Primary value of Bitcoin is being money. To be good money it must be widely valuable, there must be as many hands willing to hold it, as possible. Since the sup

Primary value of Bitcoin is being money. To be good money it must be widely valuable, there must be as many hands willing to hold it, as possible. Since the supply is fixed, price must grow. So price acts as an indicator of liquidity. Other functions based on blockchain (contracts, timestamping, escrows etc.) are only valuable if Bitcoin has enormous hashrate and is trusted by everyone as money. Hashrate is supported by high demand for generated bitcoins and desire to make transactions (reflected in voluntary fees). I wrote about it here: http://blog.oleganza.com/post/66953255676/transactional-currency-and-store-of-value http://blog.oleganza.com/post/66953255676/transactional-curr...