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Chapter · Master Coinbase

Recurring buys and DCA

Coinbase lets you schedule a small automatic recurring buy, say €20 every week. This is dollar-cost averaging (DCA): you buy a fixed amount on a fixed schedule regardless of price. For beginners it quietly wins, because trying to time the market usually means buying in excitement and freezing in fear. A schedule removes the emotion. The hard part is not setting it up, it is staying consistent when the price is falling and your gut screams to stop.

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What you get asked

  1. What does dollar-cost averaging actually mean?

    DCA is a rule, not a prediction. Same amount, same schedule, whatever the price. When price is low your fixed euros buy more; when high, less. It averages your entry over time.

  2. DCA beats market timing for most beginners because it removes ___ from the decision.

    Timing the market means acting on fear and greed, and most people do it badly. A fixed schedule takes the decision out of your hands, which is exactly the point.

  3. Order the steps to set up a sensible recurring buy

    The whole point of automation is that you stop touching it. Size it so a drawdown does not scare you, then let consistency do the work.

  4. You DCA €25 per week. Over 52 weeks, roughly how many euros have you invested?

    25 x 52 = €1,300. Small regular buys add up quietly. Seeing the yearly total also helps you pick an amount you can truly sustain.

  5. The price drops 30% mid-way through your DCA plan. What does a disciplined DCA-er do?

    A dip is when DCA does its best work: your fixed euros simply buy more. Panic-selling locks in the loss, and leverage turns a plan into a gamble. Consistency is the edge. 🐜

The rest of this chapter

Buy your first crypto safely, understand fees, and know when to self-custody.