What should we focus on more? Demand or Supply?

[RivAngE]

As long as the prices are so low, personally I'm not interested in doing purchases with cryptocoins... especially BTC which has higher tx fees than PayPal or credit card... at least when doing small purchases.
I think the only viable way to reduce the "supply" of BTC is to reduce the mining rewards but this won't happen for more than a 1,5 year now.

And since we're in the Economy section and not the Bitcoin section, I believe it's fine to mention one interesting solution an altcoin has found to control the supply.
XDNA's team has created an algo which is changing the mining reward amount based on the total hashrate of the network.
1) When the price of a coin falls, naturally miners will start leaving.
2) If miners leave, the hashrate drops.
3) If the hashrate drops, less coins are generated.
4) If less coins are generated, there's less supply.
5) If there's less supply, the price's momentum is pushed upwards.
So lower price = less supply! I found it brilliant when I first read about it!

[indrakusumaindra]

Well demand is the most important things that could drive the price of cryptocurrency, a coin without demands would make the coins useless and worthless. Supply is good for developments of price the more scarce of the coins the more valuable the coins is but still demands is the most important thing than supply.

[HI KITTY]

People must be aware how the market goes I think we have to focus in both, we have to know how manage between the supply and demand.

we should aware what is the most demand products  before we get a supply what people needs in their daily life what people need to fulfill the 3 major needs of a people like foods materials in building their houses  clothing i think these are the most demands product we should focus  in the market

[Supercrypt]

In my opinion giving them a proper education on cryptocurrency is one of the good idea. Teaching them to explore more before making moves.

It is not like most people do not have proper education on what cryptocurrency and blockchain technology is all about and indeed we can as well just keep on with the mindset that the long term is what it is which is there is absolutely no doubt about it.

Moreover, if there is no usage, then at some point, we will get to see more speculation and it is this real usage that brings in both demand and supply. I would say, for a matured market, this is something that we will always get to see, so I can just assume we are not there yet.

As time goes on, people's mindset will start changing towards spending, when we start getting close to the balanced state with a high volume market with less volatility.

[btcrich2020]

Well demand is the most important things that could drive the price of cryptocurrency, a coin without demands would make the coins useless and worthless. Supply is good for developments of price the more scarce of the coins the more valuable the coins is but still demands is the most important thing than supply.

We have to consider both supply and demand for the coin in order to increase it's price when the developments kept going on. We should also consider how far the price of the coin will reach if there is a huge demand for any coin and some time it is impossible to predict how much the price will increase.

[gambitcoin53]

i agree, since bitcoin can be mined, the supplies are out of the question, what matters is the demand on the market, how we introduce bitcoin to a common people, for the past years, the unspoken truth can be found on people's perception towards bitcoin, the supplies are there, but the demand is underrated, we are not yet on the level of a fix supplies and growing demands, therefore we should focus on how we can pump up the demand.

[naidray]

This is the error of the HODLer's mindset, no I don't blame the HODL principle, I agree with this thread that we should not be afraid to use Bitcoin because it can increase demand and in my opinion HODL doesn't have to be forever, you should have a target when you have to HODL then buyback to reach the next target

It is the usage that even counts the more. This is what brings in more demand and the reason why people will over time experience and see the value it brings. The HODL aspect is what has created more speculation in the market and has driven the market to more of a speculative asset that for it to be used more in real life as a currency. Both supply and demand are equally important and this is what brings about a balance to some extent to a market. However, we cannot blame anyone, it is what it is, and I believe that over time things should change.

[Dodongbtc111]

Both of this well work together in a certain economy. We all know that as demand works out supply well also work. This way this two are both important things in economy.

[galundan9]

Both of this well work together in a certain economy. We all know that as demand works out supply well also work. This way this two are both important things in economy.

it's true that both of them also influence enough in terms of price and decreasing prices so that the economy can move steadily stable, if both work in balance, but most offerings work higher so as to make the economy decrease.
In addition, stocks are still available, but demand is still low enough so that to raise the economy will be a little difficult, we must be able to change the eyes of the people who still underestimate it to be interested.

[jambul_kribo]

Well demand is the most important things that could drive the price of cryptocurrency, a coin without demands would make the coins useless and worthless. Supply is good for developments of price the more scarce of the coins the more valuable the coins is but still demands is the most important thing than supply.

supply and demand are unseparate thing from any market.equilibrium between supply and demand could make cryptocurrency price stable.but that was not expected by investor.they want difference between supply and demand so they could take opportunity to gain profit from it.

[microwave]

I see a lot of people that are hoarding 100% of their bitcoins, because they believe cutting off the supply, would be enough to increase the price. <mostly speculators>

Would it not be better, if we increased the demand by increasing Bitcoin awareness and convincing more merchants to offer Bitcoin payments?

A 100% hoarding strategy is more harmful, because it cancels all the good work that was done to get merchants to accept Bitcoin as a payment option. A merchant will stop accepting Bitcoin, if their is no demand or transactions being generated for their business from the Bitcoin payment side.

We should actively encourage local merchants to start accepting bitcoins and then we should start supporting them. <No matter how low the price is>

Just buy back the bitcoins that you spend and you will be fine or use money that you would not have hoarded and buy the goods or service with bitcoins. <So when the price increase, you will not have regrets that you spend those coins>

Adopt a 80% hoarding and 20% spending strategy and we will see a massive increase in Bitcoin adoption <Merchants & Bitcoin users >    

We should understand that the supply and demand is important for every investor we don't get a lot of supply if the demand is very high also we don't demand the high price if the supply is volume. the important here is balance it depend the person how they handle the situation like that.

[agimat]

People must be aware how the market goes I think we have to focus in both, we have to know how manage between the supply and demand.

