Is holding Bitcoin generally good?

[BenCodie]

Now the question is, assuming everyone who ever bough bitcoin is holding their bitcoin in their private wallets, what will be the fate of bitcoin and the bitcoin network? Does holding bitcoin strengthen the bitcoin network? If no, are those who sell and more their bitcoin on-chain generally doing bitcoin bad?

Debit cards can convert to fiat upon spending. Businesses are starting to accept Bitcoin. If you hold Bitcoin, you are not forced to hold it and never touch it. As the we progress into the future, people will hold it primarily and spend it as needed, just like people do with savings of fiat and spending of fiat.

I believe in holding bitcoin and I'm actually holding some quantity and still buying. But a greater part of me feels that there should be more to bitcoin that just buying and holding in private wallet to gain some profits. I believe that bitcoin will be much more beautiful if a good number of human populations are using bitcoin for their daily lives and have real testimony that bitcoin actually made their lives better. We cannot achieve that if we only encourage people to buy and hold, can we?

There is more to it, it's your choice to think that buying and holding it is all there is to it. That's not a reflection of the reality though.

I don't know if I have sounded so pessimistic towards bitcoin. From the depth of my heart, I want bitcoin to gain more utility than it has, the reason I made this post to seek opinion if there are people actually thinking in this direction or the right way of thinking about bitcoin is only HODL.

It's not pessimistic, it's just uninformed. Keep exploring and learning

[betswift]

^ I still see it as to spend BTC only on big purchases, though.

Who would want to spend it for something smaller or daily when you can get much more value by just.. Not doing it, basically?

[summonerrk]

Bitcoin needs to be held and it was the right decision 10 years ago and it remains an excellent decision, it has not lost its prospects.
I would like to touch on one important point: for those who buy Bitcoin, and do not earn it in the world of cryptocurrencies (or here on the forum), it is very important that the exchange rate of the national currency to the dollar is low. This applies to those who live in countries where the main currency is not the dollar. What do I want to say? In the country where I live, the dollar exchange rate has fallen recently, which means I can simply buy 30 percent more dollars, and therefore Bitcoin, and this is a great time to save.

[Makus]

Now the question is, assuming everyone who ever bough bitcoin is holding their bitcoin in their private wallets, what will be the fate of bitcoin and the bitcoin network? Does holding bitcoin strengthen the bitcoin network? If no, are those who sell and more their bitcoin on-chain generally doing bitcoin bad?

You holding bitcoin is not adding any impact in the market price, but before you started holding you bought bitcoin and that buying order in correlation with other buyers create a significant impact in the market chart. However the market price is influenced by several factors of which one of the greatest is buying and selling bitcoin. If everyone decides to hold their bitcoins, no transaction, no buying no selling, it would affect every part of the network both mining and the price is likely to drop rather than appreciating. The little moves we see in the chart every second, minute, hours, days.... is as a result of the orders going on in the market not because people are holding their bitcoin, holding tends to favour the holder and not the network, it's buy and sell that matters most.

[FortuneFollower]

Bitcoin needs to be held and it was the right decision 10 years ago and it remains an excellent decision, it has not lost its prospects.
I would like to touch on one important point: for those who buy Bitcoin, and do not earn it in the world of cryptocurrencies (or here on the forum), it is very important that the exchange rate of the national currency to the dollar is low. This applies to those who live in countries where the main currency is not the dollar. What do I want to say? In the country where I live, the dollar exchange rate has fallen recently, which means I can simply buy 30 percent more dollars, and therefore Bitcoin, and this is a great time to save.

That's a good point. And to seek such opportunities is a good way too - but surely, the main thing is to have a stable flow of funds

[Brandon855]

You've hit on the central, flawed logic of the entire space. It's the Bitcoin paradox.

They scream "HODL!" because scarcity drives the price up. But they also dream of mass adoption, which requires spending and velocity. It's a two-faced god.

The truth is, Bitcoin's main chain is a settlement layer now. It's for huge, slow, expensive transactions, like gold bars moving between vaults. You're not supposed to buy coffee with it.

