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Topic: Is the US Dollar Too Volatile? (Read 1339 times)

copper member
Activity: 182
Merit: 18
Crypto.BI
December 20, 2018, 04:51:01 AM
Cryptocurrencies must being to be used in real world purchases.

If you buy 1 kg of fish using X crypto, then the price sets in. People need to start using crypto to buy and sell stuff. When this becomes widespread, crypto prices will gain real world references.

Why does everyone know a coffee is worth $1? Because people buy coffee for $1. If the dollar were only used for investing and hoarding, nobody would know how much a coffee cost.

When coffees begin to be sold for X satoshi, that's when BTC will become more stable IMO.

We need widespread adoption.

Adoption begins by exposing the FED printed money farse. Tell your friends how the FED works, how they print money for themselves, how banks rob you 24x7. That's when The People will adopt cryptos for everyday life.
full member
Activity: 644
Merit: 102
December 20, 2018, 03:13:47 AM
The value of dollar fluctuates but not like the cryptocurrency that is highly volatile. The value of cryptocurrencies changes more frequent than the fiat making it more stable currency compared to the cryptocurrency
member
Activity: 271
Merit: 10
December 20, 2018, 02:00:27 AM
The current dollar is very strong, it is sweeping the global capital market, which will last for a while, but this may be the last strong dollar, this time the dollar will end in failure. The Fed is struggling at the end.
newbie
Activity: 78
Merit: 0
December 20, 2018, 01:49:31 AM
Truly, inflation is an accepted part of the economy, but let's not forget, that the salaries are also rising, and not just the purchasing power decrease. So it is a little bit different, than what we see in cryptocurrencies, where prices fluctuates more rapidly. So all together, Fiat is still more stable, but it does not mean of course, dollar is a better investment, than Bitcoin for example.
The US Dollar experienced fluctuations as the economy slowed in the country. But as a rich country, of course the impact is not as severe as a poor country, where the people still get subsidies from the state and can still live well. Certainly different from cryptocurrency which experiences faster and bigger fluctuations, the impact is very pronounced for its users.
full member
Activity: 462
Merit: 100
November 18, 2018, 04:54:32 PM
I can't say that it is too volatile but rather it will all depend on how well the econony of United States is  performing. The economy is usually affected by crisis and FUD news about economic crash. These kind of things usually presents a negative effect on the economy making the market very unstable and rhe currency volatile. Now if there are continuous bad publicity then soon enough volatility will follow.
Pab
legendary
Activity: 1862
Merit: 1012
November 18, 2018, 03:55:27 PM
No Dollar is not
Dollar price depends on central banks activity
But i don't think so investors recognize dollar like a safe heaven
Dollar price can't rise too much because US export can be in trouble
So you can always count on central banks
On other hand how it is possible for currency what generated trillions dollar of debt to be global currency how that kind of currency can exist
It is against of any real economy rules
But we are in 21 century it is time like that evil time
member
Activity: 263
Merit: 10
November 18, 2018, 03:32:51 PM
I don't really think anyone is claiming that the USD is not volatile when they talk about BTC's volatility, it is just that BTC's volatility is much more pronounced on a day-to-day level, versus the USD with its long-term volatility.

Using your 2-liter bottle of soda example, I am fairly confident that the price in USD had remained pretty constant at $2/bottle over the last 3 months. Where I live it is actually only about $1.59, but in any event the basic premise still holds, that with the exception of temporary sales, the price of soda remains pretty constant relative to USD on a day-to-day basis.

Now if we priced that 2-liter bottle of soda in BTC, we would have:

November 1, 2017 - BTC ~$6750, bottle soda = 0.00029629 BTC
December 1, 2017 - BTC ~$10,500, bottle soda = 0.00019047 BTC
December 17, 2017 - BTC ~ $20,000, bottle soda = 0.0001000 BTC
January 1, 2018 - BTC ~$13,700, bottle soda = 0.00014598 BTC
February 6, 2018 - BTC ~$6,400, bottle soda = 0.0003125 BTC* Used instead of 1st because it represents low point
March 1, 2018 - BTC ~$11,000, bottle soda - 0.00018181 BTC

So that is what is I call volatile!

If you were selling a used car for 1 BTC, on December 15th, 2017 you would have gotten $20k for it, assuming you cashed out that same day, and not even 2 months later on February 6, 2018 you would have only got $6,400 for the same car. Now if you paid me in cash instead, the $20,000 I got in December would be pretty much still be worth $20,000 today.
Well, here is the bitcoin volatility that everyone is talking about. The fiat currency volatility take years before it happen but the bitcoin volatility happen too fast normally within days not even months or years.
sr. member
Activity: 777
Merit: 251
November 18, 2018, 10:53:34 AM
I think so, because we all know here that USD$ is the main fiat currency at all time all over the world. And it is too volatile also, but compare into

