"Volatility is Satoshi's gift to the faithful"

[Sunshine1525]

This post was inspired by Michael Saylor's speech that i noted from a clip where the talked about volatility and towards the end he noted that it's "Satoshi's gift to the faithful and that he gave us the opportunity to rise to the top of our profession". That's a fact, volatility always filters the weak holders and reward those who believe that holding longer and firmly is the best option.

Historical prove for confirmations that volatility is rewarding
2013: $1k - $200 - $20k
2017: $20k - $3k - $69k
2021: $69k - $15k - $73k
2025 till date: $126k - $90k - current price ($73k)

Some people especially traders see volatility as a curse, cause it leads to panic selling when the market is down and Fomo when there's increase but real time holders would always embrace volatility no matter how the market goes and that's how it's meant to be. People who intend to hold longer but are skeptical due to volatility should understand that it's a tool by Satoshi to create a balance in the market, since the number of Bitcoins created was limited, so instead of seeing it as a threat they should rather use it to their advantage.

How they can take advantage of volatility
Dollar Cost Average (DCA): most people sell when the market goes down so instead of joining them to panic you apply the DCA method to buy more whenever the market goes lower then continue with the normal amount you were DCAing with when it increases again. In a nutshell, when others are in their panic phase which mostly lead them to sell, that's when you accumulate aggressively if the discretionary funds is available for that.

[Futurexxx]

The earlier we all understand that volatility and decentralization is the main reason Bitcoin is different from our everyday fiat currency, the better. Because if not for volatility, how can it appreciate in value overtime?
How can we see an investment opportunity in it?
The best we can do is to use the volatility to our advantage, not by fighting against it, forgetting that it's one of the features that makes Bitcoin special.

[Lida93]

Historical prove for confirmations that volatility is rewarding
2013: $1k - $200 - $20k
2017: $20k - $3k - $69k
2021: $69k - $15k - $73k
2025 till date: $108k - $76k - current price ($73k)

I was expecting to see the 2025 ATH of bitcoin for 2025 in your records, which was "126,198" ATH till date. Or am I the one not understanding your record context?

Actually volatility is what has really kept the value of the bitcoin market and as an asset has attracted diverse institutions to adopt bitcoin as strategic reserve for a long years hodling since bitcoin has proven to be a hedge and save haven against inflation. Historically, the reward for being a bitcoin holder has always come with a strong long term accumulative holding, nothing short of that axiom.

[ruykeri]

Bitcoin price volatility is a gift that Satoshi gave us, but not everyone can accept it. Many people are not capable of accepting it. They are not able to acquire the ability to accept it economically and mentally. That is why they often suffer losses due to price volatility. Here, we have to gain economic capacity and also develop mental self-control over time. Bitcoin price changes over time. In that case, any decision made according to short-term price movements can be wrong and risky. We can understand that Bitcoin has always given good profits in the long term. Therefore, to take advantage of Bitcoin price volatility, we have to hold it for a long time. Which is possible by reducing the risk and managing the investment. And by doing DCA with discretionary income, the risk is reduced a lot. By forming a back-up fund, holding Bitcoin for a long time becomes more advantageous.

[Floczy]

You know the best approach in the existence of Bitcoin is to invest.

But look at the impact Bitcoin has made, look at how far Bitcoin has come. People want to accept Bitcoin as both short term and long term reward asset,
Or I'll put it this way "Bitcoin is too big for only long term engagement bro" they are also short term engagements thet people can still benefit from. Bitcoin was never meant for investment but people invest, Bitcoin was never meant for trading as well, be we all choose how we can benefit from it, some desire long term while some short term, and most people like ME and some other honestly want to invest Long term to build wealth but honestly wish we can also benefit from Bitcoin short term as well and make some money, but it's just volatility holding us back and we just choose to settle with long term to stay safe

So this volatility in the whole body of Bitcoin existence and the way individuals can benefit from it is good but at the same time is like a 1 edged sword, safe at one side and risky at the other,
Remember investing, trading, what so ever we do to make money or build wealth in Bitcoin was never the purpose of Bitcoin, we are just trying to benefit form it's growth and all, and short term engagements is still a way of benefiting from it, but volatility hold us back, that's why I consider it a 2 edged sword.

[hmbdofficial]

~snip
Some people especially traders see volatility as a curse, cause it leads to panic selling when the market is down and Fomo when there's increase but real time holders would always embrace volatility no matter how the market goes and that's how it's meant to be. People who intend to hold longer but are skeptical due to volatility should understand that it's a tool by Satoshi to create a balance in the market, since the number of Bitcoins created was limited, so instead of seeing it as a threat they should rather use it to their advantage.

The part I bold is not so true about the trader though,  if not for volatility of the bitcoin you will not even see those traders around bitcoin trying to trade it. But because they know it’s volatile they could easily predict the next move by doing some fundamental analysis and also looking at the history chart.
It’s not the traders that get panicked easily and sell off but rather the weak mind who don’t really understand the concept behind bitcoin and how it has been. Traders most time take advantage of those slight fluctuations to even gain profit on a particular time frame.

[Ashawowo(OS)]

Some people especially traders see volatility as a curse, cause it leads to panic selling when the market is down and Fomo when there's increase but real time holders would always embrace volatility no matter how the market goes and that's how it's meant to be. People who intend to hold longer but are skeptical due to volatility should understand that it's a tool by Satoshi to create a balance in the market, since the number of Bitcoins created was limited, so instead of seeing it as a threat they should rather use it to their advantage.

