BTC is correlated with the market - Doesn't that defeat the purpose of BTC?

[Good1]

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Stock market been a good hedge + good performer in the past.
2] fatal flaws in your logic. [1] Rat poison \bit con is not the stock market[2] Even the usual underperformer DOW may outperform SPY; but Dow is correlated to itself; + bit con\crypto cr*p can easy go to zero, think SPY would?? . I dont+ SPY never has.

It could go to zero if it breaks. If it doesn't break, and keeps performing as programmed, it will retain value as a secure store of value, with a relatively straight forward facility to move what is stored. That's two selling points, not just one. If you include the ability to subdivide into small bits, that's almost three selling points.

Consider that stocks, themselves, are popular as stores of value, exactly what BTC offers. From there, it's possible to argue that BTC is an even better store of value.

It could break if, for example, someone figured out how to hack into the average wallet, hacking past the 12, or 24 word seed.

 

[OptionsOptionsOptions]

What makes you say that?

• Below is a 6-month chart.
• SPY red - BTC blue
• I looks very correlated to me. They are following the same pattern, with BTC more volatile.

 

[murray t turtle]

It could go to zero if it breaks. If it doesn't break, and keeps performing as programmed, it will retain value as a secure store of value, with a relatively straight forward facility to move what is stored. That's two selling points, not just one. If you include the ability to subdivide into small bits, that's almost three selling points.

Consider that stocks, themselves, are popular as stores of value, exactly what BTC offers. From there, it's possible to argue that BTC is an even better store of value.

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You have some good points\
but in no way is a bit con or crypto Cr*p ''exactlyLOL'' equal to stocks or store of value.
Nor is bit con non traceable, but the good news is any gain\ the IRS want to know about + the tax lawyer says think carefully before you sign that on your IRS form.

 

[Good1]

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You have some good points\
but in no way is a bit con or crypto Cr*p ''exactlyLOL'' equal to stocks or store of value.
Nor is bit con non traceable, but the good news is any gain\ the IRS want to know about + the tax lawyer says think carefully before you sign that on your IRS form.

Agree it is more traceable that was initially claimed by early fear mongers who acted like the USD was not used for crime or laundering the most. Monero seemed to have solved that, and i hear Litecoin later included the ability to go untraceable and is currently being discluded here and there because of it. They could "break" if they are banned from exchanges, and if there is no way to trade into/out of them on decentralized exchanges. Apparently, in September 2020, the IRS offered $625,000 to anyone who could crack the Monero network. Someone claims to have done it, but Monero insiders say that is bunk. Whether we, as individuals are required to file IRS forms against ourselves is for another thread.

 

[Pekelo]

What makes you say that?

Because it is true? I explained it already but here we go again:

Since HFs moved in (about 12-18 months ago) BTC became a high beta tech stock. And as such, it is highly correlated with the markets. Occasionally a news item makes it go up or down unrelated to the markets, but 95% of the time you might as well trade QQQ on margin, same results.

So you could say that BTC became the victim of its own success, and be careful what you wish for. (2 years ago crypto fans wanted more HF involvement) Well, they got it and as an unintended consequence, it stopped being a market hedge.

 

[murray t turtle]

Agree it is more traceable that was initially claimed by early fear mongers ...
Whether we, as individuals are required to file IRS forms against ourselves is for another thread.

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Actually the IRS may not care about some pennies as long as its consistent.
Meaning what?? WE can round down like $100. 49 or $100.499 to $100\LOL

 

[Pekelo]

BTC is correlated with the market - Doesn't that defeat the purpose of BTC?

The purpose of BTC is currency. No, investment. No, collector's item. No, pixie dust.

Wait, I am getting confused here...

 

[Good1]

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Actually the IRS may not care about some pennies as long as its consistent.
Meaning what?? WE can round down like $100. 49 or $100.499 to $100\LOL

Do we round down the BTC that fell off our boat and sank to the bottom on our hardwallet?

 

[JackMorgan]

The purpose of BTC is currency. No, investment. No, collector's item. No, pixie dust.

Wait, I am getting confused here...

It's purpose has been served. Moving cash from the pockets of greedy dreamers into the pockets of con men