The "daily use" dream lives or dies on Layer 2 solutions like Lightning. That's where the spending is supposed to happen. So, HODLing on-chain secures the vault, while spending on Layer 2 is what could make it a real currency.

You're not pessimistic. You're just seeing the conflicting narratives they try to sell as one neat package.

[Callido]

If everyone interested in Bitcoin only has to buy one time and hold, there will be less volatility since the market is controlled by buy and sell of investors and traders in the market. Without daily volume in Bitcoin, the price of Bitcoin will remain stagnant, it won't fluctuate because nobody is placing other to buy or sell, and the miners won't find any transactions to confirm.

Talking about holding, for investors, holding is an important tool not to neglect. Investors who sold very early as a result of bad choices are regretting what they did, it is self harm to sell during a period when you are supposed to hold.

[WeedGoW]

Please take a moment to get my point before you conclude. I know a lot of people judge a post by the topic alone and if that is applied to mine, I might be sounding anti-bitcoin since selling is highly demonized by a lot of people in this community.

Now the question is, assuming everyone who ever bough bitcoin is holding their bitcoin in their private wallets, what will be the fate of bitcoin and the bitcoin network? Does holding bitcoin strengthen the bitcoin network? If no, are those who sell and more their bitcoin on-chain generally doing bitcoin bad?

I believe in holding bitcoin and I'm actually holding some quantity and still buying. But a greater part of me feels that there should be more to bitcoin that just buying and holding in private wallet to gain some profits. I believe that bitcoin will be much more beautiful if a good number of human populations are using bitcoin for their daily lives and have real testimony that bitcoin actually made their lives better. We cannot achieve that if we only encourage people to buy and hold, can we?

I don't know if I have sounded so pessimistic towards bitcoin. From the depth of my heart, I want bitcoin to gain more utility than it has, the reason I made this post to seek opinion if there are people actually thinking in this direction or the right way of thinking about bitcoin is only HODL.

It seemed very beautiful. You have highlighted some important aspects here that will come out if you analyze deeply. You said whether the network is strong in using Bitcoin, it seems to me that Bitcoin is not powerful when the network is retained only by reinforcement. Those who do on-chain transactions pay fees on the network which are part of the miners incentives and security. It is not to badge bitcoin, but to contribute to a healthy ecosystem.

[Mate2237]

I believe that Bitcoin is an asset as well as transactional entity. Beyond just holding it, some people use it for their transactions, even on a daily and that's why the miners are always busy.

The narrative behind buying and holding Bitcoin for a long-term is for profits, those who've already held for a long-term keeps selling theirs, making available more Bitcoin for others to buy and hold,  so it's not possible everybody would be holding at the same time.

Traders must always trade Bitcoin and some holders would always sell at some intervals, furthermore those using Bitcoin for transactions would still continue their activities, so only holding Bitcoin by everybody isn't feasible.

If everybody would only hodl, we wouldn't see much BTC moving from one hands to others.

Because retailers have the most BTC out there currently

That's true but you have to know that Bitcoin is now considered a big business so personally speaking I don't see anything wrong with anyone holding their Bitcoin asserts for the purpose of making gain , Bitcoin it's is a scarce asset so I think holding it is even making it to be scarce the more.


Don't forget that one day the last Bitcoin will be mined so they are doing it with the plans of making it value to be high because the truth is when a product is scarce the value of that product increase so looking at it from another point those holding Bitcoin is also adding value to it by helping to make it value to be high to an extend even though the value of Bitcoin is controlled by several factors level like inflation

[finaleshot2016]

I believe that Bitcoin is an asset as well as transactional entity. Beyond just holding it, some people use it for their transactions, even on a daily and that's why the miners are always busy.

The narrative behind buying and holding Bitcoin for a long-term is for profits, those who've already held for a long-term keeps selling theirs, making available more Bitcoin for others to buy and hold,  so it's not possible everybody would be holding at the same time.

Traders must always trade Bitcoin and some holders would always sell at some intervals, furthermore those using Bitcoin for transactions would still continue their activities, so only holding Bitcoin by everybody isn't feasible.

