As always, I don't look at the price of bitcoin versus fiat currencies day-to-day because it isn't relevant to my portfolio. I buy small amounts weekly ($100 automatically, sometimes $150) and have since 2012. If my crypto value goes over 12% of my net worth, I sell. If it goes well under 6%, I re-buy. These automatic investments are easy, free, fast and secure.
The thing about "nobody uses bitcoin" is totally untrue. When I worked, I had 3 different websites that accepted bitcoin for purchases selling legal items to normal people and we did 5-10% of our sales in bitcoin because we offered a 10-15% discount over Paypal. Bitcoin is no longer a good value as a currency due to protocol limitations which the developers are debating and working on. Long term, LN and SW should overcome most of the issues with high transaction fees but miners still need to earn their stake back so there's a balance.
Since I don't invest more than 6% of my after-income savings in crypto, it is NOT a major risk for me. I've done well (6 figures realized and paid taxes on, but the upside is higher) but I also don't watch the price day to day unless I am transaction off-market.
When I rent my boats I invite others to join me and I only accept bitcoin as payment with a guaranteed rate lock. So if they send me $1000 in deposit via Bitcoin today and we sail in 6 months, I will reprice it at their request. It's an effortless process that doesn't involve banks or delays since I can settle it all off-chain instantly and without fees.
I don't invest in alt-coins (I do buy some Monero but it isn't a major stake of mine). I monitor the code debates on Bitcoin only, and I like what I see.
I hate inflationary currencies (per Rothbard, Mises, Hayek) and I think people who trust inflationary currencies and progressive economics are fools destined to work until they're in the grave. I believe they have a right to their opinion, but the only reason I "trust" fiat currencies is I know it's a method to extract wealth from the consumer class to the producer class -- not that this is a bad thing for me, but it's a horrible thing for working class folks.
As for crypto, I am fine if Bitcoin went to $0, I'd be down about 10% of my net worth (as the price is today when I checked after getting 7000 PMs on Facebook lol). But I am more worried that it would bubble spike to $50,000 leaving me having to liquidate and pay taxes on money I don't want to earn yet.
The last time I really looked at Bitcoin's price closely, it was around $2800. Haven't cared about it since. It goes up, I buy $100/$150. It goes down, I buy $100/$150. It's inconsequential money -- I don't invest what I can't afford to lose.
I also buy gold and silver bullion in similar amounts. I also buy stocks, bonds, ETFs about 3x as much. I also invest in real estate rentals about 3x as much. It's all about leveraging all of the various commodity and asset markets and I love me some high risk, high volatility.
