Bitcoin Forum

I find it interesting that the US dollar has been going down, and commodities and gold have been rising. But over this same time frame the cryptocurrency markets have contracted quite a bit. So over the long term, do you see cryptocurrencies rising with gold and other commodities, or do you see it as something that competes directly with gold and oil. Conventional wisdom would tell you that it would rise and fall with other commodities, but this hasn't been the case so far. Or is it too early to see any valuable correlations?   

Effect on the cryptocurrency would be of great impact if the value of the dollar continues to fall. To become stronger supply and demand of the specific crypto must stay the same as long as the USD becomes weaker. There is the high possibility to get more USD from your crypto and that is indeed a great outcome for the crypto holders.

On the long-term USD will recover because of the government back up. This current inflation of the USD is currently very effective for the growth of the specific coins because as the main currency it is shaking the market with current weakness.

All economists say that investment in bitcoin is very low and can not influence the dollar. But it seems to me that it is not. Perhaps Americans felt the trend of declining interest in the dollar. Lower prices for the dollar should increase its attractiveness and stimulate the US economy. I'm not sure it will have an impact on bitcoin.

There are a lot of factors and variables that affect the cryptocurrency prices, but I think in general as the US dollar gets weaker, the value of cryptocurrencies will grow. Most fiat currencies are inflationary and most cryptocurrencies are deflationary so logically they should be diverging relative to each other. This assumes that there is demand for cryptocurrencies and that demand either is constant or increases.

I don't think that bitcoin will have an ability to be able to have an influence on the dollar. At least not until it's market capital is much bigger. But since bitcoin has a relatively fixed amount, when the dollar is down, bitcoin should be worth more dollars. (Like what has been happening with gold and oil) But this hasn't been happening. So, that gives me a slight reason to be concerned.

Usually commodity rise whan dollear is getting weaken,crypto is much more diffrent world
Personally i think if there is any free central banks free money stocks are rising first than crypto is pumped

I actually do see cryptos rising in price while fiat goes down in the coming few years. However, that's because I think the future is inclusive of crypto, because of the strong focus on virtual money and technology that the future may entail. Obviously with this, many people will be surrounding their lives with tech; anything that makes their lives easier in terms of technology will be implemented into their lifestyles. I don't think money is an exception to this. There was already a switch from hard cash to credit cards to virtual payment options like paypal, and I think the next step in this is crypto.

Given that, the more people that are using crypto, the less people will be using fiat, so I think it'll make sense in the future that crypto rises while we see fiat markets going down. Of course, my viewpoint is very optimistic, but I think it holds some truth if things go the way I see them to.

I am not really seeing any correlation between the crypto world and fiat currency. The crypto dump occurred first and it is since the end of December. We know very the fiat is falling since later times. I’m 100% sure that gold and other commodities has got to do nothing with the crypto. They are impermeable and by that I mean neither traders from that world has interest in the crypto world and vice versa. Means no investment is getting switched over two areas.

In the broad perspective it’s better we do not mix up two types of assets one being physical and other being virtual or I don’t know atomic!!

We may consider it as one of the factors why USD got weaker or falls in terms of its values, even cryptocurrency have a strong influence to the point that it trends throughout the world and the vast increases in its individual price in the market makes you wonder it is the faulty one why local fiats decreases its value, it might be by economic activities that affect its prices, it something to do with the government or by the foreign exchange market, local fiats is still the most usable currency I doubt cryptocurrency alone can depict why USD got its dumps.

USD is in its final stage to be a global reserve currency and it has to fall surely in one day.When USD falls,traditional choice of investors would be gold and now since its a crypto currency era,their ultimate choice should be crypto currencies.But we would have to wait for some more time to witness the change.

It could be just one big economic recession, if dollar is falling one cannot establish a contact between it and the cryptocurrencies , they are different entirely but offcourse everything is interconnected till a extent, not directly though but dollar can affect Bitcoins a bit but not appreciable, since it's not related to Dollar or any other fiat.
But bitcoins will soon rise up again that's for sure but one cannot say anything about the dollar.

dollar fall and commodities and gold has rasing but i think this is no related with bitcoin and fiat currency will still strong at least for next 50 years even though dollar was slightly falling but don't mean cryptocurrencies will taking over fiat position and also fiat supported by the government which mean they will not let dollar fall to the bottom so this is too early to talking about this

There is no connection between the price of crypto currencies and US dollar,if there is price fall in the US dollar value then it will leads to the price increase on crypto currency when we convert the crypto currency into dollars.If the dollar getting more weaker then people may start using crypto currency in their day to day usage but still we are in the early stages so nothing can be predictable now.

although US dollar and crypto currency are different but I am sure indirectly bitcoin effects dollar prices and that is what some countries fear, day by day enthusiasts of crypto currency is continue to increase and the people more interested to Investment their money in crypto and in some countries bitcoin can be used as payment. bitcoin definitely give effect to the lower price dollar

It is the same effect that bitcoin has on Alts. Common sense may tell you that under normal conditions they should rise, but they just go hand in hand. This market is not mature enough and is full of poorly designed bots. Just buy cheap.

From the aspect of common man, I can say that US government don't realize that they need to make some changes in their approach to the economy of the whole globe if they want to watch how their dollar climbs at currency market.
 I think that dollar fall can't reduce cryptocurrencies price but can it increase that is a totally new question, maybe it can.

