Quote from: neurotypical on April 13, 2015, 09:34:09 PM

Quote from: Wings1987 on April 13, 2015, 06:24:50 PM

Quote from: stonerider on April 13, 2015, 06:13:42 PM

Bitcoin is a permanently inflating commodity. The longer you hold it, the less valuable it comes.

Would you like to explain yourself?

It makes no sense. What he said is basically the total opposite of reality, as time will show.

Bitcoin is still in its temporary inflation phase since the supply continues to grow and will do so for the next several decades. However, the rate of new coin generation will decrease to the point where it becomes insignificant much earlier than this (e.g. 90 percent of the total coin supply will be mined by 2022). It's not "permanently inflating" and it won't become less valuable the longer you hold it so stonerider is wrong on these points. The price is determined by demand vs. supply and while the supply might be somewhat predictable, the demand is definitely unpredictable and could be higher or lower in the future.

Quote from: micky123 on April 14, 2015, 01:56:16 AM

Volatility can only be good for day traders, guys looking to make a fast buck but who are not really concerned about the long term benefits of Bitcoin. In the process day traders actually harm Bitcoin by driving volatility and scaring away people who may be interested to get in on the Bitcoin action. Day traders are a scourge on Bicoin as they are selfishly motivated towards making a quick buck!

That's one way of looking at it. Another way of looking at it is that day traders tend to rely on technical analysis which is a self-fulfilling prophecy where prices only respond to technical trends because traders believe they will. Typical support/resistance and overbought/oversold strategies tend to stabilize the price in the short term but any breakouts tend to be amplified (especially with margin trading and short selling) hence increasing volatility in the medium or long term.