How does Bitcoin’s use as a store of value affect its price?

How does Bitcoin’s use as a store of value affect its price?

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Bitcoin is often referred to as “digital gold” because many investors use it as a store of value, especially in times of economic uncertainty or inflation. This perception influences the BTC price by creating demand from individuals and institutions seeking to preserve purchasing power outside traditional fiat currencies.

As governments increase money supply or economic risks rise, more investors turn to Bitcoin to hedge against currency devaluation. This store-of-value narrative has helped drive sustained demand, particularly among long-term holders who view BTC as a safer asset than volatile fiat systems.

However, because Bitcoin’s price is still subject to speculation, its role as a store of value is evolving. Increased adoption by financial institutions and incorporation into portfolios may stabilize price and reduce volatility over time.

Tracking the current market price through sources like Toobit’s live BTC price page helps investors evaluate Bitcoin’s performance as a store of value amid changing economic conditions.

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