I do believe it is possible in our lifetime. If we all stay focused on what we are trying to achieve here. STEEM and blockchains I really believe in my heart can change the world. With great Steem Power comes great responsibility. Right now posts are only a few dollars and for us Americans that's great but not life changing yet. STEEM is already changing lives in places like Indonesia and India where 1 USD goes long. The world depends on us. We are all on the same team here. It will be an uphill battle though for sure brother.

The emergence of digital currencies is a natural response of the community of financiers to the errors inherent in the model of the dollar. Therefore, we can assume a further weakening of courses.

i think not big effect dollar price to bitcoin price
although dollar this now down price, bitcoin price down before dollar down

I think bitcoin will have some effect on Dollar, if people will start using bitcoin so the the use of Dollar will decrease and therefore its value will dropping. But it is also a fact that it is very early to say that bitcoin is effecting Dollar value, because currently bitcoin users are not so much in number which can cause Dollar price to fell down, i think it will certainly take a lot of time, when the bitcoin users will increase too much and they also start using bitcoin like fiat currency.

I haven't seen any concrete correlations to any asset class so far. It may be b/c it is a new asset itself.

It will most likely compete with worldwide currencies like 'king' dollar (which appears to be slowly dropping), the euro, yen, yuan, etc...

I think many people rolled out of precious metals to invest in BTC, although that is speculation. Some countries placed limitations on Gold (India) and the availability is low, so people turned to BTC instead of holding their currency as governments continue to debase it. (Venezuela, India, USA among others)

well, the weak dollars is good for real economics of US, I don't think that right now it has anything to BTC price
cause the fluctuations of the price itself is very high, some effect of weaker dollar is a minimum

The metals market has been in the financial world for a long time, as well as oil, I do not think these markets can enter into a complete competition with cryptocurrencies, but undoubtedly if we all want to achieve great values, do you depend on all of them? finance, growth issues of the dollar and / or euro?

I was going to say over more then a year its quite a clear inverse trend.  Dollar decline and alternatives rise, crypto was called a token commodity a while ago rather then a currency.   It must be used to have value as its not centrally redeemable to any authority it relys on utility for its worth.

Alot of industrial commodities rely on a postive world growth outlook to perform or they suffer over supply vs demand.   Bitcoin has little supply now but also it is not used up like a plain metal might be.   Consider the case long term for such arguments imo.

https://i.imgur.com/QqzG6BS.jpg

As the cryptocurrency keeps on getting more and more popualr, people are starting to reialize how the blockchain technology could lead to the decentrelization to anything that could be stored digitly, from data to identity, and moeny, the whole world' enonomy involves around the us market and using the dollar as the main currency, and every international transaction needs to be governned by the finincial system, cryptocurrenies and the blockchain technology aims to decentrelize the international economy, international transactions and trades could be done quicker cheaper and without the involvment of any third parties, crypotocrrencies could simplify things and traders iand investors are starting to be aware of that, and soon it will take over the whole economy.

The depreciation of the dollar should make us goods more competitive. I think that soon we will see the same reaction in the Euro. Maybe it's part of a strategy by Trump against cheap goods from China. I don't think it will affect the price of the cryptocurrency. Income from trading digital currencies is higher than the return on investment in the real economy.

Commodities every years is rise, but for gold rise a little bit. Cryptocurrencies usually every years rise fast, because this coins not stable yet.
Demand and supply for cryptocurrencies still high and the coins is limited, so automatically the price increase.
Cryptocurrencies more profitable than gold and US dollar.

But i do not think that Dollar price is decreasing. I think USD is still the top most currency of the fiat world, and its value is not decreasing, even if its price decreasing still i do not think that it will have nay effect on bitcoin, because bitcoin is totally different currency and it has no concern with Dollar or any other fiat currency.

It will have a great effect on bitcoin and other assets , because one of the big reasons why usd is getting weaker is because they keep printing more. Which is impossible with btc and other crypto as most people here know.

Actually I don't see any direct relationship between the declining dolar price because the result of bitcoin or cryptocurrency? while the US government sees bitcoin not as currency but property or assets, is it possible bitcoin to give effect of decreasing dollar rate? I myself think that weakening dollar because america economy does not grow according to their expectation, inflation and so on. or is it possible that a greater demand for bitcoin than dollar makes the dollar weaker?

As for now the weakening of us dollars is due to economic problem of US if we analyze either Bitcoin has an effect to the weakening of dollars is the conept holding  bitcoin rather than dollars because  the price soaring high and its anonymous  jf you hold dollars in bank how much interest you earn its only small let say 1 % per anum plus incurring taxes while if you invest it in Bitcoin you will earn more than 50% or more for a short period of time  with out taxes .

Cryptos follow the flow of dollar, not the other way around though. Dollar and other fiat are becoming weaker day after day and that is the reality of the economy we live into.

I see investors have plunged into the world of crypto, so the dollar is no longer a benchmark currency price of the world. Investors have made BTC the coin most at the peak of crypto prices as a reference based on the currency of the country of origin in their investment and even aligns with the price of gold bars. In this case is not very influential in the price of both dollars and crypto, because they have different causes on the issue of exchange rates

I only have speculation regarding this one and that’s, when the whole commodities thing goes up then the fiat should go down because we are virtually putting all the money into these different assets and thus putting load on the printing of new money. When these assets are sold and we ended up printing too much money then we get huge supply of fiat but no one to use it. So that’s basically devaluation of the fiat. The same thing might be happening at this period, however I don’t see why crypto currencies are supposed to behave depending on the fiat itself.