Bitcoin derives its value both from its use as a medium of exchange and as a store of value. Bitcoin price is highly dependent upon its utility. By using Bitcoin as a medium of exchange for buying things will only gonna increase the price because of higher utility. That is why Bitcoin community always stresses upon the widespread adoption of Bitcoin among vendors and merchants to increase its utility which in turn will increase its demand and so does the price.
Topic: Would using Bitcoin currently increase or decrease its value? - page 2. (Read 1021 times)
It increase the value of bitcoin because as long as the people are keep coming in bitcoin and using it then it means that the demand is growing and in the future it will help bitcoin to grow its value because the demand is the main reason why the price of bitcoin is moving and if using bitcoin will continue then it will make the price higher based on the law of supply and demand.
i think the bitcoin value will increase because people realize the existing bitcoin and they know bitcoin can be another solution for the payment. but for being used for payment, bitcoin price need to be stabilized first so when people want to buy something, they can used bitcoin as fiat. without stabilizing the price, bitcoin is hard to reach economic because once the price is down too deep, the economic will be panic and the country will be in chaos.
Thank you for the informative answer, that all makes sense. So then a widespread Bitcoin usage would require near-zero volatility? How can that be achieved if most vendors/merchants are quick to liquidate to fiat?
yes bitcoin price require near-zero volatility to be used for the economic of the country. i think we are too far for used bitcoin as large scale of the economic because bitcoin hasn't reach a stable price until now and i guess we needs more years again. but i am sure that we are going to go that way and once we are there, we can see bitcoin will be as new currency for all country for their economic too.
In fact if in present time we are using bitcoin, i am sure that it is increasing its value. because more people comes to know about bitcoin and more people start investing money in bitcoin, therefore i think no doubt that its value is increasing. I think that it is our duty to introduce bitcoin to our friens and family so that they can also become active users of bitcoin, which will certainly help bitcoin in their future. Thank you for the informative answer, that all makes sense. So then a widespread Bitcoin usage would require near-zero volatility? How can that be achieved if most vendors/merchants are quick to liquidate to fiat?
yes bitcoin price require near-zero volatility to be used for the economic of the country. i think we are too far for used bitcoin as large scale of the economic because bitcoin hasn't reach a stable price until now and i guess we needs more years again. but i am sure that we are going to go that way and once we are there, we can see bitcoin will be as new currency for all country for their economic too.
I'm new to the Bitcoin / Cryptocurrency world, and the economics are pretty interesting.. My 
;)question is more of a large-scale economics question.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
Hi hairballin! I'm just a bit confused with your introduction. You said you're new to the bitcoin and cryptocuurency world, yet you stated in your quote below your activity count that you're "an experienced technical writer, altcoin trader." Quite contradictory...lol! Anyways, as far as I know, the general rule in the market value of things is, the higher the demand, the higher will be the value..simply put. Just like a professional who offers his service, when he gets recommended or referred to others more often, then he could partially increase his fee due to the trust that is being built. Same thing with bitcoin, the more people use it-the higher the demand-the value rises. Quite similar to a popularity contest so to speak.. ;)question is more of a large-scale economics question.Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
i think the bitcoin value will increase because people realize the existing bitcoin and they know bitcoin can be another solution for the payment. but for being used for payment, bitcoin price need to be stabilized first so when people want to buy something, they can used bitcoin as fiat. without stabilizing the price, bitcoin is hard to reach economic because once the price is down too deep, the economic will be panic and the country will be in chaos.
Thank you for the informative answer, that all makes sense. So then a widespread Bitcoin usage would require near-zero volatility? How can that be achieved if most vendors/merchants are quick to liquidate to fiat?
yes bitcoin price require near-zero volatility to be used for the economic of the country. i think we are too far for used bitcoin as large scale of the economic because bitcoin hasn't reach a stable price until now and i guess we needs more years again. but i am sure that we are going to go that way and once we are there, we can see bitcoin will be as new currency for all country for their economic too.
In fact if in present time we are using bitcoin, i am sure that it is increasing its value. because more people comes to know about bitcoin and more people start investing money in bitcoin, therefore i think no doubt that its value is increasing. I think that it is our duty to introduce bitcoin to our friens and family so that they can also become active users of bitcoin, which will certainly help bitcoin in their future. Thank you for the informative answer, that all makes sense. So then a widespread Bitcoin usage would require near-zero volatility? How can that be achieved if most vendors/merchants are quick to liquidate to fiat?
yes bitcoin price require near-zero volatility to be used for the economic of the country. i think we are too far for used bitcoin as large scale of the economic because bitcoin hasn't reach a stable price until now and i guess we needs more years again. but i am sure that we are going to go that way and once we are there, we can see bitcoin will be as new currency for all country for their economic too.
