I've been thinking about why people use Bitcoin a bit lately and its long-term potential. It used to be touted as an alternative to fiat currency, and in fact, the future of currency. Now it seems that people are talking about Bitcoin more as a store of value - a place to keep your money safe that is not a bank or an institution. I know a lot of us invest in Bitcoin more for the perceived increase in value; basically, a lot of us want to get rich.
Here's my question: Would you still continue to move your fiat currency to Bitcoin if it topped out at around USD$5000 and you KNEW it would not go higher, but you also KNEW it would not dip in value? Maybe we could assume it would rise with inflation. If this were the case would you be more or less likely to move your money to Bitcoin?
I currently exchange bitcoins with fiat currency because I want to move my stock to the world of plantation industry, which has a clear future for the long term.
The scenario given was very hypothetical, but is impossible due to bitcoin's volatile and decentralized nature. But if that were the case, then I see no reason for me to buy bitcoins anymore because bank investments would be more superior and safer option if bitcoin's price were to be stable. One of the reasons on why people invest into bitcoin is because they want to take advantage of its volatility, which in return, can yield them profit in long term investments. Like the example given, he sees bitcoin as an alternative payment for his future plans by investing in it.