HyperBitcoinization Coming, Says Adam Back, Do you Agree?

[Fivestar4everMVP]

Yesterday, being the 18th day of May, 2023, the addresses with 1 whole bitcoin hit 1 million +, according to data obtained from Glassnode: an on-chain analytic firm.

Commenting on this achievement, Adam Back - CEO and co-founder of Bitcoin firm Blockstream, said that HyperBitcoinization is coming soon, he went on to say that "Should the existing trend continue, BTC price growth would soon make buying it not only a luxury but something unattainable altogether".

He Tweeted, and I quote -

because 10mil people trying to buy 1  BTC over a few years would push the price out of reach. And many current hodlers are not selling. Eg very few of the recent whole coiners would re-sell, probably moving up to their next target for extra bitcoin, most are trying to buy more!

Source: Cointelegraph

What do you make of this information?
For me, I think it makes me more bullish on Bitcoin than ever before...

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[Wiwo]

Bitcoin body language have pointed to that direction lately with the hyke in fees and varius network congestions, it shows that there are multiple and high-traffic wallet activities regardless of whether the Bitcoin market is either in a bull run or bear market.

I am personally anticipating a possible price increase.

[hatshepsut93]

He Tweeted, and I quote -

because 10mil people trying to buy 1  BTC over a few years would push the price out of reach. And many current hodlers are not selling. Eg very few of the recent whole coiners would re-sell, probably moving up to their next target for extra bitcoin, most are trying to buy more!

The current holders are not selling now, but they will be tempted when the price reaches the peak of the previous cycle or if it will surpass it. People who massively profit from holding Bitcoin need to sell it to realize their profits. You can point out to examples of people selling houses or cars for BTC, but if you go to a house or car market, 99.9% of deals could not be paid with Bitcoin. So whenever price goes up, therre's a massive downward pressure caused by people who want to actually spend their money instead of hoarding it until they die.

[Fivestar4everMVP]

He Tweeted, and I quote -

because 10mil people trying to buy 1  BTC over a few years would push the price out of reach. And many current hodlers are not selling. Eg very few of the recent whole coiners would re-sell, probably moving up to their next target for extra bitcoin, most are trying to buy more!

The current holders are not selling now, but they will be tempted when the price reaches the peak of the previous cycle or if it will surpass it. People who massively profit from holding Bitcoin need to sell it to realize their profits. You can point out to examples of people selling houses or cars for BTC, but if you go to a house or car market, 99.9% of deals could not be paid with Bitcoin. So whenever price goes up, therre's a massive downward pressure caused by people who want to actually spend their money instead of hoarding it until they die.

You are right, but don't forget that for a market to be seen as healthy, there have to be the presence of sellers and buyers alike, it's alright is at times, the sell pressure is higher than the buying pressure, very normal because, for the price to get to that peak you mentioned, it means that the buying pressure was once higher than the selling pressure, it's normal with every market, it's what drives the market up or down, and that is how profit or loss is realized.

Also have in mind that, when the price of bitcoin reached its peak, and investors start selling, they are selling because some one is buying, even at the pick of the price, they are selling it to ghost of spirits somewhere, real people are buying, that why they are able to sell it in the first place, so the sell is not a problem if you ask me.

[dragonvslinux]

The term "Hyper Bitcoinization" has been thrown around a lot, for a long time, but I still think it's a long way away. It's effectively the "end game" of Bitcoin whereby the majority of the world is more of less dependant on Bitcoin or otherwise have to use it. Likely because the major fiat currencies have completely failed or are failing for example. I'd say we are 10-20 years away from that scenario personally, but only time will tell.

[cryptomaniac_xxx]

The term "Hyper Bitcoinization" has been thrown around a lot, for a long time, but I still think it's a long way away. It's effectively the "end game" of Bitcoin whereby the majority of the world is more of less dependant on Bitcoin or otherwise have to use it. Likely because the major fiat currencies have completely failed or are failing for example. I'd say we are 10-20 years away from that scenario personally, but only time will tell.

Could be, but we all know the person who coin it is obviously Bitcoin maximalist so no surprised to hear those terms being thrown around as early as the previous years to give the impression that we are indeed closer to achieved this.

And as we can see we are moving to the next bitcoin halving again next year, so chances are anyone of us are trying to save as much bitcoin as possible in our wallet, that we have the Private Key. And with that, yeah we are part of that "HyperBitcoinization" already. And it could really be un-attainable for average Joe to purchase it in the future.

