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Title: Is inflation now showing itself in Bitcoin Post by: bitkat on March 27, 2013, 12:30:25 PM In history gold and silver have been the best indicators of inflation, but today both those market are manipulated by central banks to keep prices low. Is the current rapid price appreciation in BTC a result of the inflation brought on by fiat money printing or are we just seeing a bubble? Title: Re: Is inflation now showing itself in Bitcoin Post by: Spaceman_Spiff on March 27, 2013, 05:21:20 PM In history gold and silver have been the best indicators of inflation, but today both those market are manipulated by central banks to keep prices low. Is the current rapid price appreciation in BTC a result of the inflation brought on by fiat money printing or are we just seeing a bubble? do you use a random pennystock to measure how well the stock market is doing or to measure inflation? Currently bitcoin is way too small to make these kinds of assumptions. Bitcoin adoption is driving the prices. Title: Re: Is inflation now showing itself in Bitcoin Post by: Timo Y on March 27, 2013, 05:48:34 PM In history gold and silver have been the best indicators of inflation, but today both those market are manipulated by central banks to keep prices low. Is the current rapid price appreciation in BTC a result of the inflation brought on by fiat money printing or are we just seeing a bubble? False dichotomy. And no, this has nothing to do with fiat money printing. This is because the number of users is growing. If it had anything to do with money printing, the value of bitcoin would rise in concert with the value of other hard assets. Title: Re: Is inflation now showing itself in Bitcoin Post by: BitcoinTate on March 27, 2013, 05:55:15 PM I would argue that yes inflation and fiat printing is having an impact on BTC price. I for one have dumped even more $ into BTC following the feds decision to keep pumping $4 billion a day into bonds. So at the very least it has had a psychological impact on some existing BTC users. Perhaps not a direct impact as rapid adoption I believe is the main driving force right now.
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