Impacts of your national economic and the fiats values to your bitcoin holding

[serjent05]

Who's on this same circle with me? What similar or unique situation do you've to share with us?

i believe each and every one of us who are into Bitcoin investment or cryptocurrency investment are on the same circle as you.  The effect of national economic depreciation affects even non-Bitcoin holders.  Since the power of the fiat currency is depreciating, we are spending more and more for our needs since the price of commodities keeps on rising.

Before a single job is enough to get us through and provide budget for our needs, but due to the ever increasing prices, a single job is not sufficient nowadays.  We have to look for extra job in order to have a sufficient fund to maintain the budget for our needs and for our investment.  If we failed to get extra work, ou budget might not accommodate the budget for our Bitcoin investment.

The major disadvantage is that you will not be able to own more USD when converting back because you may spend more when buying back. A

This depends on how an investor sells or converting his holdings.  if he bought at around $60k and sold at $70k,  it is obvious that he gets more dollar and buying back at around $65k simply means he profited thus he is able to own more USD after all the trades.

s a bitcoin investor, converting the money to fiat in the first place and allowing the money to appreciate before buying back may result in more losses or an even ratio of money invested to money profited. As a bitcoin investor that uses DCA, it will have an impact on your holdings.

True that, since Bitcoin is highly volatile, there is a chance that Bitcoin might become more expensive after converting into fiat.  But this is situational because, when the Bitcoin investors' timed to sell their holdings at peak and re-enter during a bear market, this can give them a good enough profit.  So I say, whether the conversion of BTC to fiat and fiat to BTC incur losses depends on the timing of selling and buying BTC.

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[AmoreJaz]

I do not think that it should. I mean we are talking about bitcoin beating out all fiat, so it doesn't feel like it should matter to anyone at all. I am not saying that it would be impossible, all I am saying is that it shouldn't matter to anyone. I get that something like US Dollar would be more valuable compared to our Turkish Lira, but bitcoin is more valuable than both anyway, so its not really a big deal. I think the best way to go would be just keeping your money at bitcoin, and ignoring everything else. This is just me though, maybe I am right or maybe I am wrong. I doubt I am wrong though, look at the value of bitcoin in dollar terms, bitcoin is far superior right now.

When it comes to this decision, whether to hold btc or not, depends on the financial capability of the person as well as the beliefs of him towards this market. We can't expect everyone to get a hold of btc and appreciate its value. BTC may be valuable as compared to most fiat currencies but not everyone can see the benefits of holding it.

Also, consider the fact that not everyone can hold long-term even if they want to because they have other personal expenses that they need to attend to. Lucky for those who can hold without worry, that means, they have other financial backing that can support their crypto ventures.

[sekalitas]

While our national and economy rate is differed, so also the value rate of our traditional currencies differs in values too.
So does it affect your Bitcoin holding? And does it also affects your bitcoin value tradiing rates?
To me and the other average citizens and investos from this side, it's very much negatively effective at the moment as we've been struggling to meet up financial challenges due to excessive cost of goods.
My economic system is very down and the value of my traditional currency is very low comparing to USD. This has caused me excuses not to accumulate more of bitcoins to my holdings than expected.
At this juncture, I'm being optimized to wider my sources of income just so I can let my bitcoin assets stay untouched while it grows in values as I continues to hodl.
This is really panicking and tormenting to temper with my holding but I'm stressing out with excessive economizations just to reach my goal of Investing in this bitcoin industry.

Meanwhile as the fact that my fiat in value is being depreciated to the USD, that's the more my increments to trade and exchange my bitcoin assets is also appreciated.
So on the other side, it's assumed that I'm earning my bitcoin investment in the USD rates which is very much valuable during a trading exchange of my bitcoin to my fiat. That is just where my confidence in investing in this crypto market lies.

Who's on this same circle with me? What similar or unique situation do you've to share with us?

I feel you completely. The rising cost of goods due to our weak currency is a major challenge. It's forcing me to diversify my income streams. Thankfully, with internet access still affordable, I can look for remote jobs or bounties that pay in strong currencies like USD or even crypto. However, the global job market is incredibly competitive . Here's a tip: consider using generative AI tools to help you with your current work. By automating some tasks, you can free up time to pursue those extra income opportunities.

[kryptqnick]

When I sell Bitcoin, I sell it for my local fiat. Our fiat went through very harsh (26.6%) inflation in 2022, a fairly normal (5%) inflation in 2023, and so far there's pretty much no inflation. So I guess the local fiat doesn't have any impact on my BTC deals any more, and at times when it does, it's usually a positive impact because I can get more local fiat when I sell it. It's good for selling, bad for accumulation (if accumulation is done through buying). However, as to me, accumulation means keeping for of my signature rewards in Bitcoin without selling (rather than buying Bitcoin for fiat), I'm okay with it.

[Sorryfor]

Inflation seems to me a curse for a country. Currently due to inflation in our country it is very difficult for those who belong to the middle class and lower middle class to provide what they need to live their daily life. Commodity prices skyrocket compared to what people get for their hard work. It's really a curse for a country a nation I think. I don't know what steps can be taken to avoid this but I think those who have money should invest it somewhere better than saving it. This will save money from losing its intrinsic value and help it to survive in the future. But investing in Bitcoin may actually require a long period of patience.

[AVE5]

Things don't remain the same always. Because there was a time when the dollar rate in my country was 320pkr and I have buying from that time, and now the dollar rate is between 280 to 290 pkr. The point is, that we might lose money in dollar rate conversion. But in the long run, by holding BTC we are already in great profit. And the dollar rate doesn't put that much profit in compared to BTC on our plate.

But yeah profit is profit and we should appreciate it. BTW you asked who is in the same cycle, I am in the same cycle. I once made a loss in my BTC holdings, but the dollar rate was so high that, when I withdrew my funds into fiat I was in profit (well, the profit was not so much) but as I said profit is profit and we should appreciate it. I suggest you hold tight to your holdings because BTC will give you good profit if you hold it for a longer period of time. BTW are you thinking of booking profit in this cycle?

Okay here I got a great point of view from your contribution here. So it's literally to say the exchange value of the fiats over the USD should be ignored and continue our journey of Investing in the bitcoin. We shouldn't be weighed down with the economy situation of our devalued currency over the dollar but to keep up with out bicoin accumulations and buy as much as we could despites the value of the fiats that in as much it'd bring us profits we don't have to be bothered about it. Profit is profit and that's just all we're after of in this bitcoin industry and not fighting to rise a national Economy where the fiat would be equal to the value of the USD.

[Natsuu]

It will take a long time for the economy to recover due to high inflation. Due to the increase in inflation the poor people are not able to meet their needs properly of which the economy is going down. Right now bitcoin is the right decision to consider bitcoin has nothing to do with inflation and investing in this currency will turn your wealth into a better one. Investing in bitcoin will help people live better.

Makes sense right. High inflation can indeed hurt the economy especially hitting the poor hard. While Bitcoin isn't directly affected by inflation, it's not a magic fix for everyone. Investing in Bitcoin can be risky because its value can swing like crazy. Sure it has potential but it's not a guaranteed ticket to wealth. Diversifying your investments is key like don't put all your eggs in one basket especially a volatile one like Bitcoin. It's worth considering as part of your portfolio but don't rely solely on it for a better financial future

[0t3p0t]

Bitcoin investment is also one of the best choices if you are living in a high inflation country I mean local currency is devalued just like mine. That is why I don't save my fiat and instead invest it all in Bitcoin or other crypto. Though I still need to have fiat for my daily needs but the value is deppreciating and the cost of living is getting high.