[BlackBoss_]

The growth of address number means about growth of addresses and somewhat means about holders in person.

With the price of Bitcoin becomes higher and higher, people will be more careful to store their coins. If I have 100 bitcoin in 2013 or 2014, I did not mind to store those coins in only one wallet. Now and in future, I am sure that it's not only me but also others, will diversify their 100 bitcoins to different wallets.

It is risk diversification that will become more popular when people realize better about risk and indirectly affected by higher price of Bitcoin.

[Not your key not your BTC]

What do you make of this information?
For me, I think it makes me more bullish on Bitcoin than ever before...

this makes me happy.

this means about 1 million people own their own key. we can track it if their Bitcoin is put in exchange, right?

~ Not your key, not your BTC ~

[dragonvslinux]

What do you make of this information?
For me, I think it makes me more bullish on Bitcoin than ever before...

this means about 1 million people own their own key. we can track it if their Bitcoin is put in exchange, right?

Not entirely. Assuming that exchanges don't have wallets with a balance of <1 BTC, then if this number starts declining then it more or less means that it's going to exchanges, or otherwise alternatively people are breaking up >1 BTC wallet quantities to domination >1 BTC. If you simply want to know about the amount of coins on exchanges though, then CoinGlass is a good place to start.

As someone else pointed out, in the same way it's quite common Bitcoiners to break up 1,000 or 100 BTC into smaller amounts, it's also possible that users with say 10/100 Bitcoin are breaking them up into dominations of >1. As it's generally recommended to split funds across different accounts, even if ultimately the private keys from the same seed phrase.

[Don Pedro Dinero]

What do you make of this information?
For me, I think it makes me more bullish on Bitcoin than ever before...

Which is nothing we didn't know in 2021, that was already said then and the price behaviour since then has been quite disappointing. It is clear that demand will tend to grow over time, and supply will tend to decrease, so the price of bitcoin can only go up, but I do not trust that it will do so very quickly, especially given how the price has evolved this cycle.

When the market cap is large, it is more difficult to raise the price and we will not see the returns of the first couple of cycles again.

[Jatiluhung]

Commenting on this achievement, Adam Back - CEO and co-founder of Bitcoin firm Blockstream, said that HyperBitcoinization is coming soon, he went on to say that "Should the existing trend continue, BTC price growth would soon make buying it not only a luxury but something unattainable altogether".

He Tweeted, and I quote -

because 10mil people trying to buy 1  BTC over a few years would push the price out of reach. And many current hodlers are not selling. Eg very few of the recent whole coiners would re-sell, probably moving up to their next target for extra bitcoin, most are trying to buy more!

Source: Cointelegraph

What do you make of this information?
For me, I think it makes me more bullish on Bitcoin than ever before...

I like what Adam Back said, "Should the existing trend continue, BTC price growth would soon make buying it not only a luxury but something altogether unattainable". Because I think what he said one day will indeed come true. Because even with the many bankruptcies that have occurred in large banks in developed countries. I think this will drive faster and more bitcoin adoption. And yes I agree that nowadays it seems that people have started to realize that keeping bitcoins for a long period of time is the best.

So if more and more people choose to keep their bitcoins for the long term and have no intention of selling in the near future. then buying bitcoin one day will become something beyond luxury because it will indeed be increasingly difficult to obtain when people have started to choose to be Holders more.

And are you aware of the recession issue? and what makes many economists make statements from the results of their research that a recession can indeed occur. And a recession can occur due to people's awareness to save more and become higher. And the current economic crisis has actually had an impact on all of us thinking that we must start preparing from the beginning so that we can avoid a return from an economic crisis that may be even worse one day. So that people's awareness about investment and savings is currently increasing rapidly.

Now when awareness about the importance of investment and savings is increasing in everyone. and coupled with the many banks that went bankrupt, guess where they will go in the end to choose a place that they will make as investments and savings. My answer is Gold for savings and Bitcoin for Investment.

When this happens the $200k price for BTC is likely to be reached sooner than expected.

[thecodebear]

Well I agree with getting to 1 BTC will very soon be unattainable for people. Except for those no-coiners with high incomes who get into Bitcoin soon, or for those who are already most of the way to 1 BTC, it's gonna be real hard for anyone to accumulate 1 BTC from now on. In a year the price will probably be double what it is now, and next bear market the price may bottom at double today's price.

