In your opinion what percentage of bitcoin gets used as currency vs speculation?
>In your opinion what percentage of bitcoin gets used as currency vs speculation?
I really don’t know for sure. Lots of places online accept it as currency and as long as the price was trending up the slowness of the transactions wasn’t a big deal, but if the price continues to jump around this lots of places will stop accepting it. No ones want to accept payment that loses 20% of its value before the transaction clears.
Price increases are driven both by speculation and by transaction costs increasing due to increased load on the network. As network load goes up it requires more and more processing power and thus the electrical power to handle a transaction, which in turns drives up prices.