I read a lot of people on here complaining about how there is all this good news coming from Bitcoin but they don't understand why the fiat exchange rate remains rather stagnant. How can the market be bullish if the price doesn't increase? It is simple. There are 144 blocks found each day, each containing 22 newly mined Bitcoins. Regardless of whether the miners sell or hold their coins, the market capitalization of Bitcoin is increasing by about 2,000,000 USD per day. So don't worry about Bitcoin being stagnant, because it isn't. Stagnant would be coins continuously being added and the price of Bitcoin going down by an equal percentage.
You're right with your explanation. It's like a traded company constantly releasing new shares to the market.
However, there might be another reason for stagnant/declining exchange rates: The use of payments processors as intermediary, who instantly convert bitcoin to dollar. In this scenario growing acceptance of bitcoin by companies could negatively affect exchange rate, as long as these companies choose dollar conversion of all bitcoin payments.
ya.ya.yo!
and Bitcoin is still under $650.. The price it is stable, but still low. Even mining for altcoins it is no option anymore.