So maybe there is 12 months left of <$55k-$60k price, and that's it. And after these next 12 months, maybe there is only another 18 months of under <$100k price after that (when you count time it'll take to from May 2024 until it goes through 100k during bull market, plus time it spends under 100k during the next bear market). So we're talking likely only ~2.5 years of total time from here on out that the price of 1 BTC is under $100k, and most of that period it's gonna be over $50k. At $50k - $100k it is already very hard for a middle class person in a rich country to accumulate 1 BTC over the course of years. At over $100k price it's gonna be near impossible. At $200k and up there will basically be no new whole coiners being added to the community outside of wealthy no-coiners who finally pick up some Bitcoin.

It's crazy to think about but there will probably never be more than 2 million whole-coiners at any point in history. There might one day be a billion people with 0.01 BTC and another billion or two people with less than that, but only a million or so people with 1 BTC.



Anyway, as to the hyperbitcoinization. Maybe one day, but I'm 40 and I don't expect to see it in my lifetime, or anywhere close to it. If it happens I think that is a far off future thing. Hyperbitcoinization means living on a bitcoin standard essentially. It means Bitcoin being the primary money. Maybe in a number of generations fiat currencies of today fail so badly and Bitcoin remains so strong that hyperbitcoinization happens as the only alternative to the failed system, but it ain't gonna be in the next few decades. I mean hell, it'll probably take at least a decade before its even easy to spend Bitcoin on a fairly regular basis and before most people think Bitcoin is something other than a pyramid scheme.

[Solosanz]

I wouldn't say this is hyperBitcoinization because this is make Bitcoin more centralized. The increasing of addresses holding more than 1 Bitcoin means it's controlled by whales. I'd like to see less than 1 Bitcoin spread more widely, this mean many people regardless it's low, middle or upper class are want to adopt Bitcoin.

This will make the Bitcoin price is more expensive and not affordable for low class to buy Bitcoin if it's keep continue.

[AbuBhakar]

What do you make of this information?
For me, I think it makes me more bullish on Bitcoin than ever before...

this makes me happy.

this means about 1 million people own their own key. we can track it if their Bitcoin is put in exchange, right?

~ Not your key, not your BTC ~

Not exactly 1 million but close to it since there’s a lot of whales that splitting their holdings into multiple wallets for a better privacy also there’s the existence of Mixer wallets which obviously holds multiple Bitcoin on multiple addresses.

Confidence on Bitcoin is increasing by having multiple wallets that have 1BTC and above balance. It only show how people now use 1BTC as a goal amount for Bitcoin investment. But let’s see how these wallets will react in times when Bitcoin already recovered.

[pooya87]

What Is Hyperbitcoinization? Hyperbitcoinization is the inflection point at which Bitcoin becomes the default value system of the world.

This is not going to happen anytime soon. The world is still too selfish and too centralized to want to adopt a decentralized currency as the "default value system". Not to mention that for the foreseeable future majority of countries are going to push their own centralized fiat (both traditional and CBDC).

~ said that HyperBitcoinization is coming soon, he went on to say that "Should the existing trend continue, BTC price growth would soon make buying it not only a luxury but something unattainable altogether".

Maybe the definition of hyperbitcoinization is different, but if we define it as "increased adoption and high price" then yeah that is going to happen. There is a lot of reasons for it too. We have the current centralized financial system that is slowly falling apart with banks that keep going bankrupt and the fiat currencies that are being printed nonstop causing high inflation rates. It is bound to push people into thinking about alternatives like bitcoin.
Regardless of the current market situation the onchian analysis shows that the adoption is rapidly increasing.

[tabas]

I have always been bullish and such analysis like this is certainly giving the positive vibes for everyone that thinks that there's nothing happening in the market lately. And that is because of the price of Bitcoin don't move a lot and instead of moving forward, we get some corrections.
It's real that there are more people that don't want to sell their Bitcoins and want to hold it instead. That is because everyone have learned already on how the market cycle goes, with this, everyone is anticipating a better value for bitcoin in the coming years and even for the upcoming bull run. It's known that many do like to hold even at least 1 BTC but it doesn't stop there and having the word of hyperbitcoinization, he or they can address it depending on what they see in the market. But I like it when he said that it's gonna be a luxury to obtain 1 BTC soon while many are saying that buying it now is expensive.

