Since there will ( presumably ) never be more than 21 million BitCoins in existence
how does the market reconcile the above amounts/values ??
Clearly, we can't convert the majority of ALT Coins due to BitCoin supply ..
What did I miss in Economics 101 ??
how does the market reconcile the above amounts/values ??
Clearly, we can't convert the majority of ALT Coins due to BitCoin supply ..
What did I miss in Economics 101 ??
Once you start selling altcoins to get Bitcoins, the exchange rate of the pair changes. Check exchanges order books, the more you sell, the lower average price you get.
This one explains it. The more supply going into the exchange the more likely its price to go down. So there is automatically a flaw on the idea of not enough bitcoin. This is a matter of supply and demand and right now you have more supply of altcoin than the demand of it so we can observe in the decrease of altcoin value and an increase of amount a single bitcoin can buy.
