Yes, I consider this as a central problem for Bitcoin and gold standard. If "Bitcoin itself simply becomes more valuable", everything else becomes not that simple for producers in the first place, and you won't get away with it by just saying "and everyone moves on with their day". It has already been proven so many times that if you claim otherwise, it can be considered that you don't actually understand the issue at hand...
http://www.bloomberg.com/news/2013-04-03/the-gold-standard-wasn-t-so-bad.htmlThe gold standard wasn't bad for growth, either. The most reliable information comes from an annual index of industrial production from 1790 to 1915. We can compare that index against the monthly industrial production data collected by the Federal Reserve since 1919 to get a sense of how rapidly the economy grew under different monetary arrangements. It turns out that industrial production grew much more rapidly under the gold standard than in the years since. This doesn't change even if you exclude the world wars and the Great Depression.
It has a very simple explanation. The rapid economic growth and ever increasing industrial production of the 19th century was due to tremendous scientific and technological advances (electricity, chemistry, internal combustion engine, etc) back then which partly compensated for the deficiencies of gold standard but still couldn't prevent the train of economic crises in the second half of that century as well as the war in Europe and the Great Depression in the 20th century...