[Dr.Bitcoin_Strange]

Although I can say I am bullish about that, but come on, it's just too much overimagination for me. Practically, there are other factors that can help the bitcoin price shoot so high that buying it will be very expensive, but I still don't see that happening any time soon. Even if Bitcoin has to hit $100k in the coming Bitcoin halving and bull market, it's not so much that people can't buy, and even if it's so, the bear market will come and the price will still go below $100k. When talking about the hyper-bitcoinization, what's the actual price we can expect? People think it will be very expensive. Is it $500k or $1 million for one bitcoin? If that's the case, then it's not just going to be a sudden thing that Bitcoin will shoot up to that high so soon; that will take a long time.

[Lucius]

For someone who has been around for a long time and doesn't have a short memory, I can only say that this is another cheap PR for the man and the company he represents. Unfortunately, if someone thinks that we have 1 million people who own 1 BTC and is happy about it, then they are really living in a big delusion, because one person or one company can have 10 000 BTC located in 10 000 addresses, so this whole methodology makes sense as well as the fact that millions of BTC were lost because they did not move from the specified address for x years.

I can only agree that such data cannot help us to objectively see the true picture, no matter how much some try to convince us otherwise.

[franky1]

this means about 1 million people own their own key. we can track it if their Bitcoin is put in exchange, right?

this does not mean 1m people own 1btc each

it means whales are splitting their funds up from being a whale address of 10k coin on one address, to being 10k of addresses of 1btc each

yep one whale has MANY KEYS

EG alot of people think Satoshi has 1m btc in one stash.. when in actual fact he has thousands of addresses of 50btc

many people use "seeds" now, whereby they have thousands of addresses all funded with small amounts each

..
what you can also notice is that the count was only temporary. becasue the amount of addresses holding more then 1 BTC has died down again

whats seen is the whale holder of mass amounts have now dropped to small holdings per address.

also what you can now see is now there are many many millions of addresses holding under 1btc. because yep you guessed it the main whales(exchange custodians) have split their hot wallets into smaller amounts per address and many users of even smaller amounts have withdrawn. so temporarily it caused alot of temporary addresses showing lots of 10k btc+ becoming lots and lots of 1k addresses and lots and lots of <10btc amounts.. but this was just wallet shuffling of many addresses per wallet

and now its settled down showing less coins on exchanges

this is due to things like binance doing a temporary withdraw close while they mess with their wallets.

in very short version:
a significant of the addresses holding 1-10btc are exchange custodian hotwallets yet to sweep or withdraw balance
a significant of the addresses holding 1-10btc are whales not wanting to have more then $250k of value per address

meaning alot of those addresses are owned by the same individual. thus no where near 1m individuals

[SamReomo]

That's truly an amazing thing to hear but I think most of those addresses belong to the whales who have bought Bitcoin in its early days. Many of those whales prefer to keep their Bitcoin in separate wallets for the purpose of safety and for security of being untraced. If a whale puts this whole bitcoins in single address then there is chance that someone can penetrate it when it goes online. They also won't keep the Btc in one address because they want to hold it secretly to avoid taxes at the time of selling.
 
The HyperBitcoinization is currently a term and it will remain in that way for a long time. Although, I am also among the lovers of Bitcoin but I don't think that we can see that thing as a reality anytime soon. The governments are trying to create their own cryptocurrencies that should be purely the digital version of their own fiat currencies. Although, there is a possibility that Bitcoin might be used as a reserve for those fiat crypto-currencies, but still no body knows that yet.


I think that Bitcoin's price will be too high for a normal person to buy it. Only rich investors would be able to purchase it if its price crosses over $100k, but still poor people can still buy some Satoshi's and that's enough for them. I know that even this day there are thousands of people into crypto world who can't afford to own a whole BTC, so tomorrow there might be more people who desire to own a Bitcoin, but they wont be able to.

I believe that soon Bitcoin will enter the bull market and the day is not too far when that will happen. I think this bull run will bring a lot of investment in the cryptos and many people would love to own their share of coins in the sphere of cryptocurrencies. I'm very positive that Bitcoin will cross $100k in 2024's last quarter, and if it does then the next bull run might make it to reach highest peaks that we can even dream of. I think after halving things will be different form today. I'm eagerly waiting for that day.