Topic: Btc stability and volatility question? (Read 689 times)
Are you sure you don't want trading profits? You will change your mind if you give some bitcoin. Be realistic, before high bitcoin increases, there are those who trade bitcoin. Bitcoin transactions are carried out P2P without a third party, here whatever you do as the owner of bircoin has the right to do any transaction, it doesn't wrong in my opinion.
We are still under the theory that bitcoin will someday be the global currency knowing that its volatility is out of control. It can be a solution if people would stop trading it into fiat since double spending occurs if ever they did so. A peer to peer network might work but we are not really sure about that yet because that is so far from happening since there are only few who are aware of this proper process of crypto. Most of us trade bitcoin into fiat so that we can use it in our necessities and greedy desires that's why I think we cannot really expect bitcoin to be regulated properly and gain back or gain more value.
If you're expecting for massive adoption and to have bitcoin as the national currency, I could say that we're still far from it. Bitcoin could be a mode of payment but merchants still don't directly accept it so fiat is still necessary. Fiat would always be involved in every local transaction despite the existence of bitcoin because it still needs further development and total adoption due to its volatility.
As a national currency, I am sure that Bitcoin will not be used in any state. The national currency is always tightly tied to the state of the state economy. The price of bitcoin cannot be tied to the conditions of economic development of any state. Bitcoin can go in society along with the national money of states, but can never replace it with itselfI mostly agree with you
With that said, though, we must remember that there are countries (like a dozen or so) which don't have their own currency, and are using a foreign currency instead. It is mostly the US dollar throughout the world but the Russian ruble is also used in certain so-called unrecognized states in lieu of a full-fledged national currency. In this way, it is quite possible that a particular country could adopt Bitcoin as its legal tender on equal terms with some other currency, especially in the cases mentioned
As for the volatility of the price of bitcoin and other cryptocurrencies, it will always be very high, as long as the cryptocurrency remains decentralized. No other factors will significantly affect this
I agree with that too
But volatility is most certainly to stay not because of a decentralized nature but rather due to the speculative essence of cryptocurrencies. After all, gold is also decentralized but its value is a paragon of stability. If you see its price change, remember that it is not gold's value per se that changes but rather the value of the currency it is priced in. Gold itself is rock-solid (despite being a soft metal on its own)
If you're expecting for massive adoption and to have bitcoin as the national currency, I could say that we're still far from it. Bitcoin could be a mode of payment but merchants still don't directly accept it so fiat is still necessary. Fiat would always be involved in every local transaction despite the existence of bitcoin because it still needs further development and total adoption due to its volatility.
As a national currency, I am sure that Bitcoin will not be used in any state. The national currency is always tightly tied to the state of the state economy. The price of bitcoin cannot be tied to the conditions of economic development of any state. Bitcoin can go in society along with the national money of states, but can never replace it with itself.As for the volatility of the price of bitcoin and other cryptocurrencies, it will always be very high, as long as the cryptocurrency remains decentralized. No other factors will significantly affect this.
You sure you're not converting your btc to fiat?
Not everything we need and want to buy is available for bitcoin payment. How can we maximize the use of bitcoin if merchants and shops that accept bitcoin are limited? Even digitally, the one that accepts crypto is still very limited. We're not going to adjust what we have to buy just for us to make sure not to convert it with fiat. Since converting it to fiat is possible, we could do it if we want to.
Not everything we need and want to buy is available for bitcoin payment. How can we maximize the use of bitcoin if merchants and shops that accept bitcoin are limited? Even digitally, the one that accepts crypto is still very limited. We're not going to adjust what we have to buy just for us to make sure not to convert it with fiat. Since converting it to fiat is possible, we could do it if we want to.
If you're expecting for massive adoption and to have bitcoin as the national currency, I could say that we're still far from it. Bitcoin could be a mode of payment but merchants still don't directly accept it so fiat is still necessary. Fiat would always be involved in every local transaction despite the existence of bitcoin because it still needs further development and total adoption due to its volatility.
As a national currency, I am sure that Bitcoin will not be used in any state. The national currency is always tightly tied to the state of the state economy. The price of bitcoin cannot be tied to the conditions of economic development of any state. Bitcoin can go in society along with the national money of states, but can never replace it with itself.As for the volatility of the price of bitcoin and other cryptocurrencies, it will always be very high, as long as the cryptocurrency remains decentralized. No other factors will significantly affect this.
If there is anyone here that is confused and don't know what they are doing, then it is you, @ op. You're the only one here that doesn't know what they doing. There is not going to be a time that Bitcoin is going to be stable, for how long it is going to stay, it will always be volatile and that can't be changed at all. Even if all bitcoins are mined just like some people usually assume that you wouldn't be able to find any buy, lol, it will still be volatile then and you will still have more than enough of it to buy even after all has been mined. Don't let anyone deceive, it's your choice too'.
read the first sentance, I suggest stop trading it to fiat you fools, has satoshi?
