There will be a fixed number if Bitcoins, and people, because of human error, will accidentally lose Bitcoins every now and then.
This must mean that Bitcoin will eventually seize to exist? Or at least shrink to minimal amounts, when it shrinks to a certain level, it will no longer be useful.
Is this correct?
Bitcoin will eventually die if people will stop using and participating to it. Bitcoin will lose it values if no one dares to possess and use it for bussinesses and transactions but I doubt it will happen to soon for a reason that people nowadays are so into it and bitcoin is somehow mainstream in other places. In order for it to stay, we must keep on supporting it.