Supply vs price : BITCOIN

[Dotakels]

We know that supply and price are reciprocal. If the supply of the bitcoin in the circulation of bitcoin in the world is high.. the price or the value of the BTC is become low (VICE VERSA). so that i conclude that if we destroy. The BTC will be worthful and they don't spend it in a useless things.




Dotakels

[zimmah]

I think you meant supply.

[Dotakels]

Sorry yeah it supply. If the supply of btc decreased or become few. Btc value will be high because the lesser the supply the higher the value.

[arallmuus]

Sorry yeah it supply. If the supply of btc decreased or become few. Btc value will be high because the lesser the supply the higher the value.

it was not always about supply, but rather the usability of it, check out altcoin section , there are tons of altcoin with supply less than 1M, and where do we see them now? worthless. nothing more nothing less, same thing to go with bitcoins, supply could affect the outcome of the price but rather usability is the most important, if bitcoin serve no purposes anymore , it will become worthless no matter how many supply was left to be mine

[Dotakels]

Sorry yeah it supply. If the supply of btc decreased or become few. Btc value will be high because the lesser the supply the higher the value.

it was not always about supply, but rather the usability of it, check out altcoin section , there are tons of altcoin with supply less than 1M, and where do we see them now? worthless. nothing more nothing less, same thing to go with bitcoins, supply could affect the outcome of the price but rather usability is the most important, if bitcoin serve no purposes anymore , it will become worthless no matter how many supply was left to be mine

Thats right, it become worthless if we do not use it in the right things.
Can i ask you? how do you say that the BTC is now worthless? even if lessthan 1M? if the supply of BTC is less than 1M ,it price will be increased. how do you say that it worthless?

[arallmuus]

Sorry yeah it supply. If the supply of btc decreased or become few. Btc value will be high because the lesser the supply the higher the value.

it was not always about supply, but rather the usability of it, check out altcoin section , there are tons of altcoin with supply less than 1M, and where do we see them now? worthless. nothing more nothing less, same thing to go with bitcoins, supply could affect the outcome of the price but rather usability is the most important, if bitcoin serve no purposes anymore , it will become worthless no matter how many supply was left to be mine

Thats right, it become worthless if we do not use it in the right things.
Can i ask you? how do you say that the BTC is now worthless? even if lessthan 1M? if the supply of BTC is less than 1M ,it price will be increased. how do you say that it worthless?

No I dont say that bitcoin is worthless, im just stating an example of other altcoin where the max supply was less than 1M, it is worthless, why? because they serves no purposes different than bitcoin itself, on the other hand, what im saying is a supply doesnt actually effect the price if there is no use for that thing, and due to the volatility of bitcoin there isnt any guarantee than in a week, price could bubble up to 1k $ / btc or crash down to $1/ btc

[zetaray]

Supply of bitcoin is the total amount of bitcoin mined less the lost coins. The rate of increase of bitcoin supply is the bitcoin mined everyday.

By your theory, we must destroy an amount equal to daily mined bitcoin to keep bitcoin price the same. This is very wrong. We need to increase demand, limit supply will not work.

[Agestorzrxx]

We know that supply and price are reciprocal. If the supply of the bitcoin in the circulation of bitcoin in the world is high.. the price or the value of the BTC is become low (VICE VERSA). so that i conclude that if we destroy. The BTC will be worthful and they don't spend it in a useless things.
Dotakels

destroy what?
Who will destroy his bitcoin? That's should be very stupid.
I remember  there is a altcoin names 66 coin was created in the last year, the totally supply is 66 coins, I guess it is dead already.
Any way crypcurrence can be splitting  at any accuracy, so the supply is unlimited.

[arallmuus]

Supply of bitcoin is the total amount of bitcoin mined less the lost coins. The rate of increase of bitcoin supply is the bitcoin mined everyday.

By your theory, we must destroy an amount equal to daily mined bitcoin to keep bitcoin price the same. This is very wrong. We need to increase demand, limit supply will not work.

By actually generating a demand of bitcoin, first bitcoin must have its own usagebility, as of now, bitcoin is used for mostly trading, not the real purposes as to serve a new decentralized currency, if there is a usagebility of bitcoin , demand of it will increase as well

destroy what?
Who will destroy his bitcoin? That's should be very stupid.

By "destroying", it could mean by making it "unreachable" There are alot of bitcoin "destroyed" I believe , there are alot of unreachable wallet or someone left some dust satoshis in his wallet, either way the total amount wont be 21M but less

[tokeweed]

Despite the fact that BTC is being hoarded and yet the price is going down means someone out there is keeping the price low.

[moko666]

bitcoin supply is controlled via reward halving that occur every 4 years
next halving will happen in 2016 that will control supply of bitcoin

[arallmuus]

bitcoin supply is controlled via reward halving that occur every 4 years
next halving will happen in 2016 that will control supply of bitcoin

By actually putting on "supply", OP actually mean the max supply of the bitcoin, and as far as I remember, the halving period is only to control the distribution of the bitcoin itself, not to limit the max supply, so in the end max supply will be at 21M + a bit

[Amph]

there is a thread that is talking about , if we do spend bitcoin so fast that they won't be available in a short time, it would be like destroying them, thus the price will rise

but i'm not really sure that this is the only thing that bitcoin need to increase its value, remember that its value is given by us...no interest in bitcoin no rising in price

[Meuh6879]

The BTC will be worthful and they don't spend it in a useless things.

