Topic: Bitcoin scarsity, the reason it's worth hodling bitcoin (Read 326 times)

Bitcoin has controlled inflation and yes thats one of main reason of bitcoin success. With this rate last bitcoin is expected to come on 2140, after that no new bitcoin will be generated. Apart from controlled inflation, decentralized nature of bitcoin is another reason why bitcoin is so high.

With decreasing in value OP means decreasing purchasing power. They are the same thing. As your money values less, you can buy less things with that same amount. That is due to governments printing money constantly, what generates a corrosive inflation which grows year by year. Nowadays fiat saving accounts are already unprofitable because inflation is higher than their APY (Annual Percentage Yield).
Thanks to bitcoin now there is a way to avoid fiat investments, what protects our patrimony on long run.

The capability of bitcoin for being volatile makes it valuable and becomes a good asset for everyone, it is a good choice of mine to invest in bitcoin because I have control over my own money unlike the banks wherein there is a middleman there. It is still not too late to invest in bitcoin, even though the price is already too high which makes it riskier to invest, if you really believe and trust bitcoin then you will also buy some and wait for it to goes up once again.

Bitcoin has a lot of disadvantages at the moment. In comparison with Binance Smart Chain, bitcoin loses absolutely in all respects, so today bitcoin is an asset for long-term investments, no more. Therefore, it is difficult to predict the future of bitcoin. Yes, the price will rise, but to what point? For if now the majority of altcoins are ahead of bitcoin, then there is no need to talk about the altcoins of the future.

I dont think fiat will decrease in value anytime soon, it is a stable currency which is different from bitcoin. The only issue with fiat is its decreasing purchasing power. Bitcoin, with its scarcity makes it valuable. With a limited supply and a high demand, bitcoin will continuously increase in price. Also, more institutions are investing in bitcoin and accepting it as a form of payment, thereby increasing its utility and making it a preferred medium of exchange among consumers. With this information, bitcoin will definitely exceed our expectations in the next few years, holding bitcoins for the meantime and waiting for that to happen will increase our "savings".

It will never be scarce as long as there is Bitcoin circulating the market and it's just a matter of time before the price reach a new level of ATH. Plus the lost Bitcoin that's not circulating in the market will help to increase the Bitcoin price in the future.

Don't get your hopes too high just because someone speculated it to reach that way it would reach automatically. You know that it always takes time for someone/something to grow, you'll just have to wait and besides of that, Bitcoin has a 4 year cycle before the next halving occur.

I don't think the value Bitcoin has is got only from its short supply. Nah! Its decentralized nature and the fact that it's community driven are a part of what brings its value. I have seen tokens which are around 2 million in maximum supply but could hardly do up to $10 in price. I have also seen a project like Filecoin which has 1,979,784,501 (almost 2 billion) doing over $200 for such a huge quantity. I think the whole thing boils down to a project's usefulness to attain a nice price. So, it's not necessarily because Bitcoin has a short supply of 21 million that makes people hodl it in expectation of price increase because of its usefulness.

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There's nothing crazy about such an expectation. Remember Bitcoin was once sold for less than $0.01 (1cent) but today Bitcoin is around $56,000+. No one would've believed Bitcoin would get this far 10 years ago. Did anyone even believe it would get to $60,000 from its low of $3,200 in 2020?

Well.. I can't agree with you 100%. Even at current levels, I believe that Bitcoin is underpriced. A lot of people tend to concentrate on its usage as a currency (for making payments) or as a speculative investment asset. But let's not forget about the other aspects. Personally I believe that Blockchain will be the next big thing in the technology sector. It is similar to what Google was two decades back. And Blockchain is a part of Bitcoin technology (rather than the other way around). Given these facts, I won't be surprised if the global adoption and acceptability increase tremendously over the next few years.

A long time ago, I also thought that bitcoin would become scarce and bring great benefit to the future, so continually holding bitcoin would be similar to an insurance in the future but until now, through so many different times of the crypto market, I realize that the value of bitcoin is probably not as high as we imagine, some features such as anonymity and making transactions faster, it doesn't really make bitcoin stand out. But the community is fascinated by the news, the whale is also too hungry to make money, bitcoin continuously increases unbelievably, actual value is not high, hope you know the right time to sell

Yes, that's right, bitcoin and altcoin have a limited supply. but the thing that makes bitcoin rare is the power of its popularity level that surpasses anything else. Since its inception, bitcoin is still considered trivial, and when 2017 made bitcoin the only coin that could not be matched. then from year to year, bitcoin is becoming increasingly popular and in demand by investors, so whales and miners focus on spending bitcoin. increase the price every certain period and make the parent of all the altcoin that exist.

