What would happen to the bitcoin price if adoption increased on a larger scale?

[sana54210]

Mass adoption is one of the ways to fulfill the original purpose of bitcoin which is being a currency, aside from it being an investment vehicle. If mass adoption would happen, bitcoin will be used around the different parts of the world as a medium of exchange and will not be limited to being an investment like how it is commonly used now. The demand will be higher resulting in the higher value of bitcoin if ever it happens. Hopefully, the concerns and issues about bitcoin processes and transaction will be fixed before this happen to avoid confusion and inconvenience.

The original thought was "if there are enough people who accept bitcoin, then there will be more people who will not sell as well", because there are already limited amount of bitcoins, so there are less people who own it, and we trade it amongst ourselves and there are buyers and sellers and holders.

Since, it is a limited amount, the more people join the more holders there will be and that means sellers will not have as much bitcoin to hold, if all 7+ billion joined then price would be super high because there will be hundreds of millions maybe even over a billion holders, which would either own all of bitcoins in the world which is unlikely or would make the price skyrocket to get some to hold. This is why people want more and more adoption, the more people there are, the less bitcoin will be available in the market due to people holding.

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[dunfida]

When there is increase in the demand, automatically we'll experience rise in the price of bitcoin. This is the basic with bitcoin and anything that has got the limited supply. We saw the rise in the price of bitcoin and the same is followed by the altcoins. This started when large scale investment on bitcoin happened from big corporate companies, which is also a form of adoption.

Its a simple law of supply and demand and of course we would really see increase in price if that happens but we shouldnt really that anticipate much because adoption cant really go full scale or 100%

knowing that there are places on the world which governments do prohibit out bitcoin or crypto to have some part in the economy or making use it as a digital currently at least.

Should really we need to worry about adoption in full scale?Is this it the thing we've been hoping for in the first place? Lets just wait for the right time but dont expect that much.

[Issa56]

Bitcoin volatility will definitely reduce when large scale begins to adopt bitcoin because the price will be stable bitcoin won't really be pumping and dumping anyhow again the price will be stable and if the price is stable the volatility will definitely reduce. Just the way China is banning bitcoin and bitcoin is dumping it lots of countries adopt and large scale adopt bitcoin the volatility will reduce.

[Finestream]

When there is increase in the demand, automatically we'll experience rise in the price of bitcoin. This is the basic with bitcoin and anything that has got the limited supply. We saw the rise in the price of bitcoin and the same is followed by the altcoins. This started when large scale investment on bitcoin happened from big corporate companies, which is also a form of adoption.

Yes. Bitcoin is definitely based on its supply and demand. And if its demand continue to to increase, then its supply will be lessen too, seeing it's just only limited. So eventually, as there will be more demand, its adoption will most likely to increase in a larger scale too. Bitcoin will be recognized and utilize all over the world until it became a global currency in the near future. But when we talk about its volatility, i think it will always stay, it might be reduced i think, but never it will be fully gone. Its volatility will always have its own way to attract more people to invest into bitcoin while also making it as a currency.

[Shenzou]

I really don't think that this is going to be affecting the nature of the market in any bad way, the more people that use bitcoin the more decentralized it get the more volatile it gets, a large adoption of bitcoin will only create more supply and that will eventually lead to the increase of the price, so if anything it will affect the transactions, meaning that the fees will get higher and longer time to confirm, which make microtransactions non usable with bitcoin.

[Silberman]

When there is increase in the demand, automatically we'll experience rise in the price of bitcoin. This is the basic with bitcoin and anything that has got the limited supply. We saw the rise in the price of bitcoin and the same is followed by the altcoins. This started when large scale investment on bitcoin happened from big corporate companies, which is also a form of adoption.

And this is even more extreme in the case of bitcoin, for example in the case of almost any asset when the demand for it increases and the price goes up as a result what we see is that companies begin to create more of that product, this increases the supply, it meets the demand and then the price begins to slowly go down, but this is not possible for bitcoin, bitcoin is mined roughly at a constant rate which means that when the increase in the demand happens there is now way to increase the supply which makes its price to go up in a more sharply manner.

[Mpamaegbu]

OP's question is simply answered in the basic principle and interchange of Demand and Supply. The more the demand; the higher price goes. It's as simple as that. It's high demand and shortage in supply that confers value on products and services. That's why crypto enthusiasts crave adoption for Bitcoin so that more interest will begin to chase its use with the limited supply of 21 million. Once this begins to happen we can say it will expectedly cut across the entire crypto industry with alts soaring too. Come to think of it, that Bitcoin was able to come out of the woods now is because of the halving that was done in 2020 and reward per block was reduced in half, making supply a bit scarce. Now, think of what happens when adoption is fully achieved and more countries make Bitcoin their legal tender.

[RealMalatesta]

So is it true that bitcoin price volatility will decrease by itself as bitcoin adoption reaches higher levels?

Yeah, it is true that it is possible that the volatility of bitcoin will decrease when the adoption increases.
But, for the adoption of bitcoin to reach a level where the volatility will be decreased to a low level, don’t you think it is going to take so many years before that will happen? I have always had the thought when the time comes that there will be higher adoption rate, the price won’t be fluctuating like it is doing right now.

Another thing I would like to point out is about making bitcoin a legal tender, I don’t think there will be much countries that would be interested in doing that. But, we will wait till that time comes to know what happens.

[Kong Hey Pakboy]

It's basic, just supply and demand. If there's more people meaning more demand and couple that with the fact that there's a limited supply of bitcoin, it's bound to go up in prices given that there's a probability of scarcity when the demand increases exponentially.

[DOH!]

So is it true that bitcoin price volatility will decrease by itself as bitcoin adoption reaches higher levels?

