Is bitcoin too volatile?

[camoflash]

Bit coin is now rather stable. Smart investors can actually make nice profits trading bitcoin daily as it generally tends to chchange at a rate of 1 to 5 % daily as seen on btc e. But I would say that the price will be dropping as less people are saving it and more people using it for daily real life transaction.

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[panju1]

Bit coin is now rather stable. Smart investors can actually make nice profits trading bitcoin daily as it generally tends to chchange at a rate of 1 to 5 % daily as seen on btc e. But I would say that the price will be dropping as less people are saving it and more people using it for daily real life transaction.

While the price hasn't moved much in the last one month, daily volatility can be high compared to other asset classes. As you say, this is one reason why traders are able to make reasonable profits on Bitcoin.

[MemoryShock]

Think of the price in relation to the psychology of any given person.  And then realize that there are many different ideologies and perspectives contained within 'any given person'.  We have ultra conservatives to ultra liberals and then a whole bunch of people who follow the mainstream examples of either.

The ultra liberals won with the price rise of 2013...and the ultra conservatives won with regulation talks of 2014.  If Bitcoin can survive hardcore regulation in the short term then it will be exposed to people on an increasing basis over the next several years...and adoption grows.

Or not.

Yeah...it is volatile and should be treated as a speculative rather than a fungible.  But that is exactly what we need for it to stabilize...people need to be excited about it in order for them to learn the fundamentals.  From there...people will begin to see the obvious benefits...

[Eastwind]

Bit coin is now rather stable. Smart investors can actually make nice profits trading bitcoin daily as it generally tends to chchange at a rate of 1 to 5 % daily as seen on btc e. But I would say that the price will be dropping as less people are saving it and more people using it for daily real life transaction.

While the price hasn't moved much in the last one month, daily volatility can be high compared to other asset classes. As you say, this is one reason why traders are able to make reasonable profits on Bitcoin.

It is relatively stable.

[resya]

I think this time bitcoin very volatile compared with the beginning of 2014, I do not whether this is due to the celebration of Christmas is almost near, plus New Year celebrations, maybe now people in desperate need of fiat money to fulfill the needs of christmas and new year, I hope bitcoin prices will return to normal as the beginning of 2014, hopefully ... 

I understand what happened last christmas but this christmas is different. you cant compare 2 years to be exact. The variables are different.

[bigadam0101]

I don't think that BTC will completeley replace fiats. It can become equal to them but not totaly replace them.

My mother was talking like that 20 years ago about credit cards and today she almost don't use cash. 

[mindrust]

Yes it is and it is killing btc slowly day by day.

[mindrust]

I don't think that BTC will completeley replace fiats. It can become equal to them but not totaly replace them.

My mother was talking like that 20 years ago about credit cards and today she almost don't use cash. 

Thats a different thing. You still use your fiat while you're using cards. The payment is instant. No volatility too.

[bigadam0101]

I don't think that BTC will completeley replace fiats. It can become equal to them but not totaly replace them.

My mother was talking like that 20 years ago about credit cards and today she almost don't use cash. 

Thats a different thing. You still use your fiat while you're using cards. The payment is instant. No volatility too.

Ok. But who said that after next 20 years we will have to use paper money? maybe that will be plastic or some cheap metal.. or just chip in your finger 

[mindrust]

I don't think that BTC will completeley replace fiats. It can become equal to them but not totaly replace them.

My mother was talking like that 20 years ago about credit cards and today she almost don't use cash.  

Thats a different thing. You still use your fiat while you're using cards. The payment is instant. No volatility too.

Ok. But who said that after next 20 years we will have to use paper money? maybe that will be plastic or some cheap metal.. or just chip in your finger  

Without solving the volatility issue bitcoin is going nowhere. Which seems impossible for now. Btc will be a bears and whales toy while it is dat volatile.

[bigadam0101]

I don't think that BTC will completeley replace fiats. It can become equal to them but not totaly replace them.

My mother was talking like that 20 years ago about credit cards and today she almost don't use cash.  

Thats a different thing. You still use your fiat while you're using cards. The payment is instant. No volatility too.

Ok. But who said that after next 20 years we will have to use paper money? maybe that will be plastic or some cheap metal.. or just chip in your finger  

Without solving the volatility issue bitcoin is going nowhere. Which seems impossible for now. Btc will be a bears and whales toy while it is dat volatile.

In New York they says that cryptocurrecies are intangible property - so we can use them in barter transactions:

http://cointelegraph.com/news/113075/new-york-state-bitcoin-is-intangible-property-

The game begins 

[sdmathis]

Yes it is and it is killing btc slowly day by day.

I completely agree. With it's current volatility, bitcoin will never be widely accepted as a currency. I would never accept bitcoin from my employer as my monthly pay until I can be sure that what I am paid today will be worth the same tomorrow and the next day. If I wanted such volatility and uncertainty in a primary currency, I'd move to a third world nation. Most people feel the same as I do in this regard.

[botany]

Yes it is and it is killing btc slowly day by day.

I completely agree. With it's current volatility, bitcoin will never be widely accepted as a currency. I would never accept bitcoin from my employer as my monthly pay until I can be sure that what I am paid today will be worth the same tomorrow and the next day. If I wanted such volatility and uncertainty in a primary currency, I'd move to a third world nation. Most people feel the same as I do in this regard.

Bitcoin is still in its infancy stage. I would say wait till its market cap becomes so high that it would be impossible for large players to move the market.
Then you can accept your wages in Bitcoin.

[Eastwind]

Yes it is and it is killing btc slowly day by day.

I completely agree. With it's current volatility, bitcoin will never be widely accepted as a currency. I would never accept bitcoin from my employer as my monthly pay until I can be sure that what I am paid today will be worth the same tomorrow and the next day. If I wanted such volatility and uncertainty in a primary currency, I'd move to a third world nation. Most people feel the same as I do in this regard.

Bitcoin is still in its infancy stage. I would say wait till its market cap becomes so high that it would be impossible for large players to move the market.
Then you can accept your wages in Bitcoin.

It will take some time to be less volatile.

[kinnu]

Yes it is volatile I have seen many up and downs of bitcoin but in long run it is bullish.

[Wendigo]

Bitcoins in my honest opinion are too volatile at the moment and people view them more as stocks than actual currency but with time this will change when they become more popular and accepted worldwide.

[Razick]

Volatility is a problem. I helped my friend buy an $800 PC the other day from Dell. I really wanted to use Bitcoin, but I didn't have quite enough on hand. The current price trend means I would probably lose 10% or so during the 3-5 days the bank transfer would take if I bought some. So... I used a credit card.

[dinofelis]

Volatility is a problem. I helped my friend buy an $800 PC the other day from Dell. I really wanted to use Bitcoin, but I didn't have quite enough on hand. The current price trend means I would probably lose 10% or so during the 3-5 days the bank transfer would take if I bought some. So... I used a credit card.

Yes.  It is a catch-22.  Volatility will remain until there is wide-spread adoption (once you have bitcoin prices for goods in your mind, there is the "stickiness of prices" that helps against volatility), and wide-spread adoption is hampered by volatility.

All this will take time...

[bitcon]

the funny thing about volatility is that you never see anyone complaining about it when the direction is up.

[Razick]

the funny thing about volatility is that you never see anyone complaining about it when the direction is up.

Because then there is less risk to holding it.