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Title: 5% growth per month is hardly "stagnant" Post by: zimmah on April 20, 2016, 01:33:57 AM For the past 3 months, if not more, Bitcoin has increased at a steady pace of 5% a month without huge swings one way or another.
That's almost doubling in value each year. Most banks don't even give 5% interest in a year anymore. (They might have, at some put in the 90s or so, but not today). A lot of people seem disappointed Bitcoin is so slow and stagnant right now, but seriously, how many assets can claim a consistent 5% per month increase? Of course at some point the pattern will break, but you know, it's not a slow growth at all. Although considering the amount of people that use Bitcoin right now compared to how many people might use it in the near future, the price will likely get some explosive growth just to keep up with demand, but that's not really the point. Title: Re: 5% growth per month is hardly "stagnant" Post by: Fakhoury on April 20, 2016, 01:50:27 AM For the past 3 months, if not more, Bitcoin has increased at a steady pace of 5% a month without huge swings one way or another. That's almost doubling in value each year. Most banks don't even give 5% interest in a year anymore. (They might have, at some put in the 90s or so, but not today). A lot of people seem disappointed Bitcoin is so slow and stagnant right now, but seriously, how many assets can claim a consistent 5% per month increase? Of course at some point the pattern will break, but you know, it's not a slow growth at all. Although considering the amount of people that use Bitcoin right now compared to how many people might use it in the near future, the price will likely get some explosive growth just to keep up with demand, but that's not really the point. Could you elaborate more please about the bolded part and it's related with the 5% increase per month ? Title: Re: 5% growth per month is hardly "stagnant" Post by: zimmah on April 20, 2016, 02:33:50 AM Let's say you start with p amount of money and increase that amount by 5% a month for 12 months that will give you (p*1.05)^12 = 1.795p (rounded).
So that's a little less than 1.8 times what you had at the start of the year. Not quite doubling, but close enough. So say you have $100 worth of Bitcoin today, and assuming Bitcoin keeps up the steady rate if 5% increase in value each month, then you'd have $179,58 worth of Bitcoin over a year. That actually pretty sick ROI. Title: Re: 5% growth per month is hardly "stagnant" Post by: unholycactus on April 20, 2016, 03:24:41 AM If it was safe to assume bitcoin would rise 5% a month, which is someone like 80% after 12 periods like you mentioned, you would hear about Bitcoin everywhere.
It's all risk related and you can find the same type of returns elsewhere which just as much or even more predictability. I'm also not sure it's fair to compare Bitcoin to an asset that's suppose to perform over 10-30 years. Title: Re: 5% growth per month is hardly "stagnant" Post by: xhomerx10 on April 20, 2016, 03:33:08 AM If it was safe to assume bitcoin would rise 5% a month, which is someone like 80% after 12 periods like you mentioned, you would hear about Bitcoin everywhere. It's all risk related and you can find the same type of returns elsewhere which just as much or even more predictability. I'm also not sure it's fair to compare Bitcoin to an asset that's suppose to perform over 10-30 years. Did somebody say "Bitcoins"?! I'm hearing that word everywhere! OP did not compare Bitcoin to an asset that's supposed to perform over 10-30 years. In fact he said: For the past 3 months, if not more, Bitcoin has increased at a steady pace of 5% a month without huge swings one way or another. That's almost doubling in value each year. Most banks don't even give 5% interest in a year anymore. (They might have, at some put in the 90s or so, but not today). A lot of people seem disappointed Bitcoin is so slow and stagnant right now, but seriously, how many assets can claim a consistent 5% per month increase? Of course at some point the pattern will break, but you know, it's not a slow growth at all. Although considering the amount of people that use Bitcoin right now compared to how many people might use it in the near future, the price will likely get some explosive growth just to keep up with demand, but that's not really the point. Seems like a pretty fair assessment of the last three months and a believable outcome over the rest of the year even if slightly speculative. Title: Re: 5% growth per month is hardly "stagnant" Post by: Vaskiy on April 20, 2016, 04:35:56 AM If it was safe to assume bitcoin would rise 5% a month, which is someone like 80% after 12 periods like you mentioned, you would hear about Bitcoin everywhere. yeah bitcoin will be in the safer side if growth percent remains 5% each month, it will be a steady rise and users wont get disappointed, same time halving can bring some unbelievable changes and extraordinary growths, always people will have expectations.It's all risk related and you can find the same type of returns elsewhere which just as much or even more predictability. I'm also not sure it's fair to compare Bitcoin to an asset that's suppose to perform over 10-30 years. Title: Re: 5% growth per month is hardly "stagnant" Post by: Quesdana on April 25, 2016, 08:22:40 AM I think the bitcoin price growth should be gentle. We do not need big pump and dump. 5% a month is great.
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