Obviously you are right, but most people are by nature herd animals who bet the trend. It's the interplay between the smart money and the lemmings that give us market swings. And in this market, the smart money guys take there profits in Bitcoin, not fiat.
I still think a large portion of people are hedging 25%-50% out of btc when they see a rise of 10x or greater of their buy in price, not everyone but I'd lean to a majority as in 50.01%.
If I were to have acquired a large enough amount of bitcoin earlier I'd reinvest a fair bit of those gains into properties and reinvest the profits of those properties into bitcoin. Not to mention I will get this opportunity most likely by June of this year.
there aren't many lemmings in bitcoin yet comparatively, I know lemmings they still think this is a big ponzi.
That's way too big a hedge, IMHO. A hedge is a bet you hope you lose, like life insurance. I hedge 10% the same way stock investors typically hedge 5-10% in precious metals.
this market has had three rallies of more than 10X, but the proportional increase is going down for each successive rally.