When a currency is experiencing deflation it makes sense not to spend it. In that world, keeping my money under my mattress is the soundest investment strategy.
Why would I buy anything with my bitcoins if a week from now they're going to be work X% more? I'd just wait until then.
> When a currency is experiencing deflation it makes sense not to spend it. In that world, keeping my money under my mattress is the soundest investment strategy.
A does not imply B.
If the currency deflates at 1% but you could invest at 2%, your mattress isn't the most sound investment strategy.
Correct, but how certain are you that it will continue to deflate? It has already once lost 90% of its value in a short period after a parabolic rise. Could it not do that again?
Why would I buy anything with my bitcoins if a week from now they're going to be work X% more? I'd just wait until then.