Other reasons why increased adoption does not necessarily mean increased price:
- Fractional-reserve banking. If you believe that Bitcoin is immune to fractional-reserve banking, you are being naive.
- Bitcoins, and other crypto-currencies and crypto-assets are much more efficient to transfer. For the same amount of economic activity, many fewer bitcoins are needed. The demand as a result of increased adoption would not be as high as you think. Especially with the huge overhang of hoarding that we have now.
could you elaborate on fractional reserve banking for me please?
I know what fractional reserve banking is. I mean how do you think it relates to bitcoin?
I think fractional reserve banking - which in simple words mean banks lend you lots of $$$$ but have only $ in their reserves - is related to
BTC because the banking system relies on money that doesn't exist whilst the
BTC doesn't allow you to go overdraft.
That's why as the person above me said it's much more difficult to transfer same amount of cash in
BTC whilst with a bank you can simply use your "credit".