bitcoin it is much aggressive rather than USD$ I think. This is proven and tested already to all majority of the traders in this field of business.
sr. member
Activity: 1344
Merit: 253
November 18, 2018, 06:55:03 AM
As i understand, a volatile is the way how fast a certain matter evaporates. As to cryptonomics, volatility is making other people rich while others hate cryptos too. But in the case of fiat as in US Dollar, i can't describe it as volatile at all because its value remains the same for years.
i don't think like that. as long as there is a transaction of course there will be volacity. but as far as i know, the dollar volacity is not like cryptocurrency, where the volacity is very high
member
Activity: 97
Merit: 10
W12 – Blockchain protocol
November 18, 2018, 05:40:11 AM
As i understand, a volatile is the way how fast a certain matter evaporates. As to cryptonomics, volatility is making other people rich while others hate cryptos too. But in the case of fiat as in US Dollar, i can't describe it as volatile at all because its value remains the same for years.
full member
Activity: 364
Merit: 100
November 04, 2018, 11:52:58 PM
In what I can see as a normal person who has no background knowledge about the volatility of our current currencies today, I can see that dollar is one of the strongest currency world wide, I can see most of the currency losing value while dollar just keeps going up, if not, it just maintain its value and very seldom does it go down. So I think dollar is not volatile, Ive seen what volatile looks like and it is nothing like dollar.
hero member
Activity: 1680
Merit: 535
Bitcoin- in bullish time
November 04, 2018, 11:27:38 PM
I don't think that US Dollar is too volatile because the only thing that is happening in the US Dollar is a correction since the global economy is on decline right now but it is not that volatile like the stock market's price movement or even the cryptocurrency which is the most volatile for me.
member
Activity: 448
Merit: 10
November 04, 2018, 11:22:26 PM
Compare with bitcoin, USD purchasing power always decrease year on year. Its because inflation and its because The Fed always print paper money. Different with USD, bitcoin purchasing power always increasing because total supply already fixed and its can not change and no one authorities can control the supply
Probably one of the reasons Trump said Feds are just the problem. Well, the truth is that over the years, USD has been losing its purchasing power, but the funny part is that more USD just keeps getting printed and then we just get to see the people getting to know what the government want them to know in most cases, that the value is still there.

It is a controlled system with its huge flaws and there is apparently no doubt that since the beginning, US Dollar has not been losing it. However, it still remains the globally adopted currency anyway which is one of the reasons why it will keep thriving. I can imagine what it would be like to see bitcoin taking that space?

US dollar is one of the most stable currency in the world and that for me nothing can beat it. And yes US dollar was never been losing.
legendary
Activity: 1288
Merit: 1036
October 31, 2018, 11:02:47 AM
Compare with bitcoin, USD purchasing power always decrease year on year. Its because inflation and its because The Fed always print paper money. Different with USD, bitcoin purchasing power always increasing because total supply already fixed and its can not change and no one authorities can control the supply
Probably one of the reasons Trump said Feds are just the problem. Well, the truth is that over the years, USD has been losing its purchasing power, but the funny part is that more USD just keeps getting printed and then we just get to see the people getting to know what the government want them to know in most cases, that the value is still there.

It is a controlled system with its huge flaws and there is apparently no doubt that since the beginning, US Dollar has not been losing it. However, it still remains the globally adopted currency anyway which is one of the reasons why it will keep thriving. I can imagine what it would be like to see bitcoin taking that space?
member
Activity: 196
Merit: 10
October 31, 2018, 03:42:08 AM
Truly, inflation is an accepted part of the economy, but let's not forget, that the salaries are also rising, and not just the purchasing power decrease. So it is a little bit different, than what we see in cryptocurrencies, where prices fluctuates more rapidly. So all together, Fiat is still more stable, but it does not mean of course, dollar is a better investment, than Bitcoin for example.
sr. member
Activity: 686
Merit: 277
October 31, 2018, 03:34:43 AM
The short-term is unlikely, the dollar is still strong now, this is caused by Trump, but this is not completely good, when the dollar releases side effects, the world will fall into a financial crisis.
Yes, overall the dollar is not volatile at all. Rather it is most stable currency for the past decade. Currently the political things are unstable which is causing the dollar value to shuffle.
Well for me, I think nothing has been stable for more than few years keeping all the stockholders in consideration. People are different and they behave different to different things. For dollar, like you have said, different governments of US have been dealing with it in different scenarios. Some have worked it amazingly and some ruin their efforts simply. So this is regular thing.
newbie
Activity: 16
Merit: 0
October 31, 2018, 02:57:49 AM
I think America is one of the most economically powerful countries. That is why the dollar is not terrible. It is beneficial for us.
full member
Activity: 532
Merit: 101
October 31, 2018, 01:58:57 AM
Similar to other currencies does not only occur in cryptocurrency, which as we know volatile, that occurs very significantly every day and also has a high risk. This is certainly not like the volatile dollar that occurs only at certain times.
indeed dollar has volatile too, but indeed there is a greater cryptocurrency, and indeed all types of fiat currencies have volatile. you can pay attention to the movement of dollar in dollar index pair
legendary
Activity: 2716
Merit: 1017
Join the world-leading crypto sportsbook NOW!
October 31, 2018, 12:55:00 AM
Similar to other currencies does not only occur in cryptocurrency, which as we know volatile, that occurs very significantly every day and also has a high risk. This is certainly not like the volatile dollar that occurs only at certain times.
hero member
Activity: 896
Merit: 514
October 31, 2018, 12:43:39 AM
yes the US Dollar  also is Volatile but its volatility not every day vs Bitcoin
the bitcoin volatility every day and it is depends on the sell and buy
yes your words it is true

But then the volatility of USD is not really seen because it is the currency that is used to measure any other currency, it is like the basis on how we look to other currency. If we see the value of bitcoin without even a comparison to fiat, usd to be specific, then we can see bitcoin just like how we look to USD.
Exactly. That is the concept by the way. There is fluctuation in the relative values and you do not know the currency that is actually fluctuating. It might be your currency devaluing if the price of dollar is rising and it might be your currency gaining worth if the later declines.

On the other hand, the value of dollar may stay on the same level and you might call it volatility due to fluctuation in the worth of your currency. Same could be said for Bitcoin so yes if we avoid measuring BTC in USD, and just look at BTC, it would be like if you are looking or scaling any ordinary currency.
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