Dollar-cost averaging means buying a fixed amount at regular intervals. Choose a price path and see the average cost compared with buying everything at the start.
Units per purchase = amount ÷ price on that day
Average cost = total invested ÷ total units
Because a fixed amount buys more units when the price is low and fewer when it is high, the average cost ends up below the simple average of the prices. DCA does not remove the risk: if the price keeps falling you keep buying a falling asset, and a single purchase at the lowest point would have beaten it.
Set the swing to a negative number to simulate a dip in the middle of the period, positive for a rise and fall, or zero for a straight line. No fees are included.
Questions people ask
What is dollar-cost averaging?
Buying a fixed amount at regular intervals, whatever the price. It spreads your entry over time instead of betting on one day.
Is DCA better than buying all at once?
Not always. In a steady uptrend a single purchase at the start wins, in a dip-and-recover path DCA often wins. The calculator shows both on the path you choose.
Does DCA guarantee a profit?
No. If the asset falls and never recovers, you lose on every purchase. DCA smooths the entry price, it does not change the value of the asset.