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Monthly Archives: May 2013

Bitcoin is becoming more stable over time. The fact that after each bubble the people that really believe in Bitcoin buy at the the lower priceis a market feature that increases the price floor of bitcoin. Like myself these true believers definitely tend to have steady hands when it comes to their bitcoin investments. They hold hold hold and rarely ever sell. I purchased more bitcoin at the bottom of the burst and the few bitcoiners that I know offline did the same. This type of behavior raises the lower bound of the price as people, who hold their BTC no matter what, gain a larger part of the market. One other effect of this bitcoin transfer is that there will now be higher prices over all because the steady hands decrease the supply of bitcoin available.

I can speak for myself when I say that most of my Bitcoins will stay in my wallet for at least a decade and even then I will most likely keep half. In the meantime I will make a couple purchases online in an attempt to support vendors that accept the currency and I will buy whenever there is a price crash. The most recent crash has made bitcoin a sounder investment and increased the likely hood of future price increases.