If the time comes where institutional investors and retail investors come together and stay away from fiat ties, I think Bitcoin would even be more precious. That's the correct idea in which it should be considered that more and more officials are resorting to the printing of money to solve all of the problems in the world but never looked at the possible consequence in the future. That's where Bitcoin comes in or possibly any other crypto that could serve a better purpose. I hope most people have understood the essence of Bitcoin.

Dude, your target line 500K is freaking crazy. We're very lucky that the crypto market is just switch on and we have no idea where is the end line. Despite the recent correction we are still looking good so HODL Bitcoin and who knows every individual will get their objective line.

The problem was, Will people still buying Bitcoin even though the price continuous rising? I bet at some point the price will become stable even before there will scarcity on the supply. The reason why Bitcoin still rising is because new people entering in crypto that willing to buy on current price. If most of the people owned Bitcoin before the supply was maxed out. I believe the price growth will halt that time because no one will buy high price Bitcoin if everyone is already holding it.

I agree that the scarcity of Bitcoin is a strong reason why we have to HODLing Bitcoin, because the amount of Bitcoin supply is limited and
the demand for Bitcoin continues to increase, it will make the price of Bitcoin more expensive by itself. Therefore, investing in assets with
limited supply is usually very profitable. Like Gold, including a limited supply, making an investment in Gold is also very good. But in this case
I would rather invest in Bitcoin than Gold. Because now it has entered a digital era where investing in something modern has a much better future.
So not only is the Bitcoin supply limited, but with the technological sophistication that Bitcoin has, it should make Bitcoin the best choice for investment.
These two reasons are enough to make Bitcoin price continue to rise and provide profit to its holders.

Even at the current market value, it is considered high for some of us. It will still get higher once the supply becomes scarce and few elites in the society own and control it, decide it.

Yeah unlike the government we are not seeing printing machine for the bitcoin and hence the value is always up rising.

People don’t see it clearly, it’s all about demand and supply. The supply is gonna be reduced every other year and as the difficulty will raise the speed of mining will be harder but it won’t stop. Surprisingly only 3 million coins left and in such condition if any bull investor puts his 1-2 billions and buy from circulating supply then the market gonna push itself to the extreme levels.

This is motivating discussion and those with less trust shall be reading this.

The reason why i keep holding my btc is very simple because the limited supply and i believe bitcoin is the future of our currency.

I never doubt bitcoin since 2017 and still holding this coin and i don't even think to sell it untill reach my target which is $500k.

Bitcoin has fixed supply, that makes it really valuable as time goes by.
Aside from the fact, that there are a lot of "lost" bitcoins out there.
So it further reduces the number of bitcoin circulating in the market.
As years go by, and if the adoption will further increase, holding bitcoin would really be a lucrative one.


This is very true. Its use case in the market will cement its worthiness.
Without strong adoption, bitcoin would hardly go up.
Just take for example all those alts with very small or limited supply, they have difficulty in surviving the market.

scarcity of a product, will trigger a pretty fantastic price, for example bitcoin, with a little stock that makes it even higher in price, even though there are times when it falls, I'm sure the lowest price of bitcoin will be 40k $ for the future,  where bitcoin has been sought after by people in the world who want to own BTC itself and hope to profit from their first purchase

there are 21 million botcoins made and currently that are known to have been mined is 19 million and even then it is controlled by miners, the scarcity of the amount is one of the factors the price of bitcoin is getting higher considering the very high market demand makes it very expensive, bitcoin also has a level of security that is very high.  very high so that it allows its users to transact easily, quickly and safely.

Limited availability of BTC is a plus point when BTC is viewed as an asset. It isn't a plus point when it is viewed as a payment method op.

This isn't the primary reason why BTC should be HODLED to be honest. The primary reason in my opinion is the ability to conduct financial transactions anonymously online without any outside interference.

