[shanelja]

Wasn't it like $130 a few days ago? This kind of inflation is really cool for the people invested in bitcoins but this is the point where I would panic sell, but perhaps I'm a coward.

EDIT: Link's down, it was $203 at 12.06 GMT.

[andyhmltn]

Yes and a few days before that it was $100. I was watching it out of curiosity yesterday and it went up about $20-$30 I believe just while I was at work. Hopefully it crashes, stables out and then gains use as a currency rather than an investment.

[smosher]

> Hopefully it crashes, stables out and then gains use as a currency rather than an investment.

That's impossible. The only low stable price is $0 which is useless as a currency. Only when its user base is no longer growing and there is enough value to satisfy the entire user base will it stabilize. My expectation is that unless it dies entirely it will continue to grow until it has more or less total global coverage. With the limited supply of BTC, it has to be worth much more than $200 apiece.

A crash just causes problems but if you want to use it as a currency I think what you really want to move the decimal, which is purely a representation issue: it's ~$2/centiBTC.

[rplnt]

It will never do that due to its design.

edit: unless the market is controlled by someone willing to lose money to keep it stable.. so no, it won't happen.

[ewoodrich]

Well, it's deflation in a broader economic/purchasing power sense.

http://en.wikipedia.org/wiki/Deflation

"deflation is a decrease in the general price level of goods and services"

Prices of real goods are rapidly decreasing for Bitcoin, but you are correcting that the exchange rate is ballooning or "inflating" in that sense.

[deelowe]

The word you're looking for is "deflation." Inflation is when currency becomes less valuable.