DCA Strategy Deemed Effective in Mitigating Crypto Volatility Risks
JAKARTA, KOMPAS.com - The Dollar Cost Averaging (DCA) investment strategy is once again considered relevant amid the crypto market’s recent tendency to move within a limited or sideways range.
Vice President of INDODAX, Antony Kusuma, stated that the current market conditions can be utilised by investors, especially beginners, to implement a more disciplined and measured investment approach.
“In a market that tends to be sideways, many investors tend to wait and see or even try to guess the lowest point. However, a strategy like Dollar Cost Averaging can be a more realistic approach, as it does not depend on market timing,” said Antony in an official statement on Wednesday (29/4/2026).
“Investors can enter the market consistently without excessive emotional pressure,” Antony added.
Dollar Cost Averaging (DCA) is an investment strategy involving the routine purchase of assets in the same nominal amount at set intervals, regardless of price conditions.
This approach enables investors to accumulate assets gradually while helping to dampen the impact of price fluctuations.
When prices fall, investors have the potential to acquire more assets, while when prices rise, purchases continue but in smaller quantities.
According to him, this mechanism can naturally help create a more balanced average purchase price and open up potential for long-term portfolio growth.
Furthermore, DCA is seen as a way to build more disciplined investment habits and reduce the tendency for emotion-based decision-making, which often poses a challenge for novice investors.
“Dollar Cost Averaging (DCA) can help investors manage volatility risks, but it does not eliminate risks entirely. Investors still need to use idle funds and ensure the strategies used match their individual risk profiles,” he added.
To maximise the DCA strategy, investors are advised to consider several factors.
First, determine fund allocation routinely and consistently so that the strategy runs according to plan.