Somehow you have to provide evidence that increased adoption, the benefits of increased awareness, the benefits of increased popularity, and all the benefits of a big site like Overstock accepting bitcoin, still somehow is completely nullified by the fact that they cash out to USD. I don't think its possible to make that claim.
And the price of Bitcoin sure did not go down today, on the first day of Overstock accepting Bitcoin.
Even if we don't pay with bitcoin on overstock, bitcoin still get the all the benefits you mentioned at the beginning of your post.
People are free to use bitcoin however they want to, I am not stopping anyone, but it makes more sense to use a credit card on Overstock knowing they are going to dump the coins to settle in fiat anyways.
If I know a merchant is holding onto bitcoin, and truly accepting it as a currency, then spending my Bitcoin there makes more sense. At least I know it won't be immediately sold for fiat driving the price down. This is my point.
You do seem to be saying "Everybody hold so I can dump mine at a ridiculous price"
I didn't say anything about dumping my coins. Sounds like your trying to put words in my mouth.