Dollar-Cost Averaging (DCA) — How to follow automatically your investment?
Do you like crypto-currencies and want to start or have already started a DCA? You are in a good place!
I am not going to explain what a DCA is, how it works or how you can plan it because you can find plenty of explanations about it on Google.
Here, I assume you know what a DCA is and you want a free, easy and automatic tool to follow your investment in a few steps!
To do that, we will use a unique Google Sheets file.
Inside this spreadsheet, there are several types of columns:
- Yellow: you need to fill it out a few times
- Orange: you need to fill it when a new buy is passed
- White/Green/Red: You don’t need to touch it, it is the automatic magic calculation!
How to use this spreadsheet?
1/ Firstly, define a “Start Date” and potentially an “End Date” if you have closed your DCA.
2/ Secondly, define your frequency of buying using a drop-down list: “Hour, Day, Week, Month or Year”.
3/ Thirdly, indicate the value per purchase and the total will be automatically calculated depending on the start date, the end date and the frequency.
4/ Then, indicate the exchange (it is not mandatory but with this, you will obtain a nice graph) and know how many crypto-currencies you own according to the exchange. It can be great to not have everything in one place for example.
You can add more Exchanges and complete the current list with a few steps:
- Select the cell H3
- Open the Data menu
- Select Data Validation
- Enter the list of Exchanges: Binance,FTX,Coinbase,Kraken,KuCoin,Gate.io,Bitfinex,Huobi Global,Gemini,Coincheck,Bitstap,bitFlyer,BitPanda,Nexo,LBank
- Click Save
5/ Now, this spreadsheet will use the API https://cryptoprices.cc/ delivered by Pedro Gomes to automatically calculate everything.
You will have the opportunity to choose a lot of cryptocurrencies (https://cryptoprices.cc/sitemap.txt) by adding the ticker inside column L “Ticker”.
Sometimes, the API has some errors and you need to wait several minutes or hours to come back with real values. I sent a message to Pedro Gomes about it.
6/ And finally, indicate the amount of each crypto-currency every time a new buy is passed inside the orange column. After that, everything will be automatically calculated and you will directly see your Wins / Losses in $ or %.
7/ Bonus, a chart will appear with the proportion of coins you own inside your DCA.
If you want to use this file, you can create a copy by clicking here: DCA Cryptos.
Do not hesitate to send me feedback, ideas or advice in the comments in order to improve this file 🤗
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