> For the complete documentation index, see [llms.txt](https://rektbot.gitbook.io/solana/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://rektbot.gitbook.io/solana/quick-bot-guide/dca.md).
# DCA
#### **DCA (Dollar Cost Averaging)**
**What it does:**\
DCA automatically executes multiple buy orders at progressively lower prices, helping you lower your average entry cost and capitalize on dips.
**How it works:**\
You can set up to 4 DCA steps (a "ladder"). Each step triggers at a specified percentage below your target/entry price, buying a defined amount of SOL and keeping entry price as low as possible.
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**Activation Methods:**
**1. Default DCA**\
Set default DCA parameters that automatically activate after every buy you execute. Useful for consistent averaging-down strategy without manual setup each time.
**2. Without a Position**\
Activate DCA like a limit order—set your entry price and DCA levels below it (e.g., -2%, -4%, etc.). Each time a DCA step triggers and executes, your average entry price lowers—causing subsequent DCA targets to automatically adjust downward as well.
**3. On Existing Position**\
Apply DCA to a token you already hold. The percentage calculations anchor to your **average entry price**, not the current price. Perfect for catching sudden dips and improving your average cost. Each time a DCA step triggers and executes, your average entry price lowers—causing subsequent DCA targets to automatically adjust downward as well.
**4. Via** quick commands: [Full quickcmd guide](/solana/quick-bot-guide/quick-commands/dca.md)
