Post
Topic
Board Economics
Re: Bitcoin trading strategy
by
Dotakels
on 13/06/2015, 05:34:00 UTC
To be honest, marketcap has less thing to do with trading anyway. It is not about the marketcap will grow few years later or the value will increase after the halving or whatsoever but it is about the movement of the price, the fluctuation of each price .

Even if BTC value were to fall into 1 cent / BTC if there is still a movement in this then BTC is worth to be used for trading , however even if we see $1000 / BTC but if the value is constant without any movement at all then it cant be traded at all (unless someone or few people manipulate it to make it looks fluctuative)
But if the value of bitcoin will drop in cents. Many users will not using bitcoin because of its value and many will disappoint when its happened.

It is not about the value or the usage of BTC to begin with. It doesnt actually important in trading, whats important is the movement of it and that is where trader got its profit and not about millions of people to use it. Of course it will be useless for trader if there isnt any movement eventhough millions of people use it or the mass adoption is happening though

Why would you not want to use it if the value were to fall into cents (which is unlikely) ? The feature as well as the technology stays the same even if the value gonna drop in the future anyway. BTC is still BTC despite the value drop or crash but ofcourse most people will jump out of the sinking ship

But if you will notice that people want more money and they not contended on what they have or how much they can earn. They want more and they don't like a small value for a long time.

Ofcourse having a higher value will benefit trader more and would attract more people into it which in this case every movement would net a higher profit for traderif you would compare it to cents but my point would be that even if the value were to drop, the technology stands.
The reality is that most people are only tied to its value, when the value drop then most people will assume that it is dead .Most people are not even aware of this but the true value of BTC were in its technology and also its decentralized principle
Yeah you can say that the value of bitcoin is low but if you keep it from your wallet and wait the value of bitcoin will go high so that you can't say that bitcoin is dead or its worthless


I think arallmuus is saying that it's the volatility in the price that attracts traders.  Investors in bitcoin may want more value and a higher price, but I would think traders are just making a bet on the direction the price is going to go in the future.
But it still the value of the bitcoin, take note value and price are not the same. Value is the importance of bitcoin and the price is how much bitcoin is . So you mean say that they want a high price, if they want a high price they should wait for that time.