Sold house in Los Angeles and moved to LCOL community in Central California

I sold my house back in the summer in Los Angeles and I purchased with cash a house in Central California. I am 53 years old. I have some health issues that will prevent me from returning to full time employment for at least the next six months.

I have 400k cash left over after house purchase. 100k i have in income dividends to pay bills. 250k I have in money market at 3.8%. The rest I have in bank account and HYSA.

I am considering the following

1. Putting the majority of the MM account into index funds over time (DCA).

2. Leave half in MM and put half into diverse investment portfolio.

3. Leaving it in MM and playing the wait and see with the economy. (a major drop in the stock market being an opportunity to buy)

Any advice would be appreciated. And feel free to point out anything that is flawed with my current strategy as i am not rigid in my thinking on this.