Volatility is a big gift to the community, to me it reflects the decentralization in bitcoin since it is not controlled by a set of people nor the government which would manipulate the price constantly to their advantage just like they do with fiat, but it is a reflection of the action of investors and traders alike in the markets. Bitcoin halving contributes a lot because the law of scarcity plays its role in the volatility and when there is lesser amounts minted, it triggers a reduction in the quantity in circulation and BTC becomes more scarce, and the prices naturally tends to go high.

How they can take advantage of volatility
Dollar Cost Average (DCA): most people sell when the market goes down so instead of joining them to panic you apply the DCA method to buy more whenever the market goes lower then continue with the normal amount you were DCAing with when it increases again. In a nutshell, when others are in their panic phase which mostly lead them to sell, that's when you accumulate aggressively if the discretionary funds is available for that.

I believe the best way to take advantage of volatility is to buy when the prices goes crashing, so you can get more quantities at a cheaper price. Although it might not be the best approach for a new investor, but it is surely the best way to take advantage of the volatile markets and bag more BTC.

[Sunshine1525]

Historical prove for confirmations that volatility is rewarding
2013: $1k - $200 - $20k
2017: $20k - $3k - $69k
2021: $69k - $15k - $73k
2025 till date: $108k - $76k - current price ($73k)

I was expecting to see the 2025 ATH of bitcoin for 2025 in your records, which was "126,198" ATH till date. Or am I the one not understanding your record context?

Oh, you're right i skipped the current ATH, should've started 2025 prove with the ATH ($126k) which happened around Oct 2026 so I'll have to edit my post, thanks for the correction and please don't misunderstand me, I'll have to make the correction ASAP so it doesn't cause future confusions.

[Agbamoni]

You know the best approach in the existence of Bitcoin is to invest.

Volatility is important to a bitcoiner, whether he is a trader or an investor. Both traders and investors are profitable, though it does not mean that all traders and investors are profitable. To be profitable in each one of them, you have to follow the right approach for either investing or trading. Or else it wont be profitable.

Volatility rewards traders in the short term, while it rewards investors in the long term. Every bitcoiner must choose where they belong and what aligns with their goal.

[Fivestar4everMVP]

Some people especially traders see volatility as a curse, cause it leads to panic selling when the market is down and Fomo when there's increase but real time holders would always embrace volatility no matter how the market goes and that's how it's meant to be. People who intend to hold longer but are skeptical due to volatility should understand that it's a tool by Satoshi to create a balance in the market, since the number of Bitcoins created was limited, so instead of seeing it as a threat they should rather use it to their advantage.

As much as I agree with all that you have said, I disagree with the part you said that volatility is a gift from Satoshi.
I will love to ask how is volatility a gift from Satoshi? Was volatility coded into bitcoin's source code?, like was or is there a special line of codes that is the reason why the price of bitcoin is unstable?

I do not think any of such code exists, and so long as such code does not exist, it simply means that volatility is simply a natural feature that came with bitcoin and crypto currencies in general based on some factors which includes :
1. The way they are designed
2. Available liquidity and trading volume in the market.

You will agree with me that with the way crypto currencies are designed, level of available liquidity and how much a crypto asset is being traded can have a significant effect on its price volatility, what this means is that a time is actually coming when the price of bitcoin will become relatively more stable than it moves up and down, that is, when liquidity become super abundant that some one can sell or buy bitcoins worth $50 billion dollars and the price of the asset won't move due to excess liquidity to absorb the effect of such huge sell or buy trade.

So in the nutshell, volatility is not a gift from Satoshi, it's a natural part of bitcoin that exists due to limited liquidity in the market.

[Tetu100]

Actually volatility is what has really kept the value of the bitcoin market and as an asset has attracted diverse institutions to adopt bitcoin as strategic reserve for a long years hodling since bitcoin has proven to be a hedge and save haven against inflation. Historically, the reward for being a bitcoin holder has always come with a strong long term accumulative holding, nothing short of that axiom.

That is the fact brotherly. Volatility is part of one the important potential that has made bitcoin special and unique from every other alt coin in the crypto space. Furthermore, it's the reason why bitcoin is being seen more as an opportunity to every investor that has invested in it, because of the volatility nature it pocesses and if you're used to it you won't see it as a problem but rather and opportunity to get what you want in your investment plan.

[IjawMan]

,,,

So in the nutshell, volatility is not a gift from Satoshi, it's a natural part of bitcoin that exists due to limited liquidity in the market.

There is no how volatility is encoded in codes, no, that is incorrect for anyone to mention and I do think that is not what the op do means. With Satoshi creating a coin with demand and supply that  rally around volatility to determine price of Bitcoin at different periods it  makes the market decisive of Bitcoin's value.

We are fully aware of the high demand and limited supply of bitcoin in the market causing scarcity with that growing demand.

I can agree with you that volatility is natural for the asset and Bitcoin is coded to be  decentralize and float by demand and supply. But gold and other assets in the market are volatile with no limited supply?

[Sunshine1525]

As much as I agree with all that you have said, I disagree with the part you said that volatility is a gift from Satoshi.
I will love to ask how is volatility a gift from Satoshi? Was volatility coded into bitcoin's source code?, like was or is there a special line of codes that is the reason why the price of bitcoin is unstable?

Yes volatility is a gift by Satoshi and I dropped the prove but you failed to get the picture and understand better, volatility might not be directly coded into Bitcoin source but the reward from volatility is based on timing. Do not forget that volatility exist because of demand and supply which is due to the coded 21m fixed Bitcoin supply to meet demands.

Maybe you're wiser than Saylor who knows, however so because volatility wasn't embedded in the Bitcoins code you think that statement is false? Let me burst your bubbles, what is the driving force of Bitcoin if not demand and supply. Here's another point, for Satoshi to create a limited supply of coins it means he's aware it would make Bitcoin volatile and probably become an asset in future which it is now (was there anything like Bitcoin becoming and asset in the code)?