During the bear market, if the market has been in the downtrend for a long time and the price of bitcoin has fallen significantly. I can go for DCA. And I will be expecting more fall or price increases but I will continue to DCA.
DCA works for both markets as it is for long term accumulation and investment. It does not consider the market is bearish or bullish, just buying regularly on your investment schedule with similar capital value for each DCA time.
If the market is increasing and and the market is in bullrun, I can go for smart DCA. Because no matter how significant the bullrun is, there are times that would be an abrupt price fall which will give opportunity to buy.
I will prefer the S-DCA , both strategies that can be used to invest in cryptocurrency over time . With the S-DCA , you are going to use algorithm and technical indicators for you to determine the optimal time to invest. In all S-DCA seen as more sophisticated approach that helps you minimize the risk involved and maximize returns. It's very important to know both strategies come with risks and there no guarantee for profits.
Smart DCA is an indicator to help investors to outsmart the market. They want to wait for indicator to buy in, but does it worth?
I don't know but I see it depends on each person and their own characteristics and available capital for investment. If they have enough patience to wait for green light from Smart DCA indicator, and they have available capital for investment, Smart DCA can work well for them, especially in bull market with some big dips along the way to its peak.
If the person is impatient, this strategy does not work well.
Smart DCA also requires an investor to be very disciplined, first for waiting patiently for the Smart DCA signal, second for saving money and wait for chances to Smart DCA purchase.
I think that the DCA method is good for those who want to invest in Bitcoin without thinking too much about the price, and there is no doubt that it pays off in the long run.
With classic DCA, no headache. An investor only needs to do research about Bitcoin, understand about its technology, has belief in Bitcoin, and do DCA.
However, for those who understand the cycles and cryptocurrency markets a little better and also have a larger amount of money, it is definitely better to buy larger amounts of BTC when we are in a bear market and the price is at least 50% lower than the last ATH - and for those who are braver, it is worth waiting for the price which is at least 70% lower.
With Smart DCA, it requires more as aforementioned and you are right that knowledge about Bitcoin past cycles is another factor that is helpful to apply this strategy.