Also, I disagree with your statement regarding FIAT prices going down with time. Many FIAT currency prices have increased rapidly with time.

companies as big as Tesla are even using bitcoin at this time and several other institutions are starting to get into bitcoin. this is the real adoption being made of bitcoin. Tesla applies the Bitcoin payment option to be able to buy a Tesla car. This is also what causes BTC's new ATH to top the $ 60k mark

Regarding the scarcity of bitcoin, currently the bitcoins in circulation are still 18,666,012 BTC and 2,333,988 BTC left.

Scarcity is the main factory that is driving the bitcoin price to a new ATH all the time. There are only 21 million bitcoins to be ever created and yet we have about 8 billion people in the world trying to put their hands on bitcoin. The bitcoin is definitely worth HODLing because the sky is the limit for bitcoin as more and more are jumping into bitcoin every day.  

Honestly this is not the only reason that Bitcoins is worth holding. The scarcity does not only make a strong statement in regards with the current price but at the same time it would create more opportunities for the development. There are many other things that makes Bitcoins more important. For example :

It's decentralized nature is honestly a blessing for people since the manipulation from the governmental authorities is always at a bay.

You can always transfer using bitcoins to other countries without much transfer fee. It's more or so very convenient.
It makes it much easier to start your own business and to give it a worldwide opportunity. You can just wait years if done though centralized governmental bodies.

Bitcoins is not only a currency which is highly integrated with the present economic ls but at the same time it is quite open for the future too. There is a lot of scope therefore I do think that we will see a lot of growth in the future.

There is a lot of scope in the lightning network too and at the same time instant transactions will be possible at a much safer speed.

The benefits are endless ! What you mentioned is just a small part indeed. You should explore more about it.

I think there are important nuances to be made here. For instance, while Bitcoin is scarce, and it is related to its price growing over time, merely being scarce is not enough to be of interest to people. On the other hand, something can be way more abundant but generate more income and cost more per item. Imagine a famous author who writes a great book, sells the book at $15 per item and sells 2 million copies. And then there's a writer wannabe who writes a boring book, prints 1000 copies and sells the book at $5 per item. His book isn't popular, so he doesn't even sell 1000 copies of it, whereas the first author sells 2 million books and has another million of them in print. It's clear here that the wannabe's book is way more scarce than the book of the popular author, and yet the prices for his books don't rise and are actually lower than those for the books by the popular author, even though the 'supply' is lower for the wannabe author. The point is, scarcity doesn't guarantee the price rising because if there's low demand for a scarce resource, its value isn't going to rise.

If that's what elite people do, we've seen lately when Elon Musk gets into twitter about Doge. Doge went straight to the moon. if you want to make bitcoin has an old trend there must be a lot like elon musk entering into cryptocurrency.

Scarcity is a concept that exist with most things on earth, there really just isn't anything that is unlimited in nature. Gold and other precious metal are the common form of assets that is scarce, are they as valuable as Bitcoin? The only reason why Bitcoin is popular is because of the unique characteristic that it has, transparent, secure, decentralized, etc.

The reason why Bitcoin's price keeps on growing is due to the increasing adoption and the speculation around the currency. Having a limited supply is desirable but it is hardly the reason why Bitcoin's price keeps on rising. A deflationary currency is of no use if there is no demand.

So when you want to invest in bitcoin, you can buy it from now on and not sell it if you're going to hold it for a long time, so you do not get worried about the bitcoin price fluctuation. You will have more chances to buy bitcoin if the price is down because that can give you the time to accumulate more bitcoin. You do not panic if the price down because that will be a discount time for you to get more bitcoin. If the price jump to the highest price in the short term, you can sell it to take profit or you can hold it for more while you can wait for the downtrend that will always come after the price increase.

But you should have a plan to invest in bitcoin because that is what you must prepare. The plan can be how long you will invest in bitcoin, how much money you will use to invest in bitcoin, and else. By doing that, you can follow step by step from the plan and reach your goals in the future.

The founder of cryptocurrency, bitcoin is main reason for its price. The technology and the protocol of bitcoin makes it worth to invest.

Being your own bank with bitcoin. BCash has same scarcity of bitcoin but see how its price has been falling from 2017 to 2021. People are vague and were scammed that it is true bitcoin in 2017 but it did not last too long. After 2018, its mask was taken off and the real bitcoin is bitcoin (BTC).

Any scam attempts after BCash failed in shorter time and they have lower price than BCash. Hashrates on their networks are lower than Bcash and can not compare to bitcoin.

