Doing a new video, could use your feedback… https://twitter.com/marcfalzon/status/1508417896111915018?s=21&t=gFlNdzT6_QnNVr_ekOmC0Q

Question

Bitcoin Cash (BCH)

Marc Falzon

Doing a new video, could use your feedback… https://twitter.com/marcfalzon/status/1508417896111915018?s=21&t=gFlNdzT6_QnNVr_ekOmC0Q

#bch #bitcoincash #cryptocurrency #english

0

28.03.2022

2 ответов

6 просмотров

Powell Quesne

Max
Replying here since Twitter has restricted charact...

Two sticking points with your analysis: 1. 'Stablecoins' don't have to be pegged to fiat. 2. Increased adoption will increase both buying and selling. The important thing is that adoption increase faster on BCH than on other cryptocurrencies; if it increases at the same pace as the crypto market as a whole, it will probably not result in a significantly greater price for BCH, because people will sell BCH for other opportunities in crypto as much as they would go the other way. So to increase price through adoption, the goal must be not just fast adoption, but faster adoption than everyone else.

0

29.03.2022

Max · Accepted Answer

Replying here since Twitter has restricted character limits. Price volatility is a concern when it comes to holding onto a cryptocurrency. In a bull market price volatility is great because the price is going up. In a bear market price volatility sucks because price is going down. Merchants do not like price volatility because they have expenses to pay for so they instantly sell any cryptocurrency they accept into fiat or stablecoin. When merchants begin to start paying employees and their suppliers with BCH then it will close this economic loop. And when the network effect gets large enough items may be priced in BCH. Stablecoins suck in the long term because they also lose their value overtime since they are paired with inflationary fiat currency's. But merchants don't mind this because the decrease in value happpens at a much slower and steady pace. Not 40% drops in a day lol. Fixed supply cryptocurrencies will be incredibly useful for consumers to save their wealth with. Over the long term they will hold or gain in value overtime. Also we need to understand what determines an assets price. Supply and Demand or capital inflow minus capital outflow. If more money is buying an asset and less are selling price goes up. We should also understand that the current cryptocurrency market is quite irrational. The reason why there is so much price volatility is because the market is illiquid and investors are following hype, fomo and marketing instead of focusing on fundamentals when investing. Think of this as the 90s dot com bubble. The market is behaving incredibly irrational. I think it is a well agreed upon fact. We should also be aware that while tiny countries like St. Kitts have adopted cryptocurrency, globally speaking it doesn't amount to much in terms of capital inflow. Michael Saylor pumping billions of dollars into BTC vs. maybe a couple million dollars going into BCH at most from the St. Kitts adoption. When people start to adopt cryptocurrency world wide think tens of millions of people and merchants begin paying suppliers and employees with BCH we will see price rise dramatically. As there will be less selling and more buying.

209 похожих чатов

Doing a new video, could use your feedback… https://twitter.com/marcfalzon/status/1508417896111915018?s=21&t=gFlNdzT6_QnNVr_ekOmC0Q

2 ответов

Похожие вопросы