Try to tell bitcoins to merchands ... and it's over.
They will NEVER return to credit card FEES.

People are dumb ... they pay useless things with a HELL of fees.
And after that, they go to bankrupty.

[Dotakels]

I am saying that not literally destroy. I just want to say is to limit the number or the supply of btc to increase its price. Sorry for the term "destroy".

[arallmuus]

I am saying that not literally destroy. I just want to say is to limit the number or the supply of btc to increase its price. Sorry for the term "destroy".

by actually limiting the supply, there is already a limit, as I stated before, a maximum of 21M of max supply but if you are talking about the distribution of bitcoins, it is also has been stated before that there is a halving year which it will decrease a block by 1/2 of the current value every 4 years

[Dotakels]

I am saying that not literally destroy. I just want to say is to limit the number or the supply of btc to increase its price. Sorry for the term "destroy".

by actually limiting the supply, there is already a limit, as I stated before, a maximum of 21M of max supply but if you are talking about the distribution of bitcoins, it is also has been stated before that there is a halving year which it will decrease a block by 1/2 of the current value every 4 years

So you mean that every 4 years the value of btc will decreased. so that the supply will not  affect the price of thr btc. And you also mean that is the enemy of the price of btc.?

[arallmuus]

I am saying that not literally destroy. I just want to say is to limit the number or the supply of btc to increase its price. Sorry for the term "destroy".

by actually limiting the supply, there is already a limit, as I stated before, a maximum of 21M of max supply but if you are talking about the distribution of bitcoins, it is also has been stated before that there is a halving year which it will decrease a block by 1/2 of the current value every 4 years

So you mean that every 4 years the value of btc will decreased. so that the supply will not  affect the price of thr btc. And you also mean that is the enemy of the price of btc.?

no, every 4 years the number of bitcoins in 1 block will reduced by half the current amount, today 1 block = 25 bitcoins, in 2016, 1 block will be 12.5 bitcoins, this is about limiting the distribution of bitcoins

Supply will effect the price if only there is a real demand to it, because if there is no demand on it, it will be known as abundant supplies

i.e If you got 10 candies but you only need 1, then the rest 9 candies will be worthless as it has no value, and different cases is if you got 10 candies and you need 11 candies, the value of each candy will rise

[Dotakels]

I am saying that not literally destroy. I just want to say is to limit the number or the supply of btc to increase its price. Sorry for the term "destroy".

by actually limiting the supply, there is already a limit, as I stated before, a maximum of 21M of max supply but if you are talking about the distribution of bitcoins, it is also has been stated before that there is a halving year which it will decrease a block by 1/2 of the current value every 4 years

So you mean that every 4 years the value of btc will decreased. so that the supply will not  affect the price of thr btc. And you also mean that is the enemy of the price of btc.?

no, every 4 years the number of bitcoins in 1 block will reduced by half the current amount, today 1 block = 25 bitcoins, in 2016, 1 block will be 12.5 bitcoins, this is about limiting the distribution of bitcoins

Supply will effect the price if only there is a real demand to it, because if there is no demand on it, it will be known as abundant supplies

i.e If you got 10 candies but you only need 1, then the rest 9 candies will be worthless as it has no value, and different cases is if you got 10 candies and you need 11 candies, the value of each candy will rise

If the each candies will rise the value if you need 11 but you have only 10 . How will effect the price?

[arallmuus]

I am saying that not literally destroy. I just want to say is to limit the number or the supply of btc to increase its price. Sorry for the term "destroy".

by actually limiting the supply, there is already a limit, as I stated before, a maximum of 21M of max supply but if you are talking about the distribution of bitcoins, it is also has been stated before that there is a halving year which it will decrease a block by 1/2 of the current value every 4 years

So you mean that every 4 years the value of btc will decreased. so that the supply will not  affect the price of thr btc. And you also mean that is the enemy of the price of btc.?

no, every 4 years the number of bitcoins in 1 block will reduced by half the current amount, today 1 block = 25 bitcoins, in 2016, 1 block will be 12.5 bitcoins, this is about limiting the distribution of bitcoins

Supply will effect the price if only there is a real demand to it, because if there is no demand on it, it will be known as abundant supplies

i.e If you got 10 candies but you only need 1, then the rest 9 candies will be worthless as it has no value, and different cases is if you got 10 candies and you need 11 candies, the value of each candy will rise

If the each candies will rise the value if you need 11 but you have only 10 . How will effect the price?

then each candies will rise in value, because everyone will be pursuing this , the main reason of price increase is the buy power, if something is valuable enough , people might start buying it, if there is alot of buy power, the price will drive higher, remember, in every buy there is a sell, someone who bought lower will sell it higher