Average cost
What you paid on average for each unit you own: the total invested divided by what you bought.
If you bought at different times and at different prices, the average cost tells you what each unit “cost you”. If today's price is above it, you're ahead; if it's below, you're behind.
Buying $100 of bitcoin every month for 5 years, since November 2021, the average cost was $43,138 per bitcoin. The price on October 26, 2026 is $79,950.
In the chart, the average cost moves less and less: each new purchase weighs less than all the earlier ones put together.
Average cost = total invested / units bought. With fixed-amount purchases, it's the harmonic mean of the purchase prices.
Fees push it up: with a 1% fee per purchase, that 1% of every contribution never gets invested.
Average cost tells you whether you're ahead, but it isn't a reason to act: the price doesn't know what you paid.
- Bitcoin's price
- Your average cost
Buying $100 at each month's close.
Where you see it in Compass
- One dollar a dayIn “One dollar a day”, buying one dollar every day.
Related terms
Frequently asked questions
How is average cost calculated?
Divide everything you invested by the amount you bought. If you put in $300 and bought 0.01 bitcoin, your average cost is $30,000 per bitcoin.
Does buying when the price drops lower my average cost?
Yes: the same amount buys more units, so the average goes down. But that doesn't guarantee a gain: the price can keep falling.
Calculated and reviewed by Compass. Sources, checks and method
Figures with data as of October 26, 2026. Educational content. Not financial advice. Past results don't guarantee future results.