Bitcoin Closes Week at $110,000 Despite 4% Volatility

An expert on X has highlighted the challenges and rewards of holding Bitcoin, noting that while the process can be frustrating, the cryptocurrency is designed to appreciate in value over time. Bitcoin's price has seen significant volatility, briefly surpassing $111,800 before correcting to around $107,000, and closing the week at nearly $110,000. Despite these fluctuations, analysts continue to emphasize Bitcoin’s long-term growth trend and its evolving role in the financial landscape.

Thomas Fahrer, co-founder of Apollo, explained that holding Bitcoin can be frustrating most of the time due to its volatile nature. However, he emphasized that Bitcoin is deflationary by design, built to rise in value over time. This concept, though challenging to grasp, is supported by a logarithmic price chart of Bitcoin from 2011 to a projected 2031. The chart illustrates Bitcoin’s long-term exponential growth pattern, with notable retests and support levels in February 2015, late 2020, and during the 2022 market panic. Despite periods of high volatility and corrections, Bitcoin has maintained a consistent upward trajectory over time.

Fahrer’s presentation aligns with the broader narrative that Bitcoin, despite sharp pullbacks, has historically moved higher across longer timeframes. He noted the psychological difficulty many investors face in holding Bitcoin, describing it as frustrating 90% of the time, despite the asset’s historical returns. Fahrer also outlined Bitcoin’s deflationary model, contrasting it with fiat currencies that increase in supply and lose value due to inflation. Bitcoin has a fixed cap of 21 million coins, with its issuance rate declining every four years through programmed halving events, reducing the number of new coins entering circulation. This design makes Bitcoin deflationary money, intended to increase in value permanently.

Fahrer described the concept of Bitcoin’s deflationary nature as difficult for the human mind to comprehend, adding that most people still do not fully grasp it. A Bitcoin investor using the alias Carl Menger created a visual comparison of purchasing power changes from 2020 to 2025. The data shows that $100 held in U.S. dollars would decline to $76 due to inflation, while $100 invested in Bitcoin over the same period would have grown to $1,201. This comparison highlights the opposing outcomes of holding fiat money versus a deflationary digital asset like Bitcoin.

Financial literacy author Robert Kiyosaki addressed his social media followers, noting how Bitcoin has simplified wealth creation. He explained that individuals no longer need to rely on traditional assets like gold to grow their wealth. Based on historical returns, he stated that even a small investment in Bitcoin could deliver significant gains. Kiyosaki also addressed a common misconception about needing to own a full Bitcoin, emphasizing that owning as little as 0.01 BTC could potentially yield large returns in the coming years.