HODL mentality destroys the currency aspect of Bitcoin

[BitcoinCommodor]

I disagree as holding Bitcoin or other crypto currency is the most effective technique to earn from investment. One should not take bitcoin investment as a short period plan; rather a long period plan with it will bring fruitful result.

Holding of the bitcoin is no doubt one of the best thing to do and that it can surely help you in making of a huge amount of money as well and that you can get a very good profit by doing so. Bitcoin is most effective when you plan to hold it for longer period of time and that it can indeed help you in so many ways as while holding, you can also manage to do some other business as well.

[beej]

That is right . This way the essence of bitcoin and the reason why it was inceptioned is fading everybody . Everyone aims too hold it until it gets a good price and then sell it for a good amount of money . The major reason behind it is that most of the people don't have the other option of holding it and using it in place of money . Then why would they hold it if it is of no use ? Fiat and other legal factors won't let bitcoin fulfill the reason of its establishment .

We really can't force people to do what we ought to think was or is right in the first place. It's a safe
assumption that bitcoin is a victim of it's own success. Holding however has it's pros and cons, well
pros mostly for the time being. Prices decreasing offers little options and sometimes to no avail we
sell low. But it wasn't always like this back then, when bitcoin was just starting nobody ever thought
that it would be this big and profitable. Prices were considerably unsatisfactory and growth was
a matter of speculation and personal belief. But it did overcame and push through expectations and
that was it's initial success, people saw what bitcoin was capable of and in that innate moment
bitcoin grew out of it's shell and evolved. It may never fulfill it's original reason fully but maybe it's
just bound for something better and bigger.

[SaarMast]

Couldn't agree more, Look what happens in Japan.

[okissabam]

The reason why people always advice everyone to hold their coins is that they want greater profits and that’s what destroys the aspects of bitcoin. They all are longing for huge gains and that’s the irony of some holding their coins especially Bitcoin too.

[Netnox]

The reason why people always advice everyone to hold their coins is that they want greater profits and that’s what destroys the aspects of bitcoin. They all are longing for huge gains and that’s the irony of some holding their coins especially Bitcoin too.

And what is wrong with that? Everyone wants good returns from their investment and the same goes with crypto-currency investments as well. Only the losers and jealous individuals will be having a problem with that.

[goku1525]

The reason why people always advice everyone to hold their coins is that they want greater profits and that’s what destroys the aspects of bitcoin. They all are longing for huge gains and that’s the irony of some holding their coins especially Bitcoin too.

We have different perceptions and different mentality how we can get huge profit on bitcoin wether a long term or a short term, all was based on prices they hodl their bitcoin because the prices is on dump and to avoid losses of coins. A deeper minded person always bring positive result in a given period of time.

[keycellko]

Well apparently, bitcoin is not anymore perceived as a currency. If you try to ask people why they want to have bitcoins, most of them want it because it increases in value overtime. You cant blame them. Basically, thats the marketing strategy of someone asking people to invest in bitcoin. Once you invest in bitcoin, that is the mentality you get. The spendable and usable aspect of bitcoin is almost always is ignored.

[Canis Majoris]

There was a time when there were advertisements on /r/bitcoin and people used to consider Bitcoin as "Magic Internet Money". There were discussions on Bitcoin transaction fees vs that of Western Unions, people performing micro transactions and tipping each other (Changetip) and discussions on how remittances and sending Bitcoins via SMS would be possible. All of these changed when the price of Bitcoin started rising sharply and countries Governing bodies started classifying Bitcoins as cryptoassets or some form of "stock" or "Derivative" to trade as. This switch in thinking and rise in price (sometime in 2016-2017) lead people to "HODL" through it and it's a common technique used for a "Get Rich Quick" cycle. I think the current dip is price is an excellent price correction and I feel when there's more stability in price, there's lower transaction fees and less panic transactions happen. This should allow people to transaction more and I believe as long as the price of Bitcoin comes into factor (with a possibility of a rise) there's always the possibility that people will save rather than spend.

Missed this post somehow. All in all, I agree with your point, and in fact I remember the overall message back then even though I hadn't been much interested in crypto myself at that point. Honestly, your train of thought resonates well with my own understanding and ideas. We may need lower prices - maybe back to 3 digits - to make Bitcoin great again, so to speak. Great as a currency, not as a vehicle for speculation, obviously.

[nightfury]

Well, if hodling has helped the price of bitcoin to slide down deeper, then there's no problem with that since we already know bitcoin is way more than an investment than what it is really its purpose as what is being written on Satoshi's WP.

[Ranly123]

It seems like only a small fraction of bitcoins as well as other cryptocurrencies gets earned while the vast majority of the coins are bought. But when people buy coins, they obviously aim exclusively at selling them later at a higher price, which is what speculation basically consists in because it makes no economic sense to buy a cryptocurrency to spend it on goods when people can easily spend fiat instead. However, if the price goes down, people aren't going to spend their coins either. And whenever someone complains about prices going down, the only reply they receive is just to hold to their precious bitcoins, no matter what the price could or would be. I have yet to meet anyone telling these bag holders to spend their stashes on something useful.

Apparently, the HODL mentality kills the currency aspect of Bitcoin.

Basically we invest in order to earn. It would be a bluff if you are going to invest and loss everything. No matter what you say, he mindset of every investor is to have profit in their investment. So how can they profit in their investment if the price is going down? The answer is HODL. That is how you can benefit from it.

