Topic: If Bitcoin had a stable price, would it still be as popular? - page 88. (Read 171736 times)

Aside from that, highly volatile currency is not merchant and users friendly.  This will hinder the adoption of bitcoin and making it hard for users to know how much he have to pay for some item due to bitcoin price fluctuation.  When the price become stable, the price of an item today in bitcoin can be the same after a few days, meaning merhcants and users can take advantage of this.  Though traders might probably get out of the scene.

The fluctuation is good for traders who sell and purchase the bitcoin looking at the prices. But for those the rise and down is a bit discouraging who want to save it for a long term. Like people having future plans of 2020. They will want the persistent increase in the prices. These are the people who are valuing the bitcoin as the digital gold.

Yeah maybe bitcoin can still be used although stable. May be used as currency. But I doubt the bitcoin will remain popular. Because I'm sure the current user prefers a fluctuating price

If Bitcoin had a stable price...

It would be more popular to the masses.. but first ..

The net result of the rapidly ascending price and wider public adoption is deflationary. I'll give you an example. Last week I ordered a couple items via Purse. Purse's business model seems to be a mashup of wallet, market place, exchange and name your own price. The expectation from the buyer is to exchange BTC for merchandise at discounted prices. The expectation for the purchaser (one who fills the transaction peer to peer) is to unload Amazon gift cards for BTC, use their credit cards to purchase BTC (and get around exchange limitations), take advantage of currency differences  or just try to scam for BTC.

Being an active Prime user, I expect prime eligible items to show up on my doorstep in 2 days.
So 2 days comes and goes, 3, 4 , 5 days. So beside the point whether a scammer tried to fill my order to defraud me of my BTC (apparently they have escrowed funds so I hope not to part with my BTC until order is fulfilled), BTC was 1240 when I placed the order. Now with BTC hitting 1360 I feel the remorse of someone buying assets into a deflationary price spiral. If I were filled in 2 days, I would have said "all well, I did get a discount". But since I haven't, I'm thinking of the 10% opportunity cost I've lost this week.

The fundamental problem with deflationary environments is it rewards hodlers. Deflation is in some ways harder to manage than inflation. Inflation is somewhat tameable with interest rate policy, while deflation by coercing spending. Although the BTC economy is coming along, no central authority can print BTC (outside of mining rewards) to stimulate spending, nor can they raise interest rates to slow down a heated economy.

With every realization of missed opportunity cost, more people in the BTC economy are trained to be hodlers. With greater % of BTC getting locked up at the same time of great public adoption will cause further price ascension and more hodlers. The faster the price ascension the more speculators enter, rinse, repeat. This will continue with blips in confidence and price along the way.

The greatest wave of mass public adoption will be led by risk averse individuals. This will happen when a) enough BTC to go around. Since BTC is naturally divisible, this means dividing the actively exchanged BTC with population of BTC spenders. Prices would be significantly higher to facilitate this B) prices of BTC stay a relatively stable +/- 1-4% in relation to a basket of major currencies for 5-8 year periods.

By its very nature BTC price can not be stable without becoming de facto. No central government would allow it to become de facto without a means to implement taxation.

So.. if bitcoin had a stable price, government would control it. Doh, Dollar 2.0. Was expecting you back in 2009. But you were born in 2009

True, bitcoin is notorious for having fluctuating prices and always gives a price shock so it attracts many users to use it. I'm not sure bitcoin will get popular when it has a stable price

Stable price of bitcoin would never make it popular. What matters is the advantages it has over fiat currency and the fluctuation in price of bitcoin. The traders drive the economy of bitcoin and the projects funded by different organisations are popular just because the price of bitcoin has rose several time in the last decade.

In many countries people have not yet heard of bitcoin - that is a matter relating to the acceptance of bitcoin not the price of bitcoin.

The present value price of bitcoin was a good and better, and I know most bitcoin fanatic are more comfortable with the price.
It is just only unpredictable when its gonna be increase the price, so just still hold our coins til it goes up at the right time.

If it is stable at a low price.. i guess it wouldn't be popular as it is nowadays.. but if it's stable at a very high price.. then it would be popular in all countries

Not to my knowledge, I believe most users of bitcoin are those who love to spend like gamblers or buyers of products and services online. There are only few who are investing and that makes an increasing massive transaction on a daily basis. Honestly, I am more than a spender than an investor but I make it a point that I can have a good investment in the near future.

Yeah because you can see most users today are investors and trades where they all prefer a fluctuating price compared to a stable price.

People like it because it is volatile, It may be used as a digital currency but I don't think that it will be as popular as what is right now. It is popular because of it's volatility, though not only volatility but there are still others, but with a stable price it will be just used, but not that popular.

You are definitely right. In our world there isn't a stable value of currencies, Volatility must be in financial market. So, I will reply to your question by YES.
Even if bitcoin price will be stable, I think people will use it like other currencies. Also with this high value everybody want use it.

As long you can see that your transaction is already on the network I guess it will not be a big problem. I hope that this will be fixed soon too. And right now we are seeing the popularity of bitcoin grows rapidly and most of the people are investing is because of its moving price.

Initially people came to earn money and so is now, people are here to earn but they also have realized the value and the change in the society. People give preference to the bitcoin instead of the traditional system. There are people who just don’t want to make money in fact they want to increase the net worth of their assets. The bitcoin is now become an asset for the people. Those are the people who are never gonna let the Bitcoin go down.

I don't think downward trends in Bitcoin are any big threat for its popularity. Bitcoin was able to recover downfall of $800 in past as people never lost faith in it. This is the main reason why I guess stable bitcoin would still be popular as people believe in Bitcoin and use it on mass scale due to its non-matching features. Stagnant price for a period would be unable to snatch people's interest from Bitcoin for sure.

At this point, if the price gets stable at this rate, then I think it would be faster for btc to be popular even if it gets really steady. The price is already pretty high right now and I think we're already past the state wherein btc will drop to such lows. If btc price went stagnant when it was still low, then that may damage the popularity of btc but I think that time is over now

If the merchants and owners of shops are willing to accept bitcoin payments then its not much of a problem. They simply need to adjust the price of bitcoin according to current price of bitcoin. Again another thing is the fees of the network. People are not willing to wait for hours to confirm a big transaction just because it will cost a lot of mining fees - they prefer to give smaller fees, on the other hand credit cards have instantaneous confirmed transactions.

The first thing that store or mall owners will think is that why they need to adopt a digital currency if most of their customers are using credit cards and cash. But because of the feature of bitcoin for having unstable price it attracted first people that are willing to invest and then the popularity came over next.

Popularity of bitcoin is depending on the situation, if more and more stores and malls like bitcoin for being stable then it will continue to become popular because it will have a fixed value just like in the fiat but a lot of advantage while it can be popular also if the bitcoin price is unstable because a lot of traders and investors will also like it and it will result for bitcoin to continue becoming a popular currency.

Are you suppose to say that it is not going to become popular if it has a stable price? This is why bitcoin is being liked by a lot of investors and other people that are pushing decentralization that wants to avoid taxes from the governments and wanting to have an anonymous transaction. And the price is unstable which is giving more chances to make profit.