people hold bitcoin because it believes the price will continue to increase more than the current price
That is true. That is why a lot of people are now holding and keep buying bitcoin despite of its price because of the belief that the price of bitcoin will go even higher in the future and for me, that is really true that the price will go up even more in the future. If i were you, i will just accumulate and hold bitcoin for long term so i can sell it for at least 20,000 USD market's price.
People are not dumb they can see that if you invest in bitcoin that you can get a lot of money from it back. So thats why are more users beginning to use bitcoin every day.
I had invested when bitcoin was 3k but now I am losing money because its falling now.