I can't imagine how could one person acquire BTC outside mining if he won't trade fiat to it? And how would miner sustain their activity if they will not convert their mined BTC to fiat? Yes it is stated that it is what it is on that article pasted by OP but it does not said that it should be limited to that option. I believe the conversion of BTC to fiat and vice versa is needed to help Bitcoin ecosystem healthy.
The white paper states that bitcoin was designed to be a peer to peer version of electronic cash, but the problem that that idea was long have been neglected and forgotten, people say and hope for the bitcoin to become a major payment method, but they don't treat bitcoin as a electronic way of paying for thing they treat it like it like a valuable assets that should be held and never be sent, and that idea has hurt it overall nature, it made its price unstable and therefor unfavorable for usage by major companies and retailers. so unless this idea changes bitcoin will always have unpredictable and unstable price.
of course this will be difficult to do given the decentralized system in bitcoin, with no one able to control it, making prices tend to fluctuate, so stability is difficult to obtain, but don't know if all countries use it?The only way there can be a control over it is when government is fully involved and regulate it same way china is trying to do by placing some restrictions on their citizens as regards cryptocurrency and despite the fact that it is a decentralized system, the citizens are still responding to the Rules and regulations which supersede any system.
By the way, mass adoption won't stopped volatility but will probably slow it down.
Volatility is a very subjective term because your volatility might not be similar to what I believe is volatility. Good example is how people believe fiat currencies are very stable, while that's not the case at all.One of the main utilities of fiat currencies isn't just being money, but also functioning as speculative vehicle. Being a speculative vehicle comes from the volatility fiat currencies offer, and institutions bank on them every single day.
I think that if we reach gold level stability it's more than enough to serve every corner of our economy. I don't see it being possible that more stability than gold is a target Bitcoin will ever achieve. We have to be realistic.
True! People usually say fiat currencies are not volatile but that not the case. Whole forex market is nothing but the buy/sell of fiat currencies. Even fiat currencies are speculated.
No one is actually afraid of Bitcoin volatility right now. I think positive outlook of investors and government and bullish market is more required than a stable Bitcoin at present.
Please enlighten me, how will bitcoin mass adoption provide stability? How would bringing more fiat and more people using it, how does that stop volatility? How does that work? In what sort of dimension does that work.
It will just be the same rule as fiat but like in a different dimension. Combine Western Union and also fiat money.
But with speed and privacy and also lower fees to transact.
I am a regular user of WU and when I saw bitcoin and how far the difference in fees are specially with large amount of money, that is the time I switched to bitcoin.
Now using it as money. It is already. The only problem is some are still looking at it like gold or other commodity.
What would make it stable is if the vendors only accepted bitcoin, and got rid of the fiat. You want to give me fiat this year for my work and literal fruits of my labor, I will give you what it is worth as toilet paper
I dont know if this a story of yours or your opinion or a question.Yes, once merchants accepts it like how they do it with COD or credit cards then we wont have a problem with stability. Bitcoin coming in and out wont feel any dump even with a whale selling large amounts of bitcoin.
In my country there is something very feasible for many investors and for some speculators, with the local currency every day presents a lot of devaluation, which makes people constantly look for alternatives such as bitcoin, that is why the high volatility that the bitcoin produces They establish a strategy such as:
Buy Bitcoins with local currency, wait at least 1 week and the money that is generated is higher, this arbitration rate can only be used in a country that has high levels of inflation, even if the bitcoin goes down in price, the value in currency local only suffers small losses not so significant.
The volatility of Bitcoin in a country with high inflation may be able to stabilize the traditional economy of particular people who can do well this move or this strategy.
That is why volatility can be affected in some way in countries with much stronger and more stable economies, such as the USA and Europe, which are countries with a strong economy, and which have great support of all kinds.
In the countries of the South, businesses move in different ways and with different directions, and the digital age with bitcoin volatility makes the volume of people in the alternative economy benefit.
Buy Bitcoins with local currency, wait at least 1 week and the money that is generated is higher, this arbitration rate can only be used in a country that has high levels of inflation, even if the bitcoin goes down in price, the value in currency local only suffers small losses not so significant.
The volatility of Bitcoin in a country with high inflation may be able to stabilize the traditional economy of particular people who can do well this move or this strategy.
That is why volatility can be affected in some way in countries with much stronger and more stable economies, such as the USA and Europe, which are countries with a strong economy, and which have great support of all kinds.
In the countries of the South, businesses move in different ways and with different directions, and the digital age with bitcoin volatility makes the volume of people in the alternative economy benefit.
What's the point in all this? How does this support Bitcoin stability? As far as I know, every cryptocurrency not only Bitcoin is volatile and it is acceptable ever since we invest in it. Which means stability in cryptocurrency is not that easily be achieved.
