3 ms·
Your reply sound like a straw man, sorry. Bitcoin is a relatively new asset. What I think he's saying is that some of the price increases are attributable to t
by mszcz 6y ago
Your reply sound like a straw man, sorry.
Bitcoin is a relatively new asset. What I think he's saying is that some of the price increases are attributable to the loss of value of 1 USD and some to geniune BTC price discovery.
- Jtsummers 6y agoHow is my question a strawman? They wrote this: > What you see as surges in value of Bitcoin are more impacted by decreases in value of $s than anything else. How can that sentence be read as anything other than saying the majority, or at least the largest and primary cause, of the increase in BTC value is the decrease in value of USD (and presumably other fiat currencies based on the rest of their comment)? EDIT: For grins, a quick calculation on what 10% (3-10x higher than the official annual inflation numbers over that period) of inflation per year over 10 years does to the USD: $1 (2011) -> $2.60 (2021). That is, a 2.6x change in value over a decade. BTC has increased in value by 60,000x. Even going with this very high estimate for inflation, we still have about 23,000x change in value to find an explanation for. I'd suggest looking at its deflationary nature.
- jcranmer 6y agoGP's comment (emphasis added): > What you see as surges in value of Bitcoin are more impacted by decreases in value of $s than anything else. Yes there are changes in demand to hold BTC vs. $, but that is dwarfed by expectations of future changes in the global supply of credit derived $$$s. That particular word choice strongly suggests to me that GP sincerely believes that the 10× jump in BTC price is because the USD has (or will shortly) collapsed to well less than a quarter its prior value.