Lump Sum vs. DCA comparison: LS wins or does it?

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Lump Sum vs DCA comparison: LS wins… or does it?

Nam Hoang

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Lump Sum vs DCA comparison: LS wins… or does it?<br>I ran a test comparing Lump Sum vs DCA for Bitcoin and Ethereum, using price data from Jan 1, 2021 to May 16, 2026.

Nam Hoang<br>May 18, 2026

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Here the test result:<br>Long-term crypto investing strategy analysis for free ↓

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Strategies tested:<br>LS = invest all capital immediately

DCA(1) = split investment over yearly intervals

DCA(6) = split investment over 6 periods per year

DCA(12) = monthly DCA

How to read the table:<br>Mean Terminal = average final portfolio value. Higher is better.

Std Terminal = how spread out the final outcomes are. Higher means more uncertainty around the result.

Sharpe = return per unit of volatility. Higher is better.

Avg Max DD = average maximum drawdown. Lower is better.

Avg Days Below Initial = average percent of time the strategy stayed below the starting capital. Lower is better.

Avg Max Days Below Initial = average longest stretch spent below starting capital. Lower is better.

Avg Days to Breakeven = average time needed to recover back to starting capital after falling below it. Lower is better.

Worst 10% Terminal Avg = average final result from the worst 10% of starting periods. Higher is better.

CVaR95 Loss = average loss in the worst 5% of outcomes. Lower is better.

Key takeaway:<br>LS wins big on return for both BTC and ETH

LS generally fails on remaining metrics , except for Avg Days Below Initial

More frequent DCA is not always better .

Question:<br>“Do we need an accumulation strategy that improves long-run survivability without giving up too much return?”<br>Deeper analysis coming…

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better average below lower lump wins

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