trying to figure out the ups and downs of bitcoin

[bitcoinnewbie123]

Correct me if i am wrong but, if lots of people cash out and sell their bitcoin the price goes down. If people buy the price goes up? It would be nice if their was a maturity date that the coins could be only cashed out if the coins had a holding period that had to be met like minimum of 2 yrs. for larger funds. not sure how something like this could work or would even be beneficial  but might save the currency and even make it less volatile and make bitcoin and other coins and more accepted and more world usage. What do you guys think?

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[pooya87]

Correct me if i am wrong but, if lots of people cash out and sell their bitcoin the price goes down. If people buy the price goes up?

just like anything else (any other market for example) when there is more demand than supply price goes up and when there is less demand than supply price goes down.
think of demand as the "buyers" and supply as the "sellers" or the sell pressure.

It would be nice if their was a maturity date that the coins could be only cashed out if the coins had a holding period that had to be met like minimum of 2 yrs. for larger funds. not sure how something like this could work or would even be beneficial  but might save the currency and even make it less volatile and make bitcoin and other coins and more accepted and more world usage. What do you guys think?

any kind of restriction on your "money" is never favored.
and why would we apply something like that? if you buy gold for example there is no 2 year "maturity". you can sell it immediately after you bought.

more stability will only be reached when market grows. when dumping a medium amount of funds on order books doesn't cause a big drop.

[Fazlurkhan.kz]

Demand and supply of anything causes its price to fluctuate and makes that currency volatile. Now if the demand is affected by say for example a country bans bitcoin completely, that'll affect the demand and demand will decrease resulting in decrease in price of bitcoin and say a country legalized bitcoin and allowed mining too (like Russia did) that helps the supply increase and people there also start demanding it and thats what increases the price.
And one of the reasons for bitcoin to exist was that each individual has total control over his money and by making a maturity date might just ruin that reason. So it is just fine as it is doing now. And all we can do is hope that it does better in the coming future!

[Kakmakr]

One of the basic building blocks of Bitcoin was that it would give you financial freedom. Satoshi created Bitcoin as a alternative Cash payment system, because of the restrictions that was placed on other payment systems. < PayPal and other payment systems are plagued by rules and regulations and they decide where you can use their payment system >

We want Bitcoin to give you the choice, where you want to spend your money and when you want to use it. If we compromise on that, we would not be any different than these centralized payment networks.

[boboking]

Well that is not how trading works.

What you are saying will never happen in any trading market.

I have heard that a company is planning to have a bond using Bitcoin, if that is actually true then you can get some bonds on that company and there will be a lock in period.

[bitcoinnewbie123]

dont get me wrong . i like the idea of not having rules and limits as to what you can do with your bitcoins and coins. Just trying to figure out a way to make this currency able to be a non volatile and currency that will be accepted more and more. To me i see people turning it away like Microsoft, steam. and others that once used it. I my opinion i will not really take off till some of the bigger companies get back in it . Thanks for all the great replies it was very informative . Have a great day.

[monkeydominicorobin]

Correct me if i am wrong but, if lots of people cash out and sell their bitcoin the price goes down. If people buy the price goes up? It would be nice if their was a maturity date that the coins could be only cashed out if the coins had a holding period that had to be met like minimum of 2 yrs. for larger funds. not sure how something like this could work or would even be beneficial  but might save the currency and even make it less volatile and make bitcoin and other coins and more accepted and more world usage. What do you guys think?

You described Forex and Bonds. If you want to get the most out of life follow the market forces. Never resist. Ever.

[BitcoinHodler]

To me i see people turning it away like Microsoft, steam.

last time i checked Microsoft was still accepting bitcoin and it has been at least 4 years that they have been doing it.
Steam stopped accepting bitcoin because fees were too high, much higher than most games they were selling which were $4-$5 even

none of these have anything to do with volatility though.

I my opinion i will not really take off till some of the bigger companies get back in it .

not going to lie, it will help with bitcoin's adoption a lot but it is not the main way of "taking off". we need more people to understand what bitcoin is and adopting it. the big companies will do it after people adopted it.

[Wallflower28]

Demand and supply of anything causes its price to fluctuate and makes that currency volatile. Now if the demand is affected by say for example a country bans bitcoin completely, that'll affect the demand and demand will decrease resulting in decrease in price of bitcoin and say a country legalized bitcoin and allowed mining too (like Russia did) that helps the supply increase and people there also start demanding it and thats what increases the price.
And one of the reasons for bitcoin to exist was that each individual has total control over his money and by making a maturity date might just ruin that reason. So it is just fine as it is doing now. And all we can do is hope that it does better in the coming future!

Yes, one of the reason affects in the market price is the demand and supply. It was taught in economics during high school days and I think it is also what cryptocurrency  looks like. The scarce supply of coin and the demand makes them volatile.