People will only stop trading btc to fiat if they have to buy something exclusively with bitcoin.
Otherwise it's still more advantageous to exchange btc to fiat, as you buy anything with fiat, and with bitcoin only few goods and services.
Otherwise it's still more advantageous to exchange btc to fiat, as you buy anything with fiat, and with bitcoin only few goods and services.
In some countries, for instance, in Germany, Bitcoin can be used to buy things. If you are a traveler and BTC holder, it is better not to convert crypto in cash and travel with any sums on your account (in Bitcoin wallet is this case).
Indeed, the volatility of Bitcoin and other cryptocurrencies compared to the volatility of national currencies of states is manifested at a completely different level. Any currency of the states still has links to the state of the economy of this state. Therefore, the volatility of this currency can not be too large. It can always be within certain limits. Cryptocurrency volatility has no limits in its price. This is the most volatile market and it will always be that way. Demand and supply can change with lightning speed and largely depend on news factors.
People will only stop trading btc to fiat if they have to buy something exclusively with bitcoin.
Otherwise it's still more advantageous to exchange btc to fiat, as you buy anything with fiat, and with bitcoin only few goods and services.
Otherwise it's still more advantageous to exchange btc to fiat, as you buy anything with fiat, and with bitcoin only few goods and services.
In some countries, for instance, in Germany, Bitcoin can be used to buy things. If you are a traveler and BTC holder, it is better not to convert crypto in cash and travel with any sums on your account (in Bitcoin wallet is this case).
People will only stop trading btc to fiat if they have to buy something exclusively with bitcoin.
Otherwise it's still more advantageous to exchange btc to fiat, as you buy anything with fiat, and with bitcoin only few goods and services.
Otherwise it's still more advantageous to exchange btc to fiat, as you buy anything with fiat, and with bitcoin only few goods and services.
I don't think so because I am sure people still want to have more bitcoin in many ways and trading is one of those ways. They will spend some bitcoin to trade while they still have another bitcoin to buy a few goods and service. But I don't want to use bitcoin to buy something because bitcoin is my investment now. I prefer to use fiat to buy my daily needs and save bitcoin for a long time.
Personally I don't want mass adoption of bitcoin because this coin was great when it's recognition was low but this coin was still pretty usable for buy most things you wish online
And what was great about it?
Mass adoption, as the phrase itself suggests, means wider acceptance of cryptocurrencies (in this case, Bitcoin) as a means of payment. So, if anything, with expanding adoption we will be able to buy more with Bitcoin, provided we had been able to buy anything with it at all in the past (when its recognition was low). Simply put, I don't know what was so great about Bitcoin back in the day other than a sense of belonging to a tight group of Bitcoin users with a smack of elitism (if that is what you mean)
Please enlighten me, how will bitcoin mass adoption provide stability? How would bringing more fiat and more people using it, how does that stop volatility? How does that work? In what sort of dimension does that work.
What would make it stable is if the vendors only accepted bitcoin, and got rid of the fiat. You want to give me fiat this year for my work and literal fruits of my labor, I will give you what it is worth as toilet paper
Personally I don't want mass adoption of bitcoin because this coin was great when it's recognition was low but this coin was still pretty usable for buy most things you wish online. It got popular and some problems started like high tx fees, regulations, KYC documents and etc.What would make it stable is if the vendors only accepted bitcoin, and got rid of the fiat. You want to give me fiat this year for my work and literal fruits of my labor, I will give you what it is worth as toilet paper
Every currency has exchange rates, bitcoin isn't an exception too but it's still different from local currencies. I think for those who want stable coin, there are already some choices.
Not true, we weren't "buying most things" and the number of merchants was very low and we could mainly buy digital items (hosting, domain, services,). The ecosystem was marginal.
If the high transactions fees were because Bitcoin started to be popular (here you referer to the crazy fees back to 2017-18) How do you explain that there are as many transactions per day as in 2017 and but the fees are ridiculous
Please enlighten me, how will bitcoin mass adoption provide stability? How would bringing more fiat and more people using it, how does that stop volatility? How does that work? In what sort of dimension does that work.
What would make it stable is if the vendors only accepted bitcoin, and got rid of the fiat. You want to give me fiat this year for my work and literal fruits of my labor, I will give you what it is worth as toilet paper
Personally I don't want mass adoption of bitcoin because this coin was great when it's recognition was low but this coin was still pretty usable for buy most things you wish online. It got popular and some problems started like high tx fees, regulations, KYC documents and etc.What would make it stable is if the vendors only accepted bitcoin, and got rid of the fiat. You want to give me fiat this year for my work and literal fruits of my labor, I will give you what it is worth as toilet paper
Every currency has exchange rates, bitcoin isn't an exception too but it's still different from local currencies. I think for those who want stable coin, there are already some choices.
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