Bitcoin Value

[Ravious]

Im new to bitcoin. I know the market fell last year but will the value of bitcoins start to rise again? And will bitcoins ever run out?

[bitlizard]

total bitcoin production is capped at 21 million, we are presently close to 9 million in supply and production is around 50 bitcoin every 10 minutes, but will be reduced to 25 every 10 minutes in the fall of this year. If the demand for bitcoin is greater than the supply than the price will rise, depending the scale of demand the price of a single bitcoin to rise into the thousands of dollars range or go beyond.

[Ravious]

How is it capped. Has the inventor set a limit or something? Sorry I am new to this.

[the joint]

Im new to bitcoin. I know the market fell last year but will the value of bitcoins start to rise again? And will bitcoins ever run out?

Welcome

[Ravious]

Thanks!

[RodeoX]

How is it capped. Has the inventor set a limit or something? Sorry I am new to this.

The number of bitcoins produced is set in the code of the software. There will never be more than 21 million. And welcome fellow peer!

[Helpcoin]

Im new to bitcoin. I know the market fell last year but will the value of bitcoins start to rise again? And will bitcoins ever run out?

The value of Bitcoin is based on a score of variables, the market fell because of a speculation bubble. The current value is thought to be much more representative of the real worth of a Bitcoin. As more services appear and Bitcoin becomes more appealing to the public, the value should rise.

[Jurema]

I just hope they don't start shooting up and down in value like they did..

[kokjo]

I just hope they don't start shooting up and down in value like they did..

oh it will. up and down many times...

[Jurema]

I just hope they don't start shooting up and down in value like they did..

oh it will. up and down many times...

You think so? When do you think we can start to see this?
And what a the major things that cause this to happen?

[wachtwoord]

Every market does.

Example, the Dow http://finance.yahoo.com/q/bc?s=^DJI+Basic+Chart&t=my

[kokjo]

I just hope they don't start shooting up and down in value like they did..

oh it will. up and down many times...

You think so? When do you think we can start to see this?
And what a the major things that cause this to happen?

i think so. it will happen at "sometime"
about the next major thing, well i don't know.

but if you look at this(http://bitcoincharts.com/charts/mtgoxUSD#igDailyztgCzm1g10zm2g25zvzl), bitcoin have been stable and boring at least 3 times before this time, around SEP 10, MAR 11, JUL 11.

[arby]

theoretically, the demand for BTC will increase, because of so many new services available.

also, theoretically, the offer of BTC will decrease, as there is only a limited quantity of them around.

i believe as the deadline of 21 million will come closer, the value of the BTC will increase.

[penguinlust]

theoretically, the demand for BTC will increase, because of so many new services available.

also, theoretically, the offer of BTC will decrease, as there is only a limited quantity of them around.

i believe as the deadline of 21 million will come closer, the value of the BTC will increase.

But, if the market for trading in bitcoins matures, banking with balances denominated in bitcoins will likely become available. In that case, why couldn't the supply of bitcoin-denominated money expand?

[Nicotinefreek]

How is it capped. Has the inventor set a limit or something? Sorry I am new to this.

The number of bitcoins produced is set in the code of the software. There will never be more than 21 million. And welcome fellow peer!

I can see the difference between bitcoins and real physical currency being the cap. Had no idea about this until i read this post. Does not surprise me that there would be a cap.

[btcfan]

total bitcoin production is capped at 21 million, we are presently close to 9 million in supply and production is around 50 bitcoin every 10 minutes, but will be reduced to 25 every 10 minutes in the fall of this year. If the demand for bitcoin is greater than the supply than the price will rise, depending the scale of demand the price of a single bitcoin to rise into the thousands of dollars range or go beyond.

total bitcoin production is capped at 21 million. How about the bitcoin that are lost forever. For example, the wallet file is gone or collapse. The portion of bitcoin will nerver shown up again.
I think bitcoins should be generated on a stable rate instead of giving it a cap.

[redwraith]

Giving it a cap gives it value.

[jack daniels]

When re reach this cap on btc. That will help the btc finally stable in price? Another thing i don't understand is how btc isn't backed by any form of metal or anything physical. That's what i love about this wonderful revolutionary currency.

[arby]

Yes, the cap is very important.

I look at bitcoin as I look at gold, there is only a LIMITED quantity of it. Some people look at it as real money, that is wrong. Also, unlike gold, where maybe someone may discover some gold made mountain on some planet, or someone will make a perfect replica of it, you can not find more bitcoins, there are 21 million in total, and thats it.
Also, real money is easy to print (see USD), or make more of them with a touch of a button (see credit cards), bitcoins you can not, you need to work with what you have.

I believe, when the cap approaches, people will become more and more desperate to get their hands on it, like they did with gold.

Of course, the bitcoin could crash under special conditions, for example, there are some people that consider it dangerous, and want it banned. Or maybe one day, everybody decides that they dont want to use bitcoin anymore, etc.

[payb.tc]

theoretically, the demand for BTC will increase, because of so many new services available.

also, theoretically, the offer of BTC will decrease, as there is only a limited quantity of them around.

i believe as the deadline of 21 million will come closer, the value of the BTC will increase.

But, if the market for trading in bitcoins matures, banking with balances denominated in bitcoins will likely become available. In that case, why couldn't the supply of bitcoin-denominated money expand?

i think the bitcoin-denominated money supply will continue to expand well beyond the 21 million bitcoins, but that doesn't make the cap any less important.