Smart DCA – Dynamic Risk Switching SIP
Risk-Based Switching DCA is an evolution of DCA. Here, you still invest the same fixed amount regularly, but the allocation changes dynamically between stablecoins (low risk) and volatile assets (like BTC/ETH) at regular intervals depending on market risk signals.
In Overheated Markets
A larger share goes into stablecoins (e.g., 70% Stable / 30% Volatile).
In Market Dips
A larger share goes into volatile assets (e.g., 90% Volatile / 10% Stable).
Quarterly rebalancing layer
a quarterly rebalancing layer deploys stablecoin reserves to buy more volatile assets when deep dips occur—effectively capturing value opportunities.
Why is it better?
- Normal DCA is blind—it keeps buying regardless of risk.
- Risk-Based Switching DCA is adaptive—it protects capital when markets are overheated and becomes aggressive when markets are cheap.
- This means you build a reserve of stablecoins for future dips. Avoid overpaying during euphoric bull runs and capture more upside during downturn recoveries.
- Designed to optimize returns while managing risk dynamically.