[Canis Majoris]

It seems like only a small fraction of bitcoins as well as other cryptocurrencies gets earned while the vast majority of the coins are bought. But when people buy coins, they obviously aim exclusively at selling them later at a higher price, which is what speculation basically consists in because it makes no economic sense to buy a cryptocurrency to spend it on goods when people can easily spend fiat instead. However, if the price goes down, people aren't going to spend their coins either. And whenever someone complains about prices going down, the only reply they receive is just to hold to their precious bitcoins, no matter what the price could or would be. I have yet to meet anyone telling these bag holders to spend their stashes on something useful.

Apparently, the HODL mentality kills the currency aspect of Bitcoin.

Basically we invest in order to earn. It would be a bluff if you are going to invest and loss everything. No matter what you say, he mindset of every investor is to have profit in their investment. So how can they profit in their investment if the price is going down? The answer is HODL. That is how you can benefit from it.

This is not necessarily so. If people could actually spend their coins on goods they need or services they require, it may in fact be a viable option. Even though that would be a purely psychological thing, of course. I mean spending crypto directly would be effectively the same as selling the coins for fiat and then spending the proceeds, but it would feel completely different. You wouldn't have to go through all the psychological stress and suffering of accepting your losses, so your ego wouldn't be hurt very much, if at all.

[Kambal2000]

This is not necessarily so. If people could actually spend their coins on goods they need or services they require, it may in fact be a viable option. Even though that would be a purely psychological thing, of course. I mean spending crypto directly would be effectively the same as selling the coins for fiat and then spending the proceeds, but it would feel completely different. You wouldn't have to go through all the psychological stress and suffering of accepting your losses, so ego wouldn't be hurt very much, if at all.

All of us here have different perspectives and thinking in life, if people will still  hold their bitcoin of course that is what they will gonna advise to some people, but if people will not hold due to some reasons then it is their decision, they are free to do what is best for them.

[MCVXYZ]

It seems like only a small fraction of bitcoins as well as other cryptocurrencies gets earned while the vast majority of the coins are bought. But when people buy coins, they obviously aim exclusively at selling them later at a higher price, which is what speculation basically consists in because it makes no economic sense to buy a cryptocurrency to spend it on goods when people can easily spend fiat instead. However, if the price goes down, people aren't going to spend their coins either. And whenever someone complains about prices going down, the only reply they receive is just to hold to their precious bitcoins, no matter what the price could or would be. I have yet to meet anyone telling these bag holders to spend their stashes on something useful.

Apparently, the HODL mentality kills the currency aspect of Bitcoin.

I think the HODL mentality doesn't kill the currency aspect of bitcoin,But partly I agree with you because we need processes like this,People must start using bitcoin everyday for their purposes,it will be the best way for price rising and I also want to say that this process is not connected to this mentality,It sounds a bit antagonistic but its my opinion.Today Its obviuos and already tendence as for goverments as  small business investors to use bitcoin as for their payment system and therefore bitcoin has a devloping nature,Today It may not be as comfortable for people to use it for their everyday purposes but I hope it will be in the near future.

[Canis Majoris]

Above all of your point of view, may I know if majority of bitcoin users really HODLing their coins? If you will only based on the statement or discussions here in the community or whenever you see some on social media then I don't see any sense here. As if those HODL coins by an average player scan make an impact on the whole bitcoin volume on the whole as they hold.  If HODL mentality kills the currency aspect of bitcoin then why it isn't happening now or before? Make sense.

There is enough what is called circumstantial evidence. Indeed, you may disagree but the consensus has it that I'm right, after all. Apart from that, I've written everything in the first post. If people buy bitcoins on exchanges, it is unlikely that they will be spending them en masse. So the only option that remains now when the prices are falling is HODLing. Just claiming that something is not the case on the basis there is seemingly no real stats is not much better until you yourself provide these "real stats". Otherwise, it is a moot point in general. Unless we look at the circumstantial evidence, of course. For example, all big wallets are known, and coins there are not moving anywhere, so they are HODLing.

[Andrej Peiboski]

This is not a problem of mentality, but simply to make the choice that - from an economic point of view - is considered more convenient.
And at the moment it is better to preserve what one has.

[Razick]

It is true that holders do not spend coins as they just buy and wait for prices to go back up and then sell. A lot of people do not understand that using bitcoin as a currency would actually help increase its value. When you can buy and sell with bitcoin and do all sorts of transactions with it, then that means it is useful and people would want to get in which would increase the price.

[ceferov]

There are better crypto currencies for daily usage but everyone knows that BTC holds value of cryptos as gold. I it's normal that new technology gets so much interest but people should stop making money on it really and work on it to make it really usable

[Leonia-Ridinger]

Yes, great point! The catch is that for something to become a currency, it has to have much much lower volatility than bitcoin has now. I'm not going to buy coffee for bitcoin if I can see that it can possibly 1) buy 2 coffees using the same amount in a week, or 2) I could have bought 2 coffees for the same amount a week ago. When the price stabilizes then it will be much more viable as a method of payment. Although to be fair, I do use bitcoin as a method of payment every now and then, by converting fiat into btc, and buying the thing right away, so it doesn't have time to change value significantly. That works, but it's cumbersome, can have a lot of fees and of course, that's not the point of crypto. So, I guess we'll be waiting for some big institutional money to come into crypto, which will cause more adoption, which will cause the price to stabilize in the end after having a big climb

[Harrisonimo]

Well, HODL is a form of investment and I don't think it destroys the Bitcoin but rather it will strengthen its value. There are also the volume in circulation that is actively being traded, making the market alive.

[markk94]

kinda agreed with your point in the last of your post. the currency aspect of bitcoin kinda forgotten these days because of the HODL mentality like said before too. i think that there is HODL mentality because of the bitcoin price had gone too high. because of many people that greed of much amount of profit and many people heard from others how beautiful its profit. then, HODL mentality born.