/biz/ - Business & Finance

I really don't get this point. Why is shaking out "weak hands" a good thing? Why are they preventing a moon?

People need to stop investing in a currency. A currency is for buying shit, not speculating. Bitcoin should be spent as fast as possible to get it into circulation, not HODL'ed by NEET Gamblers.

>>10014061
Only a Keynesian cares about money velocity anon. There's nothing wrong with holding onto currency and not spending. The problem with our national currencies is they incentivize extreme consumerism and debt because they slowly lose their purchasing power. With a deflationary system like bitcoin, you are incentivized to keep your money in savings and only purchase things when you absolutely need to. Hopefully we switch to a deflationary solution so that the average person, particularly Americans, won't be enslaved by debt and the banking system.

>>10014061

Because they want you to be a wagecuck.

>>10014061
they don't want to buy people's bags at 15k, they want to force people who bought that high to liquidate their bags in order to pay living expenses

>MFW I know the weak hands are the ones holding out hope that the weak hands are finally shaken off.

The people with hands of iron, the ones that will be rich, are the ones who are willing to hold all the way to $0

>>10014524
Who isn't a Keynesian in this day and age? Also that's wrong - people will care about money velocity and purchasing power only with extent to expectations. If people expect purchasing power to decrease, they will demand higher wages and banks will demand higher interest rates.

Crucially, what makes a difference is when people expect a differing level of inflation to what it actually is.

People should be keeping their savings in productive enterprises, not some barbarous fixed amount commodity. The present banking system does this well since all money is ulitmately backed by loans borrowed by (in theory) productive enterprises. This means dollars and pounds have real backing.

>>10014636
>some barbarous fixed amount commodity
kind of like gold? not really fixed, but still

>>10014524
>incentivize extreme consumerism and debt because they slowly lose their purchasing power. With a deflationary system like bitcoin, you are incentivized to keep your money

but youre dumb anon, having money makes money through investment. deflationary currencies disincentivize investment. keeping your money is a bad thing. deflationary currency stagnates the economy because nobody wants to spend anything. what good is money if nobody buys anything? money is meant to value goods and services. nobody will buy a jug of milk with bitcoin knowing that it will cost them less tomorrow.

>>10013854
Where are the sellers getting all this Bitcoin from?

>>10013854
THIS IS THE FINAL SHAKEOUT, WE GET RID OF WEAK HANDS!

also, just curious... what's wrong with a zero inflation target? yeah, you lose some economic stimulus, but it seems our current system leans towards too much risk, leading to severe boom-bust debt cycles.

>>10014785
>thinking people would rather starve to death than spend their appreciating currency

>>10014807
They are the miners, the ones having to pay back finance for the rig and pay the electric bill everytime the price drops they have to sell more of their work to make payments. So the price goes down they continue doing this until they go under.. Ghash

>>10014061
bitcoin is a store of wealth, not a currency.
it's true the purpose it fulfills isn't exactly what satoshi described in his whitepaper, but is pretty damn close.

his goal was making sure a 7000 billion dollar bailout given to investment bankers by the gov by inflating the usd cannot happen again. bitcoin will fulfill this goal and govts wont be able to hidden-tax their people by inflating currency.

>>10014785
ur retarded. if deflation stagnated the economy and made noone want to buy anything, noone would be buying pretty much any piece of tech, or even modern cars.

people still buy stuff if NEEDED and it actually has some BENEFIT for them. and they still work the same amount to gather up wealth. so the economy isn't stagnated, just made a lot more sensible and people actually work for and buy stuff that moves society forward, instead of buying anything being marketed at them. people just put more thought behind what they buy.