Topic: Bitcoin currency stability - page 3. (Read 522 times)

Bitcoin has started reacting to some economic news that affect USA and other developed countries and that is a sign of interest from citizens of those countries. I think bitcoin should benefit from the financial crisis or trade war between China and USA and it should naturally influence bitcoin price as investors will flip stocks and other securities to bitcoin as a safe heaven.

The war is almost over and as you can see that President Trump is already reaching out to china to already have an understanding and a peaceful talk with him which could lead to the final solution to the war, so I don’t really see their war really lasting that long any more.

For the government of china and US, honestly both ate too adamant and I don’t think they will think of bitcoin as solution for now except people forces their hands down, and the only way that people can force them to accept it is if very large percentage of the country’s citizens are already using bitcoin, then it would be very difficult for them to control it even if they place ban on it, by that time they will have no choice than to also consider it but till that happens, I don’t expect any effect of their war on BTC.

Imagine there is crisis, what happens in this situation? People have no money, very small amounts, prices are higher, wages are lower, very bad situation. Person needs extra money, he had saved bitcoins in past but now needs money to feed, he won't wait for price rise and etc, will sell those bitcoins to get money asap and feed himself. So from this logic price of bitcoin will fall in any way during economic crisis.

Good points. I see a lot of bitcoiners predicting option #2 as a likely outcome, but I haven't seen anyone make a compelling case. Most people keep trying to paint BTC as a "safe haven" in the face of shaky USD, CNY/RMB, Chinese and American stock markets. But I think we are still very far from Bitcoin truly being a safe haven asset.

That is to say, I think Bitcoin is rising in spite of investor fears in the broader markets, not because of them. If shit really hits the fan (global financial crisis, deep recession), my opinion is that Bitcoin will suffer dearly.


Same thoughts here. I doubt Trump will be reelected and I think his successor will be looking to reconcile.

The identity of bitcoin is not necessarily for stability. It is not controlled like fiat and so whether wars are happening between countries or not, the fact that it activities are not regulated, it will fluctuate either way.

Thanks for your contribution. The trade war going on between China and US does not translate to the increase in the use of bitcoin because that not the way it works. For one, for the fact that US and China are now having issues with themselves means that traders in the international market will start accepting bitcoin as a means of payment neither will the workers in both countries will start demanding their wages to be paid in crypto in addition to governments start asking the dues be paid using crypto. It does not work that way. The significant thing that the trade war would affect is the landing cost of production or sales which would then be borne by either the producer or the final consumers depending on the elasticity of such product and other factors that influence the prices of commodities.

Bitcoin as a currency doesn't need to be stable. The political war between USA and China isn't gonna impact the stability of the cryptocurrency market as it is a decentralized network. Being stable is part of the cryptocurrency, and this will be completely upon the increasing demand to the adoption happening with time.

Perhaps a few people would look into bitcoin though I don't think that at this point, people are that confident to trust most of their assets in a relatively unstable currency and use as a hedge on a devaluing fiat. Most people are still believing in the power of their government to turnaround whatever economic crisis are they experiencing right now and I don't think it'll be a different story any time soon. Bitcoin can also be a target of law enforcement should they find out that it is being used to evade economic sanctions, and we all know what would it be like once that happens.

In my opinion:

About economic war affect: Of course, the economic war between these two country will have negative impact for US and China economic, world economic and of course for BTC. China and the United States are among the most economically powerful countries in the world, their economic downturn due to the trade war between them will affect the whole world in one way or another, the economic downturn will affect BTC as well. There is two way, how it can affect BTC: 1. Slowing down and reducing the overall price rise of BTC. 2. China and the US may look for an alternative way to trade using BTC. This would only raise the popularity and price of BTC, as cryptocurrency is limited, but it should not be forgotten that it is risky and unstable.

Because of the economic war itself, I think this is a temporary phenomenon, with the change of the US president, the war itself may decline. For the second term, I think the president will not be re-elected.Because of the damage to the United States itself, the new president will be interested in seeking a solution. So in conclusion: This will not have a lasting impact on BTC.

About Bitcoin  strength and stability: Since the currency itself is not backed up by anything but the people agreeing what price they are willing to pay for BTC, acting on that principle will not make it stable. Due to its volume and the growing popularity of cryptocurrency, the BTC price should rise in the future.

BTC in China is restricted. When war will end, I think that China legalises it and starts to use it on daily basis.
BTC isn't some fiat currency controlled by central bank, it is decentralised. It shouldn't have big impact to Chinese or USA economy.
After economic war, I think that BTC price will soar because many people in China would like to invest a little bit into them.

To what extent will the economic war (between the US and China) affect its future impact on the bitcoin?
Will these countries resort to bitcoin to maintain their economic strength?  And avoid economic sanctions among them?
Will Bitcoin succeed in maintaining its strength and stability as it is not under central authority?