Using of bitcoin will definitely increase its' market value. As long as the demand for bitcoin gets high, and the supply isn't enough for the demand, the market value goes up. And you can observe when you sell or convert your bitcoin, the price goes down afterwards.
Definitely the high demand for bitcoin and crypto currency generally will increase its value and not decrease crypto currency value. Since the supply of bitcoin is a little beat small as compare to the demand for bitcoin which will likely increase its value.
I'm new to the Bitcoin / Cryptocurrency world, and the economics are pretty interesting.. My question is more of a large-scale economics question.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
In my own words and understanding if you do tend to use up your bitcoin to buy goods and other stuffs and services i cant see that it would increase nor decrease its current value since those merchants are holding up their bitcoin that they do earn unless if they would decide to sold up those amounts on an exchange then it will surely affect depending on how big it is but if we do say on small amounts even on selling or exchanging them wont really give impact at all.Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
Converting Bitcoin to fiat currency means selling your bitcoin, if you are selling a huge amount of bitcoin that will eat out buy demands of bitcoin then it will affect the price because priced moved lower but I know eventually the price will recover.
I'm new to the Bitcoin / Cryptocurrency world, and the economics are pretty interesting.. My question is more of a large-scale economics question.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
In my own words and understanding if you do tend to use up your bitcoin to buy goods and other stuffs and services i cant see that it would increase nor decrease its current value since those merchants are holding up their bitcoin that they do earn unless if they would decide to sold up those amounts on an exchange then it will surely affect depending on how big it is but if we do say on small amounts even on selling or exchanging them wont really give impact at all. Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
It is an speculative asset, so we cannot predict whether the price increases or decreases with time. Everything happening with bitcoin is purely of the increased and increasing usage compared to the past. As the market supply increases, so will be the value. On such a thinking I believe the price grows high depending on increasing usage.
Bitcoin in a speculative asset because people are making it so, and because we are still in fairly 'early adopter' phase.We may agree that some of us would want for bitcoin to never become a stable currency because it would kill the thrill of volatility.
Increasing everyday usage and paying with Bitcoin will just create more demand and since our supply is limited - the price should rise as a result.
The problem currently is that people are kinda unwilling to spend their coins - because they expect them to be more valuable in the future and another thing -
bitcoin user experience is kinda lacking, and this fact is putting off newbie users from using BTC full scale.
I'm new to the Bitcoin / Cryptocurrency world, and the economics are pretty interesting.. My question is more of a large-scale economics question.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
Simplifying it along the line and law of demand and supply, that's exactly what will happen because by the time I offered to pay using bitcoin outside the forum then the merchant do his research to accept, he then consider to suggests the option to him employee whether they would prefer their take home in bitcoin or not. They in turn then influence their families and the cye continues
Using the chain above, it then means for everyone who came into contact with bitcoin and acted on it then means one more person got in to the crypto to and when that happened it cause price to increase the population increase is on the demand side.
I'm new to the Bitcoin / Cryptocurrency world, and the economics are pretty interesting.. My question is more of a large-scale economics question.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
To me using bitcoin to buying goods and services do increase it value and as a matter of fact bitcoin and other alternative coins were developed to be used as a means of payment for goods and services. Though we have not got to that level were every body in the level of our society will accept bitcoin as a means of payment but the more people used it the more many people will become aware of it and the more it value increased. Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
I believe that when there is more use of bitcoin in the online market or even the ordinary market the price of bitcoin will increase significately. If there will be more Bitcoin transactions there will ne more demand to buy it and eventually the value will rise according to the demand.
Such thing needs that people start believing in crypto word and start accepting btc payments.
Such thing needs that people start believing in crypto word and start accepting btc payments.
Well obviously, the more people using btc, the higher the price would become. Bulk selling or panic selling decreases its value. So the more people owning bitcoin, the better the result would be for it's users
If purchasing goods or if there are already accepting bitcoin payment in merchants definitely these would bring more awareness to the users. So this means if this will happen it would become increasing its value and the demand of bitcoin. I'm new to the Bitcoin / Cryptocurrency world, and the economics are pretty interesting.. My question is more of a large-scale economics question.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
I think it depends on what the merchants would do with your bitcoins, and whether you would replace your spent bitcoin or not.
