Topic: Bitcoin is already the most stable store of value. - page 2. (Read 2343 times)

I am all for BTC, but when you wake up and the price has dropped 10% or more, that is a little unsettling.  Its not the best store of value, but still a good idea for people in places experiencing hyperinflation

Only a complete moron would use bitcoin for storing value.
Bitcoin price is made up by pure speculation. Holding your wealth in bitcoin means that you trust your money to the bitcoin community. Trusting this flock of emus without constant supervision is beyond naive.

If you want to store value, then invest in rare earth metals or any in other resources thats demand is growing but the availability dropping.

7% change in a day for currency is quite bad...

That doesn't really lead to working economy...

Yeah, you need to look at the bigger picture. This is still early days for Bitcoin. Something so new is bound to have its problems before it steadies itself out.



For the time being, but Litecoins value tends or tended to follow Bitcoin. It's still pegged to BTC remember.

Bitcoin just crashed to $102 on BTCE. Litecoin appears to be more stable.

very true, but that's just a symptom of the problem the real problem is a weak and untrustworthy infrastructure, apparently people are only here to see the market value increase, not to see the actual cryptocurrency (CC) used in industry. 

If CC btc was used in industry as much as it is traded or even half as much it would exhibit greater stability even in the face of disappointing news from a major exchange.   

It depends on the time scale.

interesting thread --

the dollar is actually the world's most stable 'store of value' when it comes to currencies.  Countries with much smaller economies than the U.S (e.g. CIS countries) have currencies that remain relatively stable only due to big currency manipulation (i.e. generating new currency to increase the pool of money in that country).  People often hold large amounts of dollars 'under the bed' in CIS states as they understand how stable it is compared with their own domestic fiat currency.

Gold is also a well accepted global store of value because it is rare, cannot be created out of thin air (only through mining) and can be melted down and transformed easily.  Countries fearing the long term future of the dollar are (quite sensibly) buying up huge amounts of gold, Russia for example.  Yes true that Bitcoin price is volatile if you look at short term gains and falls, but just look at the mtgox price over 2 or 3 years, smooth out the curve and you see an overall constant rise.  Its just that the Bitcoin economy is still relatively small compared with dollar, yen, gold etc and is therefore more sensitive !! 

As the Bitcoin economy increases (i.e. through price and number of coins through mining), more stable it will get I think, although it could take a long time !! 

I wrote an article recently about gold and Bitcoin if anyone interested:   http://www.itreco.net/main/bitcoin-and-gold/

Isn't it the people who are the volatile party here? I don't think we'll ever get passed this volatility if we continue to peg it to another currency and continue to sell it for lower and lower prices. Surely if people held it rather than sold on the whiff of any bad news then this wouldn't be a problem.

That is actually quite a tricky question. I think the price of USD could be measured by comparing it to what you can get with it. So I'd say the purchasing power measures the price. Currencies have no value intrinsically so they should be compared to real assets instead of other currencies.
Like I said, tricky question, but that's how I see it

Yes, but while you are able to buy a loaf of bread for around $1.50 and that price remained the same during those couple of hours, the same purchase in mBTC just went from 2.1 mBTC to 2.85 mBTC.

How do we express or measure price? (or value, for that matter)

What is the price of 1 USD, for example?

This is an interesting idea, but I still wouldn't say that Bitcoin stores value too well at the moment. Price and value are not the same thing, but when it comes to storing value, the price has to be somewhat stable aswell.

Exactly. I fail to see why that is difficult to understand. Volatile = unstable by definition

I don't think any currencies are stable when you're playing them against each other.


LOL.

HAHAHAHAHA HAHAHAHA
HAHAHA

HAHAHAHAHAHAHAHAHAHA

What a bull shit.So far, Bitcoin has proved to be VERY instable. Period.
The OP needs new glasses.

WOEHAHAHAHAHAHAHAHAHAHAHA

Some retard dumped 10,000+ coins in a no-limit order. This will simply scoop up ALL open buying orders, starting from the highest price, until the order is filled. This way some lucky bastards got their buy-orders at $150 filled.

The reverse would happen if somebody buys 10,000+ BTC in a no-limit order, people with $1,500+ sell orders would suddenly get hit.

But with the market volume, this immediately restores. By no means would these scenarios mean that 'the price has dropped to $150' or 'the price has risen to $1500'.

dropped to $102? no

If I was an exchange and had a large sell order for 100 bucks I would have the exchange set up so that any sell orders that come in under a certain price are immediately executed and put in a pool owned by myself, the exchange operator. I could then use that pool and sell them out at 'market price' .. that would have been quite profitable, albeit greedy. The person who got them at 100 is just going to sell them back out though. An exchange wants to make a killing, what an easy way... 8000 BTC for 105 bucks.. but hey for all I know they'll be trading at 105 bucks in 12 hours (probably not)