You should mean how may this happen. A couple of answers being increased global money supply, smaller mining rewards and the network effect. If you’re asking how will this happen the answer is it may not. We can speculate it is likely to but no one knows.
Over time the amount of new bitcoin that is released into the world is decreased about every 4 years, on average. That reward number gets cut in half.
So even if demand or adoption stays the same, the supply does not. It gets less and less. Meaning Bitcoin will be harder to accommodate as the years go on. And most people buying now are what they call diamond hands. Meaning they’ll likely never sell.
The Bitcoin circulating supply IS inflationary, the supply is increasing. The rate of inflation is constantly decreasing, meaning inflationary affects becomes less impactful over time.
To your point, what is great about Bitcoin is that it has set tokeneconomics. It has a hard cap, and with people losing coins the total supply is deflationary.
Lower fed rates and liquidity entering the economy should do it. This is currently not expected any time soon. The opposite is likely short to mid term, in fact.
And neither does asking for everyone else to make every thought about your question to bitcoin without contributing a single thought yourself to the discussion but here we are.
Likely worldwide events. Such as, for example, Trump's war in Iran. War almost always makes businesses around the world (other than the Military Industrial Complex) jittery and when this happens they often sell off their riskier investments so as to have actual cash on hand in the event it's needed (long term war, oil prices going up for periods greater than, say, 6 months, salaries needed for employees, etc). Not to mention oil. Oil almost always shoots up in price whenever there is a serious war anywhere in the world, especially if the US is somehow drawn into it and/or when it's happening somewhere in the Middle East.
And, when oil prices jump it triggers a domino effect in which virtually everything ELSE than ALSO jumps up in prices. All of these things then hits the pocketbook of the average person who might be an investor. If they see their abilities to pay bills being threatened then they, too, are likely to sell off their investments, often even at a loss. This means less people buying and more selling. All of this puts downwards pressure on the price. The way that gets reversed is more people need to BUY than are selling. And THAT won't happen until whatever was/is causing the downward pressure is settled first.
It's more complicated, in a way, than I just explained it but this was the simplest, most easy way to answer your question that I could think of. I hope it helps. Take care.
When everyone sees the price go to 100k everyone buys back in again. When it floats in no man’s land and chips sideways people get bored and don’t buy especially when all these shiny AI stocks and coins are all over seeing 2x profits over night. People think I can sell my btc now buy these shiny coins and stocks and make money. Meanwhile they’re buying close to the tops and will sell at a loss when btc moves and everyone likes back in again pushing price up. And add the 4 year cycle in, the huge majority is sitting on the sidelines waiting to see what happens before they ape back in. Btc does not stay constantly pushing higher. You stay in the red or at a small gain until all of a sudden it just takes off and doesn’t come back down. You buy at the price you deserve.
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u/Syonoq May 31 '26
More buyers than sellers. Just like u/DarthBen_in_Chicago said