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Author Topic: Bitcoin's volatility is a non-issue  (Read 2089 times)
Faithgg
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May 30, 2018, 12:06:55 PM
 #61

Bitcoin is a startup currency. It means that a startup currency would be highly volatile because people are still experimenting with the currency to find out how useful it is. However, as we learn more about the Bitcoin platform's potential, the uncertainty will diminish and as a result volatility will decrease.
crzy
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May 30, 2018, 12:10:48 PM
 #62

Because of this volatility, bitcoin is now more on investment instead of a currency.
Volatility will stay on this market, so I think its not an issue if you are just trading or investing but with regards to making bitcoin as a mode of payment I think its quiet risky because the value is changes every seconds. Bitcoin is a highly volatile coin, and this is what traders want from a strong coin.
Name: Claudio
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May 30, 2018, 12:33:40 PM
 #63

My opinion is that if bitcoin was not so volatile that wouldnt suit traders.
Traders love the volatility, well experienced traders that is, the ones who
Can read the charts etc.

And if bitcoin was not so volatile there could probably be mor acceptance
in the marketplace for it to be used as a currency.

yes you are right, volatile of Bitcoin is the one make traders challenging.
How would they even trade if the price is so stable, right?
I think it is good to have a currency also that always change its price.
KluFf
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May 30, 2018, 12:34:55 PM
 #64

I know that this subject has been discussed many times before, but lest we forget when yet another conventional financial journalist, investor, money manager, perceived thought-leader et al pronounces on why Bitcoin will fail because it is too volatile to be used as a currency or store of value:

  • Each Bitcoin transaction is a zero-sum game -- one party benefits to the same extent that the other does not benefit. So one party is guaranteed always to be fine with the volatility. And neither party knows for sure (or at all) who that beneficiary will be.
  • The purchaser of a bitcoin has still spent the same amount of fiat no matter what the volatility after the purchase.
  • The premise that the aggrieved party could have done this or that instead of send someone a bitcoin that later appreciated in value has no more merit than to say that that party could have bought a stock or bond that later did well too. In each case, they simply did not have the information needed in time. Shoulda coulda woulda is not a valid argument.
  • If Bitcoin were impractical as a currency, the dark web would not use it. There would be no Bitcoin-using dark web. 
  • Many things have been used as currency. Anything tradeable and of proven long-term value (like gold) or expected shorter-term value (like packs of Kent cigarettes in communist Romania) can be used as a practical currency, and have. Before WWI, travelers checks had the rate of conversion printed on them because it was expected that the gold-back currencies backing them would be stable. And so they were. The fact that fiat currencies require electronic conversion-rate signs today shows that their stability is entirely an illusion. They are not stable.

The argument that Bitcoin's volatility specifically negates its value as a store of value is clearly false as well. Stocks and commodities and their futures (as well as the effective interest rates of some bonds) are highly volatile. The mantra is that you accept their risk in exchange for growth. Fine. But volatile Bitcoin has growth potential too -- lots of growth potential. Both Bitcoin and Ethereum, as systems of decentralized, immutable, economical, sustainable, and perfectly legal data-registration means that everyone will become their own notary public. The implications for intellectual property protection are arguably beyond what we can now imagine.

Underlying all of Bitcoin's volatility is an unchanging protocol that is proven to work -- and expected to grow.
i agree with you .
you notice the volatility in the rate of the Bitcoin per dollar .
you notice a lose of 1% is a huge Dollar price  affects . and you will say Bitcoin is Volatile .
because of the drop of bitcoin price via dollar.
i think it is okay because we all know that it will be go back soon .. and it favors if a green 1% will give a huge impact of the Price per Dollar of Bitcoin

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Yman73
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May 30, 2018, 12:44:15 PM
 #65

I do think it is an issue and it is a reason why it is not being able to replace the currencies which are used all over the world 
Park Minseo
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May 30, 2018, 12:47:14 PM
 #66

Let's make some question and answer it. A lot of people view Bitcoin as a replacement for conventional currencies, but I think that's a mistake. Bitcoin is far more likely to serve niches that conventional currencies don't serve well. The question, then, is not whether people will want to use a volatile currency for everything. Rather, it's whether there are specific applications where people will consider the volatility to be a reasonable cost to pay in exchange for Bitcoin's unique benefits.
Fourgh
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May 30, 2018, 12:51:20 PM
 #67

Votality is just part of the game. It's more on a waiting game. You loss some or earn some it really depends on how you trade or sell.

samoilov
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May 30, 2018, 12:59:35 PM
 #68

