.4% ROI)
Why Use DCA?
Reduces Timing Risk
Avoid the stress of trying to time the market perfectly
Emotional Discipline
Automated investing removes emotional decision-making
Lower Average Cost
Buy more when prices are low, less when high
Manageable Budgeting
Small regular investments are easier to budget
Long-term Focus
Encourages long-term investment mindset
DCA Best Practices
Set up automatic recurring purchases
Choose an amount you can afford long-term
Stick to your schedule regardless of price movements
Consider weekly or monthly frequency for crypto
Keep fees low by choosing the right exchange
Track your average cost and total holdings
Understanding Dollar Cost Averaging (DCA)
What is DCA?
Dollar Cost Averaging (DCA) is an investment strategy where you invest a fixed amount of money at regular intervals, regardless of the asset's price. This approach helps reduce the impact of volatility and removes the need to time the market.
How DCA Works
- •You invest the same dollar amount at regular intervals
- •When prices are low, you buy more units
- •When prices are high, you buy fewer units
- •Over time, this averages out your purchase price
DCA Formula
Average Cost per Unit =
Total Amount Invested ÷ Total Units Acquired
Total Return % =
((Current Value - Net Invested) ÷ Net Invested) × 100
When to Use DCA
- •You're new to investing in volatile assets
- •You want to reduce emotional decision-making
- •You have a regular income and can invest consistently
- •You're investing for the long term (3+ years)
DCA vs. Lump Sum Investing
✓ DCA Advantages
- • Lower psychological stress
- • Reduces impact of bad timing
- • Enforces discipline
- • Easier to budget
- • Less risky in volatile markets
⚠️ DCA Considerations
- • May underperform in bull markets
- • Requires consistent cash flow
- • More transaction fees
- • Slower capital deployment
- • Requires long-term commitment