In reality in this kind of investment we only observe the demand of the coins so that if the said coin is highly in demand surely value will be very high, while the supply will be low in the market, being an investor you should observe both.

[jamids]

Both of this well work together in a certain economy. We all know that as demand works out supply well also work. This way this two are both important things in economy.

But when it comes to bitcoin, we should focus more on demand because we know that the supply is fix that's why we should be proactive in letting others know about bitcoin. Others may be skeptic when they hear bitcoin because they already have an idea about it when they saw it in the news and unfortunately it would be about being scammed. They though that bitcoin is the scam because they were misinformed and add to it the people who left cryptoverse because they are discouraged by the price decrease.

[Persiontateneis]

If no ones do supply any bitcoins they the price is not gonna rise instead it will drop down even further. To Increase the Bitcoin price we have to increase the demand and decrease the supply just enough to make everyone keep using it. you can not ask 10000$ for 0.1btc that will not work.

[0t3p0t]

I see a lot of people that are hoarding 100% of their bitcoins, because they believe cutting off the supply, would be enough to increase the price. <mostly speculators>

Would it not be better, if we increased the demand by increasing Bitcoin awareness and convincing more merchants to offer Bitcoin payments?

A 100% hoarding strategy is more harmful, because it cancels all the good work that was done to get merchants to accept Bitcoin as a payment option. A merchant will stop accepting Bitcoin, if their is no demand or transactions being generated for their business from the Bitcoin payment side.

We should actively encourage local merchants to start accepting bitcoins and then we should start supporting them. <No matter how low the price is>

Just buy back the bitcoins that you spend and you will be fine or use money that you would not have hoarded and buy the goods or service with bitcoins. <So when the price increase, you will not have regrets that you spend those coins>

Adopt a 80% hoarding and 20% spending strategy and we will see a massive increase in Bitcoin adoption <Merchants & Bitcoin users >    

Since we are into like treating Bitcoin as an investment instead of using it as a currency for payments or buying of stuff I think it would be nice if we hodl 50% for future preferrences and then use the remaining 50% for something that we can buy or pay online. I actually did the same hoarding and using Bitcoins to buy prepaid loads or whatever that I like to buy online that accepts Bitcoin payment. Since it's so hard to find offline merchants here in my country for my basic needs I need to convert it to fiat.

[Xising]

Maybe it would be more effective if we encouraged businesses to accept Bitcoin rather than encouraging end users to spend them lol.

Well, IMO encouraged users who want to actively use and spend bitcoins at a store, can have an influence on the owner of the store to accept BTC (to encourage businesses).
But encouraged businesses which accept BTC don't have such a big influence on their customer to pay with BTC. Most of them would probably stick with their credit card (regardless of a "BTC Accepted Here" - sticker).

A user base (and new user who want to actively use BTC as a currency) are thriving the adoption forwards. Not businesses accepting it as a payment option per se.

That can be a good case scenario because that can actively increase Bitcoin transactions, which may contribute on its value going up. However, as Bitcoin has already evolved into an asset that is capable to be used as an investment medium, then many would have qualms of just using it in its most basic form, as a currency. Because of you would just dispose your Bitcoin like that, then it would be very wasteful, instead of having the chance to hold it and dispose it for profit when the time comes. Also, as more and more uses of cryptocurrencies unfold, forcing people to spend it or dispose it will be more difficult because it won't get them much of a return if they don't really sell it off as an investment. Another aspect right now is the hodling game, I mean, many users follow that strategy, which really clogs the system of unused coins that affects the demand in a bad way.

[Vaculin]

Both of this well work together in a certain economy. We all know that as demand works out supply well also work. This way this two are both important things in economy.

Right.They should be working together hand in hand to create a positive outcome.I think if we can increase the demand itself for cryptocurrency,the supply will also grow making more people benefit from it especially the high price for crypto will now be achieved.

[Potato07]

I see a lot of people that are hoarding 100% of their bitcoins, because they believe cutting off the supply, would be enough to increase the price. <mostly speculators>

Would it not be better, if we increased the demand by increasing Bitcoin awareness and convincing more merchants to offer Bitcoin payments?

A 100% hoarding strategy is more harmful, because it cancels all the good work that was done to get merchants to accept Bitcoin as a payment option. A merchant will stop accepting Bitcoin, if their is no demand or transactions being generated for their business from the Bitcoin payment side.

We should actively encourage local merchants to start accepting bitcoins and then we should start supporting them. <No matter how low the price is>

Just buy back the bitcoins that you spend and you will be fine or use money that you would not have hoarded and buy the goods or service with bitcoins. <So when the price increase, you will not have regrets that you spend those coins>

Adopt a 80% hoarding and 20% spending strategy and we will see a massive increase in Bitcoin adoption <Merchants & Bitcoin users >    

You are right, in that way we are making bitcoin active again it didnt become passive tho. What I am just saying is since btc is dropping in its price people are selling their btc, and with that the other will hold it until btc price rise again. Which i think is wrong, instead we should use bitcoin in our daily basis so that it will increase the dependency of people on it which will increase the demand of it.

[BlueStackz]

This is the error of the HODLer's mindset, no I don't blame the HODL principle, I agree with this thread that we should not be afraid to use Bitcoin because it can increase demand and in my opinion HODL doesn't have to be forever, you should have a target when you have to HODL then buyback to reach the next target

Now this is good if we think for our benefit, we just think for the future price of Bitcoin and do not think that how will it increase in value. So if we have started thinking about it now, Bitcoin’s supply and demand is the base of its price to increase or decrease in value. If the number of participants in the market with their huge investment increases then the price will also increases.

[Finnong]

BOTH, if we focus on both by balancing it on percentage on a biweekly or monthly basis you’ll see the progress of it. If you focus only on one, you might not be helping the cryptocurrency in the long run.