You mean 19 million bitcoin because I don't think that satoshi is going to release his 1 million. It really is worth it to hold your bitcoin but you have to know when you are going to hodl and sell your bitcoin because you need the money that comes from it in the end. Scarcity will only happen if the exchange of bitcoins from other addresses are getting lower every day.

Bitcoin is worth holding because BTC is a store of value,a medium of exchange and most important,an increasing amount of people and companies have trust in Bitcoin.
The Bitcoin price is going up because of the increasing demand for BTC.Scarcity has some role in the process,but scarcity is nothing without trust.
You can make any financial asset to have a limited supply and scarcity,but will the people buy it,just because it is scarce?

Bitcoin's limited supply (ie. scarcity) is not the reason for bitcoin's success and the massive potential for growth it has, it is just the cherry on top. The real reason for bitcoins potential is the unique utility it provides as the only available decentralized currency that can work globally in the safest way possible.

If it were any other way then thousands of altcoins that have limited supply would have also succeeded, some of which should have surpassed bitcoin since they are much scarcer than bitcoin (eg. 42 coin that has a supply of 42 coins!).

The best thing that has ever happened to me is to invest in Bitcoin. My bank is now at the palm of my hand with no middle man involvement. It is a good thing to invest in a deflation model with scarce resources. Moreso, with institutions jumping in, the price will skyrocket and will not stay on the moon but beyond jupiter.

Investing in fiat? well, keeping your money in fiat will just be taken by the depreciation. Scarcity is one of the best factor why many of us are holding it.
Fiat has inflation while bitcoin is eflationary.

Also everyone should not wait for 2140, for the supposedly last bitcoin to be mine. I think by 2038, we will have a full grasp of bitcoin to be scarce as we will have mine 20 million bitcoin by that time. And the last 1 million bitcoin should be mine in the next 100 years. So it really make it worth to hold bitcoin at least and then see how the price goes. Maybe we will see the price in like the 6 digits or even more.

Going for scarce is really a smart thing to do as it is much more valuable. And when you HODL your Bitcoin, I think you will most probably be in more profit compared to investing in fiat. Devaluation is really a big disadvantage for fiat that makes people think twice before investing in it.

Limited supply is just one of the key factors that makes Bitcoin valuable, it has other r qualities of being decentralized and immutable. An asset actually has to fulfill a need for it to have a sustainable growth (as Bitcoin does), otherwise it would simply bubble up and burst eventually.
During the tulip mania, the value went high due to scarcity and the perceived worth that was placed on it, this wasn't enough to sustain the price for long, and it crashed down when people realized it actually had no utility.

There has been many bitcoin critics that have made negative statements about bitcoin, some says bitcoin is a ponzi scheme, some says bitcoin will eventually fail, some do not just like bitcoin for no reason. But people that understand the basis of economics and know bitcoin very well are the ones that can differentiate between bitcoin and what ignorant (bitcoin critics) people do say about bitcoin. It was so surprising as bitcoin became the most successful asset of last decade, and also getting more support from people as they are more knowing about bitcoin, knowing it is the asset of the future, the digital gold and the modern ways money can be used as an asset.

Bitcoin was create in 2009, only 21 million bitcoin were created which to be mined by miners, while the last bitcoin is estimated to be mined in 2140, bitcoin was created in a way to be an asset that will appreciate in value over time. Although, the price do fluctuates, but after long time, the price will increase, a good reason will should go for it.

Bitcoin scarsity
Only 21 million bitcoin were created and that will be mined, this makes the total supply of bitcoin that will be available to be limited, this makes bitcoin a scarse asset. Recently, almost 19 million bitcoin are mine already, and ever since 2009, the price of bitcoin as been increasing. Traders do want to take advantage of the price fluctuations but many traders lost bitcoin during trading, but those that have been holding bitcoin and never panic all gained.

It is never too late to invest on bitcoin, unlike the fiat that will devalue as time progresses, the fiat are regulated by the governments, the governments regulate it in a way the price also increase and decrease too, but after long time, the price will significantly reduce after several manipulations. I am not saying holding fiat is bad but not advisable as the value will continue to decrease  because of government manipulations, that is why we need to go for what is scarse because if something is limited, it means people will know about it, this will make its price to be increasing as people demanding for it will be increasing.