To DCA or not DCA Bitcoin?

To DCA or not DCA Bitcoin

I got into bitcoin in 2021, and over the past 3 years, I have slowly accumulated almost exactly 3.02 bitcoins.

Now, I am in a position to allocate about $500-600 per month to continue buying bitcoin. At current prices, even after the recent drop, that amounts to adding 0.01 Bitcoin per month to my bag.

Does it make sense to keep adding at such a slow pace, or should I consider allocating this monthly amount to something else? I mean, will it even make a meaningful difference?

For context, the majority of my DCA goes towards buying S&P 500 index fund. I got into bitcoin because I view it as a way to diversify my portfolio beyond these 500 biggest companies.

As of now, Bitcoin is a little over 6% of my overall portfolio. I have read that allocating more than 5% to Bitcoin is risky because it can induce greater portfolio volatility. Hence being careful, but I do have that extra $500 per month and wondering if adding a teeny tiny amount of Bitcoin exposure every month is good or bad. I am finding it hard to model this, compared to simply dumping every penny into S&P index.