However, I think bitcoin has the ability to adapt to legally accepted situations allowing for a lower volatility e.g. an ETF being accepted, it may affect low volatility or  high.  It still has breakouts for any effect other than a change in bitcoin value, where bitcoin can be volatile based on user value rather than speculation.  El Salvado has more than 2M Chivo wallets in use, proving that when bitcoin is legal the demand for bitcoin will be infinity

[Kittygalore]

It seems that everyone seems to agree that it's definitely going to go up because of the law of supply and demand, which is true because it's the most basic principle in economics, when there's more demand, the price goes up but it has to be that the supply doesn't go up either because there won't any competition for demands because there's a lot for everyone.

[_BlackStar]

OP's question is simply answered in the basic principle and interchange of Demand and Supply. The more the demand; the higher price goes. It's as simple as that. It's high demand and shortage in supply that confers value on products and services.

That's the law of the market and I've learned about it, but I don't think it's as simple as it says. FUD and negative news always affect the market.

Natural price increases due to increased demand through adoption can make the percentage fluctuations smaller. So is it possible to think when adoption increases volatility to low so that the risk of fluctuations or deep price corrections can be minimized?

[qwertyup23]

If BTC was adopted in large scale (e.g. countries have started accepting it as legal tender, etc.) then its demand would skyrocket among its users around the world. According to the law of supply and demand, when demand goes up and supply goes down, price would definitely increase- so the question of whether its price would increase or not is kind of an obvious answer.

Though, this is assuming in a perfect world that countries would accept BTC in circulation. Unfortunately, while El Salvador has accepted it as legal tender, China has prohibited its circulation which definitely affected its price globally.

[verita1]

I think not much will happen. Apparently the price of bitcoin is maintained without much variation as if it were waiting for more adoptions around the globe to make the process easier because when the price of bitcoin falls more investors tend to buy.

I keep the happy idea that bitcoin has already exceeded the price of the basic Tesla model 3 and that it will do the same with the Long Range and the Performance model.

At this moment what is happening is that people are thinking about bitcoin and crypto to be included in the economies in the world, which is otherwise positive for everyone.

[STT]

Monetary velocity increasing implies a greater worth per unit as the currency becomes more circulated and so held.   Incidental holdings count far more then deliberate speculation as some people will effectively hold forever, the trend across millions of people is the real fundamental worth rather then the market bid of an asset that does not actually have a use for it on a balance sheet.   I'm only going to be impressed by anything Tesla does if they do put the BTC they have taken on into working circulation and increases effective population of the blockchain then we have actual gains likely, increased demand even if its circulatory is a big deal.    Regular demand does equate to lower volatility I think.

[Victorycoin]

Bitcoin usually rises on the basis of demand and supply when the demand increases, the price starts to go up depending on the price of bitcoin the price of altcoin continues to rise many new companies are being added for the high price of bitcoin and various companies are approving bitcoin. That's why bitcoin is getting bigger since bitcoin does not require any financial institution to transact and its transaction dynamics cannot be followed its use is high.

[Dread Pirate Roberts]

So is it true that bitcoin price volatility will decrease by itself as bitcoin adoption reaches higher levels?

I don't think so. bitcoin will always be a volatile asset. why ? due to limited supply. the larger the size of bitcoin users, the more it will go up because many are in needed and want it. i think something that having limitations will never be stable even when talked about if that is reach larger scale.

[dezoel]

I would assume that the best outcome could be adoption increasing in the El Salvador method. That way we would know that if there is a big adoption then it would be supported by the nation as well. I am not saying that it is the only way to make a profit but it is certainly one of the best ways to get bitcoin in the hands of everyone.

Plus, if we could have a banking industry type of deal, where we could move bitcoins and other crypto around between accounts and not pay any fee, then it would be awesome as well.

Think about how easy it would be for people to move crypto around if they did not have to pay a fee, you need to pay one to deposit money into that account, then pay a fee to withdraw crypto from that account but while it is there you can move money around between accounts of that platform without paying anything. This could be done if governments made it legal tender and banks started to use it.

[breathlessz]

So is it true that bitcoin price volatility will decrease by itself as bitcoin adoption reaches higher levels?

I don't think so. bitcoin will always be a volatile asset. why ? due to limited supply. the larger the size of bitcoin users, the more it will go up because many are in needed and want it. i think something that having limitations will never be stable even when talked about if that is reach larger scale.

Moreover, the basis for forming bitcoin prices is based on the law of supply and demand, so that everyone who makes transactions will have an effect on the formation of bitcoin prices, and this is what makes bitcoin fluctuations high. With a limited supply and high technological progress, the future of bitcoin will be even brighter, considering that not many people have become bitcoiners

[AmoreJaz]

So is it true that bitcoin price volatility will decrease by itself as bitcoin adoption reaches higher levels?

I don't think so. bitcoin will always be a volatile asset. why ? due to limited supply. the larger the size of bitcoin users, the more it will go up because many are in needed and want it. i think something that having limitations will never be stable even when talked about if that is reach larger scale.

Moreover, the basis for forming bitcoin prices is based on the law of supply and demand, so that everyone who makes transactions will have an effect on the formation of bitcoin prices, and this is what makes bitcoin fluctuations high. With a limited supply and high technological progress, the future of bitcoin will be even brighter, considering that not many people have become bitcoiners

supply and demand is indeed the basis of bitcoin's value in the market. with fixed supply, what we can expect is just up and down movement in the market. how the market sentiments will affect its price value. and with many people getting involved in this market, we can truly expect a roller coaster ride. institutions, organisations, whales, small traders and the likes, those are important to have a healthy market.