If everybody would only hodl, we wouldn't see much BTC moving from one hands to others.

Because retailers have the most BTC out there currently

That's true but you have to know that Bitcoin is now considered a big business so personally speaking I don't see anything wrong with anyone holding their Bitcoin asserts for the purpose of making gain , Bitcoin it's is a scarce asset so I think holding it is even making it to be scarce the more.


Don't forget that one day the last Bitcoin will be mined so they are doing it with the plans of making it value to be high because the truth is when a product is scarce the value of that product increase so looking at it from another point those holding Bitcoin is also adding value to it by helping to make it value to be high to an extend even though the value of Bitcoin is controlled by several factors level like inflation

True, the potential is pretty high and that’s why we should keep holding bitcoin because it’s already a global asset. If there are many people see the value of bitcoin and the top tier narrative of digital gold, advanced congrats to them but for those who don’t see bitcoin’s power then I wish that you guys won’t regret it. With a fixed supply, it’s already immune to inflation and the greater advantage is no one can control it. As adoption grows globally, holding Bitcoin now could be one of the smartest financial decisions of this era.

[katanic97]

Normally, there are different reasons why people buy bitcoin. Some people have bitcoin as an alternative currency that can be used for purchasing, while some buy bitcoin to hold it for more profit to be gained. But whoever chooses to hodl bitcoin, it is always good for hodlers to hodl very well and make a profit from it. It doesn't sound good to investors who understand bitcoin very well and are good hodlers when people struggle with holdling. It is expected that bitcoin will be spent by whoever, but it makes no sense for an investor who wants to hodl bitcoin to end up selling for not a good reason, maybe out of fear of the market or lack of patience.

A lot of people hold BTC for many years some of them, whom i personally know, even received a good amount for free, while others rushed and sold at the wrong time. Realistically, you never really know how the market will behave, but one thing is certain , you have to be patient when it comes to BTC. The same goes for investors most of them lack patience and end up selling at the wrong time.

[passwordnow]

~snip~

Bigger BTC's price => fewer people wanting it not to be hodled and used.

That's how I see it, that is.. And it's unfortunate, but natural.

Well, you're right. The higher the price of Bitcoin, many don't want to spend it for things and we only want to hold it for better appreciation and price in the future. It's not unfortunate to say because change is constant and from being made as a payment method by satoshi, the volatility of it makes it worthy of being kept. And that's what everyone does but we spend some and hold more and that I don't think see anything wrong with that.

[coyhasmon]

^ I still see it as to spend BTC only on big purchases, though.

Who would want to spend it for something smaller or daily when you can get much more value by just.. Not doing it, basically?

Why not? You are making assumptions how other people are using it. Each person will have its own reasons to spend it or not. Have you heard of Gresham's Law?

In economics, Gresham's law is a monetary principle stating that "bad money drives out good". For example, if there are two forms of commodity money in circulation, which are accepted by law as having similar face value, the more valuable commodity will gradually disappear from circulation.

This is what is often happening. Why should I spend my precious BTC for any purchase, small or big, when I have much worse money that I can use instead? People have simplistic and wrong views that come due to a lack of knowledge. In this case, the lack of use is not a negative thing but a positive outcome that arises because Bitcoin is so much better money than anything else in existence.

You've hit on the central, flawed logic of the entire space. It's the Bitcoin paradox.

They scream "HODL!" because scarcity drives the price up. But they also dream of mass adoption, which requires spending and velocity. It's a two-faced god.

It is not true, it is time to read a few books. 

[Redley555]

This does not have a definite answer. It depends on your analysis, financial goals, persistence level.
Everything depends on your investment plans in general

It is not something that has a definite answer it all depends on you

[retreat]

I understand your concerns, everyone also hopes that Bitcoin can have more utility than it does now, but I feel that people have the right to use Bitcoin however they choose - whether it's to hold or to trade, that is their right. Even though more people are encouraging others to simply buy and hold Bitcoin, that doesn’t mean selling/transacting Bitcoin is a bad thing. Again, people have the right to decide for themselves. So don’t worry too much about it - just focus on what you're doing now. Bitcoin will continue to grow regardless.

