One other way to know that Bitcoin is deflationary

[Ucy]

Some people assume that since bitcoins are still mined, and the supply is increasing rather than decreasing it's right to say that Bitcoin is inflationary, but we have to consider the fact that when we say it's deflationary, we actually mean the number of bitcoins that will be mined keep decreasing. We aren't referring to increase in supply of bitcoins.

Another way to measure deflation is to track the future price of products/services priced in Bitcoin. I believe that things priced in Bitcoin will keep decreasing in price as the price of Bitcoin increases in the future. For example if a female sheep is priced 0.0015 BTC (let say that's $100 at current rate) , and Bitcoin dollar price doubles in 1-2years, the price of the sheep, if maintained at $100, will decrease to 0.00075. But if the dollar price of the sheep is slightly increased to maybe $150, it will still be below what it was worth in Bitcoin 1-2 years ago.
So, it's very likely that products/services will experience continuous deflation as price of Bitcoin keeps increasing, This is one of the ways to know that Bitcoin is deflationary

[_act_]

Some people assume that since bitcoins are still mined, and the supply is increasing rather than increasing it's right to say that Bitcoin is inflationary, but we have to consider the fact that when we say it's deflationary, we actually mean the number of bitcoins mined keep decreasing. We aren't referring to increase in supply of bitcoins.

This is correct, but the main reason bitcoin is deflationary are two things and they are bitcoin having a supply of just 21 million BTC which is limited and the second reason is because bitcoin has value/demand. People see bitcoin to be a store of value and they are demanding for it which helps in its adoption.

[Mhizlove]

I will say that another reason why people do see bitcoin as deflationary is because it's supply growth is becoming smaller by the day. Even though new coins is still adding to supply, the rate in which they're coming out is not as the same as before. However, whether goods becomes cheaper bitcoin terms still on adoption and demand. If alot of people begins to hold and value bitcoin, it can increase the purchase power with time, but the market demands still do plays a bigger role in that outcome or process.

[safar1980]

According to Glassnode data, approximately 3 million bitcoins are held on exchanges. To prevent the Bitcoin price from dropping by 50%, only a few million coins would need to be bought up from the exchanges. If you run the numbers, the amount required to trigger a liquidity crisis on the exchanges isn't actually that large.

[mu_enrico]

It's not inflationary (people call it disinflationary) if the 21M supply is reached, but now, yeah, we can say it is inflationary since new coins are being mined.

But it's deflationary as well if we assume some coins will be lost and unrecoverable. However, this effect is no longer as big as people learn to secure their assets, so cases of lost private keys are rarer nowadays. However, the dust or very little BTC on many addresses is unrecoverable, and this still happens from time to time. So, we don't need to look at the price to know that Bitcoin is theoretically disinflationary and practically deflationary.