Bitcoin is limited, so it's price increases as demand increases, so the more people buy and less bitcoins are available, it's price will increase.
If you buy things with it, nothing should happen to the price, since they are just circulating. But let's say you buy, and the merchants exchange them to fiat, and neither you or the merchant would get more BTC. Then it was actually a sell of bitcoin so the price decreases (at least if this continues, because then it would look that everyone was selling and no one was buying).
But id you buy stuff, the merchant holds them or uses them to buy stuff as well, and more and more merchants offer the option of buying things with BTC, then more people that don't have BTC right now, will get them, in order to trade them for goods as well etc. In this case the price will increase of course.
Value increases. Just think about it yourself why would you using something decrease its value. Has that ever happened to you? Using something more increases the demand of that commodity.
And I am sure that you have heard about the supply demand paradox. When supply increases and demand decreases prices go down. But when demand increases and supply decreases prices go up.
Using Bitcoin frequently in your everyday life will only increase the demand for it. Since the supply is limited and more demand is being conjured up every minute due to mainstream adoption, Bitcoin prices will only go up.
And I am sure that you have heard about the supply demand paradox. When supply increases and demand decreases prices go down. But when demand increases and supply decreases prices go up.
Using Bitcoin frequently in your everyday life will only increase the demand for it. Since the supply is limited and more demand is being conjured up every minute due to mainstream adoption, Bitcoin prices will only go up.
I understand how supply and demand works. I was asking more about value consensus in general. And can you explain how using Bitcoin in everyday life would increase its demand and, subsequently, its "price"?
If you offer/trade XX Bitcoin for a good or service (commodity), you're establishing a value. The more common that this trading happens, a value is established and solidified.
Well obviously, the more people using btc, the higher the price would become. Bulk selling or panic selling decreases its value. So the more people owning bitcoin, the better the result would be for it's users
Right now? I don't think it would have a substantial effect. Current demand for Bitcoins is being driven by people who want to invest and ride the wave. Seeing people spend their money in a different way is not going to spur them into buying Bitcoins, which means little to no change in demand, and consequently, little to no change in value. I am assuming the number of vendors who accept Bitcoins as a form of payment in this scenario stays the same though.
More vendors accepting Bitcoins is a different story though, as it legitimizes Bitcoin's status as a currency, potentially bringing in more users.
More vendors accepting Bitcoins is a different story though, as it legitimizes Bitcoin's status as a currency, potentially bringing in more users.
I'm new to the Bitcoin / Cryptocurrency world, and the economics are pretty interesting.. My question is more of a large-scale economics question.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
Would using Bitcoins, to purchase goods (not on this forum) or services, increase its perceived value due to wider exposure or level-out/decrease its perceived value by establishing an accepted value of it?
I hope that was clear enough. Just looking for ideas and thoughts.
Definitely it will increase because the more people spend their bitcoin it just only means that the demand is becoming higher yet the supply becomes more and more limited as well as the coin circulation also affects the market.
Well if there will be a mass awareness bitcoin price will constantly increase.
On the other hand, the price also affects by the fake news and trolling but these will be all useless as the trust and hopes that everyone is giving and eventually bitcoin price will recover.
i think the bitcoin value will increase because people realize the existing bitcoin and they know bitcoin can be another solution for the payment. but for being used for payment, bitcoin price need to be stabilized first so when people want to buy something, they can used bitcoin as fiat. without stabilizing the price, bitcoin is hard to reach economic because once the price is down too deep, the economic will be panic and the country will be in chaos.
Thank you for the informative answer, that all makes sense. So then a widespread Bitcoin usage would require near-zero volatility? How can that be achieved if most vendors/merchants are quick to liquidate to fiat?
yes bitcoin price require near-zero volatility to be used for the economic of the country. i think we are too far for used bitcoin as large scale of the economic because bitcoin hasn't reach a stable price until now and i guess we needs more years again. but i am sure that we are going to go that way and once we are there, we can see bitcoin will be as new currency for all country for their economic too.
Thank you for the informative answer, that all makes sense. So then a widespread Bitcoin usage would require near-zero volatility? How can that be achieved if most vendors/merchants are quick to liquidate to fiat?
yes bitcoin price require near-zero volatility to be used for the economic of the country. i think we are too far for used bitcoin as large scale of the economic because bitcoin hasn't reach a stable price until now and i guess we needs more years again. but i am sure that we are going to go that way and once we are there, we can see bitcoin will be as new currency for all country for their economic too.
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