Yes, but the standard supply and demand model makes assumptions about the nature of money markets that I don't think apply in this case, which is why I'm confus

Yes, but the standard supply and demand model makes assumptions about the nature of money markets that I don't think apply in this case, which is why I'm confused. Bitcoin has some unique features (e.g. non-repudiable "teleporting") that aren't normally considered -- Econ 101 assumptions prove too little. However, this doesn't take a deflationary death spiral off the table. It could easily be Bitcoin's downfall, I just think other things are more likely.