Is there any way in which economy based on fixed money supply (like gold or bitcoin) could be OK?

I personally am against it, as I think there would be much harsher periods of crises that couldn't be easily managed. I also think deflationary environment would hinder economic activity, and there could even be deflationary spirals.

However, my friend who supports bitcoin, argues that deflationary spirals are only problem with debt based money (which can be destroyed when debts are paid back).

Who is right?

Is there any way for the economy to adapt to fixed money supply system and for it to be OK for the economy and not a total disaster?