Part 8/11:
Bitcoin’s capped supply means its value isn’t subject to inflation like fiat currencies. As demand grows, so does its value, making Bitcoin a “hard asset”—a form of money that cannot be devalued by governments or central banks. This scarcity has caused Bitcoin’s price to increase over time, in stark contrast to the continuous decline of traditional fiat currencies.
Addressing Common Concerns: Volatility and Adoption
A common question about Bitcoin is its volatility. Yes, Bitcoin’s price fluctuates significantly in the short term because:
The market is still young, representing a small fraction of global assets
Early adopters are buying and selling actively
News, regulation, and macroeconomic factors influence its price