Satoshi Nakamoto’s Bitcoin Statement Echoes 15 Years Later Amid Market Sell-off

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As a seasoned researcher who has been observing and studying the cryptocurrency market for more than two decades now, I have seen my fair share of volatility and surprises. But one thing that continues to intrigue me is the resilience and longevity of Bitcoin, the digital gold.

Amidst a period of selling in the cryptocurrency market, a past comment from Bitcoin’s enigmatic founder, Satoshi Nakamoto, is once again being discussed within the crypto community. This notable quote was recently brought to light by Bitcoin historian Pete Rizzo and underscores the significance of scarcity, a fundamental aspect that has continuously driven Bitcoin’s worth proposition.

15 years back, Satoshi Nakamoto emphasized the scarcity of Bitcoins when their value was zero: there will only ever be 21 million in circulation. (Rizzo’s statement paraphrased)

✨ Satoshi Nakamoto on the scarcity of #Bitcoin at $0, exactly 15 years ago

Only 21 million 🚀

— The Bitcoin Historian (@pete_rizzo_) December 9, 2024

The statement made by the Bitcoin founder reads thus: “(lost) coins can never be recovered. Since the effective circulation is reduced, all the remaining coins are worth slightly more, its the opposite of when a government prints money.”

The idea behind Bitcoin’s value, first proposed on December 10, 2009, when it was valued at zero dollars, is traced back to 15 years ago. This concept, attributed to Satoshi, foresaw the significant economic consequences of a finite supply. The unique characteristic of Bitcoin, with its hard cap set at 21 million coins, stems from the principle of scarcity. Unlike traditional fiat currencies that can be printed indefinitely, Bitcoin stands out due to this scarcity feature.

In the context of a general market downturn affecting Bitcoin’s price, Satoshi’s observation still holds weight. The predetermined supply serves as a significant factor in maintaining Bitcoin’s worth, meaning that its rarity persists despite temporary price changes in the short term.

Bitcoin price dips

On Tuesday, the price of Bitcoin (BTC) dropped to a low of about 94,220 US dollars as the overall crypto market experienced a significant decline. According to information from CoinGlass, this downward trend led to the liquidation of nearly $1.57 billion worth of cryptocurrency investments.

On December 5th, Bitcoin reached an unprecedented peak of $104,000 on Coinbase. However, it’s been finding it tough to maintain its position above the $100k mark since then. Currently, Bitcoin is being traded at $97,905, representing a minor decrease of 0.28% over the past 24 hours.

Based on reports from CryptoQuant, the ongoing market sell-off has sparked a robust buying interest among institutional investors in the United States. As widespread selling, often observed on platforms such as Binance, takes place, primarily by smaller investors, these institutional investors are seizing this opportunity to make aggressive purchases on exchanges like Coinbase.

Amid the sell-off, Nakamoto’s early statements about scarcity and value resonate more than ever.

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2024-12-10 16:17