We hope that bitcoin is more actively used not only for see in the wallet, if bitcoin is only stored then this is speculation that can make the price fall at any time in a short time,
Removing coins from the market makes the coins still in the market move valuable because the supply is limited. So price would rise and not fall.
Now spending bitcoin is a choice depending on whether the owner has access to bitcoin-accepting merchants or not. Most countries do not have such merchants, mind you. Hence we are currently not seeing what would actually happen once this becomes more mainstream.
different if bitcoin is actively used it will be stable and increasingly encourage many countries to accept bitcoin.
I think acceptance comes first before usage but acceptance catalysing more usage seems understandable too but that happens after sometime.
The basic flaw in the OP is that we compare bitcoin to a fiat. We never consider a doughnut to be priced at 10sats but always with fiat like 1.2USD or something. (random numbers, not basing on conversion rate.)