[Sticky Bomb]

Holding Bitcoin doesn't strengthen the network

It does strengthen the network since the HOdler community of bitcoin is made up of those doing DCA like you and me and big enterprises lump summing at intervals like MSTR, even El Salvador buying 1 bitcoin everyday, among others. they hold by buying bitcoin and increasing their portfolio size.

If you can agree with me that those buying bitcoin strengthens the network, then you would include holders too since if they don't buy, they cannot hold.

[ancafe]

I don't know if I have sounded so pessimistic towards bitcoin. From the depth of my heart, I want bitcoin to gain more utility than it has, the reason I made this post to seek opinion if there are people actually thinking in this direction or the right way of thinking about bitcoin is only HODL.

If your assumption is involved in bitcoin to grow your financial ability to be better in the long term then the HODL step that is implemented by most people is a good decision. We believe that bitcoin has advantages as a store of value and this is why holding bitcoin can be a much better decision than using money in other sectors. When someone decides to HODL then the hope they want to achieve is the growth of the asset value in the long term but there are also other advantages that may make people not need to check the market all the time.

We know bitcoin is speculative but it is very much worth what we do, for example if you store bitcoin in a certain amount then the growth in the four-year cycle can develop well. This becomes the basic value in a short time but is much more optimal when its application can be much longer in the process of holding the bitcoin itself.

[Cryptmuster]

True, the potential is pretty high and that’s why we should keep holding bitcoin because it’s already a global asset. If there are many people see the value of bitcoin and the top tier narrative of digital gold, advanced congrats to them but for those who don’t see bitcoin’s power then I wish that you guys won’t regret it. With a fixed supply, it’s already immune to inflation and the greater advantage is no one can control it. As adoption grows globally, holding Bitcoin now could be one of the smartest financial decisions of this era.

But the risks still remain because Bitcoin is still a highly volatile asset. And if someone is not ready for the fact that the price can change a lot over several days or weeks then maybe it is better to choose a more stable asset like gold. Moreover I think that now when Bitcoin has become such an expensive asset it will no longer show the same level of profitability as in previous cycles. This is something you should pay attention to as well. And if you are looking for a coin that can make you very rich in a short time then most likely it is no longer Bitcoin. On the other hand Bitcoin is the most stable asset in the entire crypto market and if you do not want to take big risks you can just buy Bitcoin and hold it.

[fikrett]

Holding Bitcoin doesn't strengthen the network

It does strengthen the network since the HOdler community of bitcoin is made up of those doing DCA like you and me and big enterprises lump summing at intervals like MSTR, even El Salvador buying 1 bitcoin everyday, among others. they hold by buying bitcoin and increasing their portfolio size.

If you can agree with me that those buying bitcoin strengthens the network, then you would include holders too since if they don't buy, they cannot hold.

Retailers are the bread and butter of the community.

And as for now, they are as relevant as ever

[Leahized]

If everyone interested in Bitcoin only has to buy one time and hold, there will be less volatility since the market is controlled by buy and sell of investors and traders in the market. Without daily volume in Bitcoin, the price of Bitcoin will remain stagnant, it won't fluctuate because nobody is placing other to buy or sell, and the miners won't find any transactions to confirm.

We have been watching in the past a lot of Bitcoin folders who are currently selling it though it was foolish. I think not everyone will hold on because everyone just looks for profit. If you notice at the present time, you can see that the small trader has a lot of impact on the market and the new holders who see the new holders are wasted their head. Because the new holder Bitcoin Buy just wants to see the pump so when they see that the market is moving towards the recession, they hurriedly sell their holding Bitcoin. We should not lose faith in bitcoin, and our morale should be kept better, but the Bitcoin market is down but again Bitcoin should increase funds.
One thing should always be kept in mind that the Bitcoin Market will never be stable. Then we will be able to make the right profit at the right time.