It is a very big issue specially for small transactions. This is something stopping bitcoins from becoming most popular currency.
lakita
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May 31, 2018, 06:26:42 AM
 #69


It's not a problem for long-term investors, but short-term investment is meaningful for traders
lekleklek
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May 31, 2018, 06:32:49 AM
 #70

What will the catalyst be that makes bitcoin less volatile and thus more usable as a currency?
thomas daniel
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May 31, 2018, 09:50:35 AM
 #71

The point is that Bitcoin has capabilities that no other payment technology has: anonymity, low transaction costs, and low barriers to entry. For at least some applications, those advantages are likely to be sufficiently compelling that people will see the volatility as a manageable risk.
EtherATM
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May 31, 2018, 10:59:10 AM
 #72

Volatility isnt a issue when it comes to bitcoin/crypto investors because there are many other types of volatile investments too.  People take issue with volatility because bitcoin is mean to be used as a currency and if its value keeps changing then merchants cant rely on it as an accepted payment method.

Volatility in connection with Bitcoin can be viewed negatively or positively depending on the person or the type of person we are talking with. I am sure that traders are quite happy with Bitcoin's volatility because it can be an opportunity to earn more money but can be viewed in apposite by a newbie investor that can be rattled fast with the movement of Bitcoin value in the marketplace. Many merchants are also worried about volatility though there are now many ways they can protect their Bitcoin. Less volatility is not actually a guarantee that Bitcoin can be reaching the very mainstream population so the bottom line is that we just have to leave it to the market on what it will decide on this matter.
Yep, I support your opinion guy. It’s up to everyone attitude that it can bring us benefits or drawbacks. I’m kind of interested in its highly volatile, and I’m sure that many people do likewise. Because through this volatility, I almost don’t get too much panic whenever the price’s getting down, as I know that anyways it will never be in dip forever, it definitely has a rise again. Volitility, however, can lead anyone to be losed a lot. In a nutshell, if you can take advantage of this bitcoin characteristic, you can reap a huge fruits.
BarbieCasino
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May 31, 2018, 11:29:22 AM
 #73


It's not a problem for long-term investors, but short-term investment is meaningful for traders
yes longterm investor can gain highest profit form bitcoin because bitcoin price are increase and increase for long term. but short term investors are also gain profit from bitcoin when they sell they bitcoin on profit but it will be low profit. because bicoin always return highest profit to their long term investors. bitcoin is the one only currency which given profit to all types of their investors.

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nanasei
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May 31, 2018, 11:36:12 AM
 #74

Bitcoin liquidity accounts for the volatility in the market. If no one is demanding or supplying at a rapid manner,bitcoin price will  then be stable for asset managers or hedge funds to play with
pimkobai
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May 31, 2018, 12:45:30 PM
 #75

I think everyone who has been for a while in this forum had already been aware of bitcoin's volatility and the longer you participate in the bounty campaign, you may tend to understand that it's just the way it is with cryptocurrency. In my opinion, it is no longer of an issue in the crypto currency market and it is something that we should try to study and analyze to become successful with our investments despite of it's being volatile as a currency.
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May 31, 2018, 01:12:31 PM
 #76

Bitcoin is meant to be a base currency where virtually all other cryptocurrencies trade against. They are still investing in bitcoin and also using it as a currency even though it is volatile. The volatility is really an issue.It is an issue of course because everyone is vigilant with the bitcoin price everyday.
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May 31, 2018, 01:34:14 PM
 #77

Volatility issue is not just in cryptocurrency. It is a change. The constant thing is change. It is just a big issue because of its high value. In any investment volatility exists. Some are just not as big issue as bitcoin have. The only difference is they have different risk.
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May 31, 2018, 01:51:50 PM
 #78

Volatility is an issue with all types of currency in any type of market. Any time that the value of something is determined by the wider public and their demand or supply. Bitcoin's value is affected by a variety as factors so the price will always be moving. People spread a lot of FUD about Crypto on this basis but if they paid attention then they would realise that there are people making a ton of profit from the amounts of volatility.They might just be better at it then some other people  Grin
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June 01, 2018, 07:47:09 PM
 #79

The argument that Bitcoin's volatility specifically negates its value as a value keeper is also wrong. Stocks and commodities and their futures (as well as the effective interest rates of some bonds) are highly unstable. The spark is that you accept the risks in return for growth.
Antonina
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June 02, 2018, 08:28:35 PM
 #80

I really love your arguments and often agree with them. I agree that high volatility in itself is not a problem. However, you lack one important component -transaction fees
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