Bitcoin when ~50% collateralized is pretty stable honestly. Sure, we see it go to $60k and then eventually down to where we are now at $27k... but we've been in this current range for months now. It also is only an issue in one direction if the item you're borrowing is USD (btc going up, doesn't hurt you). If you borrow something like ETH, they are so tightly correlated, that it is easier to maintain.

Any way... this is something that can be managed, while still giving BTC a lot of utility.