Dollar Cost Averaging (DCA)

DCA or, Dollar Cost Averaging is a tool to mitigate potential bags. When selected the hopper will create a new order for the double amount of the total of a currency, when the oldest position is older than the configured amount of time, the percentage trigger triggers and the max number of retries has not been reached. After the DCA order completes, all positions of the currency will be merged and a new weighted average price is calculated. The new average price will be used for creating the following DCA order. When a DCA position is being sold, the max number of retries count will reset.

 

DCA configuration

DCA Explanation

DCA after X time open
Select the timeframe after you want DCA orders for positions to be created.

DCA max retries
The maximum of DCA orders that may be created for a specific coin. The count is resetted after every successfull sell of a DCA order.

DCA set percentage
Configure the percentage after which you want the DCA feature to place a new order. When the average price falls this percentage, a trigger will be placed to create a new DCA order. Enter a positive number, for example: 4.5 (%)

DCA buy immediately
Select if you want to trigger the buy immediately when the configured percentage loss hits or just let the DCA feature buy the coin when your strategy signals a buy for the coin. Watch out, when this is enabled the hopper will buy without using any strategy and could buy at an unfavorable time.

 

DCA in your output

The DCA tool can give certain messages in your output, such as:

  • Checking DCA for coin: (checks if DCA is allowed to happen)
  • Enabling DCA for coin: (allows for DCA trades to happen)
  • Checking with percentage: (Checks if the percentage difference has been met)
  • Percentage trigger not met: (the percentage drop indicated has not been met, so DCA won't activate)
  • Percentage difference is X: (checks the current price percentage and sees if this will allow for a DCA trade)

Troubleshooting

Are you experiencing any problems with DCA? Here are some questions to help you resolve most issues with DCA.

  • Do you have enough allocated amount (BTC) to double or triple up?
  • Is the hopper enabled? Is buying enabled?
  • Has the configured time passed? If so, is the percentage (%) loss hit?
  • Do you have a config pool enabled? Maybe you have different settings in your config pool.
  • Do you have triggers that disable buying?
  • If not buying immediately, was there a signal from your strategy for the currency?
  • Normally when you have multiple positions for the same coin, the DCA will merge them all and continue using the default settings of your base config. If you only have one open position for a specific coin, then it will continue to use the settings of the signaler

Info about your DCA position

Extra information about DCA is given when clicking on the "info" button next to the open position on the Dashboard.

DCA info tab

Status
The status tells you whether the Hopper is already checking this position to create DCA orders.

Current average rate
The current average rate shows the total average rate of all your positions for this speficic currency.

Latest average rate
The latest average rate shows the average rate of your position before the last DCA order was filled

Current profit/loss
The current profit/loss shows your actual profit or loss of all your positions for this currency combined

DCA Count
The DCA Count shows how often a DCA order has been placed.

Automatic DCA
Shows whether DCA is enabled or disabled.

DCA order type
The DCA order type shows whether limit order or market orders are used.


Buy immediately
When enabled, your strategy has to signal a buy before a DCA order will be placed. Otherwise, it will place a DCA order immediately when the oldest position is older than the configured amount of time, the percentage trigger triggers and the max number of retries has not been reached.

DCA percentage
Shows what percentage is needed before a DCA order will be placed.

DCA after time
Shows how long a position must be open before a DCA order will be placed.

DCA size
Shows what order size will be placed when all DCA requirements have been met.

DCA max retries
Shows how often DCA orders will be placed by the Hopper.

 

Enable

The DCA option tells the Hopper to buy more of a loss-making coin (it will triple your holding) to try to trade out of the loss. This is a high-risk option so use with care! Check the documentation for more info.

DCA after X time open

Select the timeframe after you want DCA orders for positions to be created.

DCA max retries

The maximum of DCA orders that may be created for a specific coin. The count is resetted after every successfull sell of a DCA order.

DCA set percentage trigger

Configure the percentage after which you want the DCA feature to place a new order. When the average price falls this percentage, a trigger will be placed to create a new DCA order. Enter a positive number, for example: 4.5 (%)

DCA buy immediately

Select if you want to trigger the buy immediately when the configured percentage loss hits or just let the DCA feature buy the coin when your strategy signals a buy for the coin. Watch out, when this is enabled the hopper will buy without using any strategy and could buy at an unfavorable time.

DCA order size

Select if you want to place an order for the same amount your currently having for a currency and doubling your total (Double down) or if you want to place an order for double the amount you're currently having, therefor tripling in total size (Triple down).


Troubleshooting DCA

If you feel like DCA should have triggered but it hasn't, make sure that if you have DCA buy immediately disabled, your TA has actually signaled a buy, otherwise your hopper won't buy straight away