DCA Strategy Comparison

You set a base daily amount (say $10). Three strategies use it differently:

Strategy	How it works	Best for
Standard DCA	Invest your base amount every day. Never sell.	Simplicity. No decisions.
Power Law DCA	One indicator: where Bitcoin sits in its 15-year growth corridor. Buy more when cheap, sell when overheated. Cash from sales funds future buys.	Capital efficiency. Least money from your pocket.
Signal DCA	13 indicators weighted by machine learning. Buy aggressively when the composite is favorable, sell when it drops. Cash from sales gets redeployed.	Largest portfolio. Requires more from your pocket.

Both Power Law DCA and Signal DCA scale your base amount: up to 5x when conditions are most favorable, down to 0.5x when elevated, and sell a percentage of your BTC stack when overvaluation is detected. Cash from selling is redeployed at the next buying opportunity — market profits fund the next accumulation, not your wallet.

Run the Backtest

Pick a start date and base amount to see how each strategy would have performed:

How the Multipliers Work

Condition	Standard DCA	Power Law DCA	Signal DCA
Deep value	$10	$50 (5x)	$50 (5x)
Favorable	$10	$30 (3x)	$30 (3x)
Fair value	$10	$10 (1x)	$10 (1x)
Overheated	$10	Sell 2.3%/day	$5 (0.5x)
Extreme	$10	Sell 5%/day	Sell 2.3%/day

The key difference: Power Law sells earlier and more often because its single-indicator reading is unambiguous — price is either in the upper corridor or it isn't. Signal DCA's 13-indicator composite produces mixed readings during overheated periods (some bullish, some bearish), so it reduces purchases instead of selling. It only sells when the composite drops decisively.

Read the full analysis of what the signal does and doesn't do.

Caveats

• This is a backtest. Past performance does not guarantee future results.
• No transaction costs or taxes are modeled.
• Bitcoin has been a structurally rising asset. All strategies benefit from this.
• This is not financial advice.