Why bitcoin will appreciate forever? Bitcoin stopped appreciating in 2013. That fact kinda undermines the credibility of any analysis that promises bitcoin will appreciate forever.
That assumes significant and lasting adoption takes place.
If it takes a couple of decades, by that point most of the coins will be mined and transactions will continue to grow. If that is the case then the value goes up.
The 2013 appreciation was a hyped, partially crooked, bubble. It had little or nothing do with adoption or demand.
If Bitcoin becomes ubiquitous, people won't make money on bitcoin by holding it because it will only retain value, not create value. If you have 1 bitcoin and it rises in price relative to USD over time, that's not making money, it's just retaining the value over time./ Your bitcoin will buy the same amount as it did before, the only thing that has changed is that the dollar is worth less. This seems to be a fundamental thing people don't understand. And a currency that appreciates in value is destructive to the currency anyway because it lures spectators and creates a bubble, as happened in 2013. It would be far better for Bitcoin adoption if the price stayed in the same 5-10 dollar range. Anyone who thinks they're going to get rich holding bitcoin deserves to eat all the opportunity costs of not investing in a real income-generating business.
