What do you value about bitcoin?

I'll be the first to admit my understanding of the blockchain is shallow. However, I am an economist, and it seems from my perspective that there's a strict dissonance between bitcoin's usefulness as a currency and it's value as an investor asset.

I see a lot of anti-inflation sentiment in bitcoin communities, but (reasonable) inflation is indeed necessary for a healthy economy. It's, in a sense, the lubricant which keeps transactions moving at a steady pace. If the USD became a deflationary asset, consumer spending would decline as people begin hoarding currency to wait for it to appreciate in value, which would further drive down prices, exacerbating the issue. This decrease in demand would eventually cause large sectors of industry to close until prices stabilized, but with less true 'wealth' circulating than before. Or, an alternative currency would rise in place of USD so people wouldn't have to part with their 'assets' in order to make everyday exchanges.

I'm also under the impression that the privacy features are not as robust as one might hope. This is another area of tension, as if a truly private currency (say Monero) were to be introduced, governments would prevent it from being listed on any major exchanges (as they have with Monero.) So the idea of privacy cannot coincide with mainstream adoption, and yet, it seems that bitcoin advocates see both as inevitable.

I'm a person who likes learning about things I don't understand, and I would be very happy to adapt my worldview if there's something I'm fundamentally missing. But I just don't understand why bitcoin is seen as so valuable when its fundamental premise had nothing to do with appreciation (as far as I'm aware).

I can understand why the idea of a decentralized currency is attractive, but at this stage, bitcoin hardly seems to be functioning as currency at all.

What do you think?