Hello!
Today I've seen a chart from Luke Gromen that was very shoking. When you see it, it will open your eyes. Luke Gromen called it “The Debasement Trade”.
He is completely right! Since COVID, everything looks like it’s going up when you measure it in dollars. But the truth changes when you compare it to real money like gold or Bitcoin.
In USD terms, the NASDAQ is up around 165%, the S&P 500 up 102%, and home prices up 56%. At first look, it seems like a huge win for investors. But when you adjust for the debasement of the dollar, the story flips completely!!!
In gold terms, the NASDAQ is barely up 7%, the S&P 500 is actually down 18%, and home prices are down 37%. The inflation illusion is real and the numbers look bigger, but the value is smaller.
And then, when you measure all of this in Bitcoin, it’s brutal. The NASDAQ is down 78%, the S&P down 84%, and home prices down 87%. That means that in Bitcoin terms, all traditional assets have been losing value fast. People feel richer in dollars, but poorer in purchasing power.
This is what happens when fiat money is constantly printed. The money supply (M2) explodes, and prices follow. Not because assets are more productive, but because the measuring stick is getting weaker. It’s not that stocks or houses are going up, it’s that the dollar is going down.
Bitcoin, on the other hand, has no central bank, no money printing, no manipulation. It is the opposite of fiat. This is why more investors are waking up and starting to measure their wealth in Bitcoin, not in dollars.
Luke’s chart shows the truth most people don’t want to see: we are not in a bull market of productivity, we are in a bull market of currency debasement. Bitcoin exposes that. It doesn’t move because the world changes — it moves because the money system is collapsing slowly.
Sooner or later, everyone will have to pick their measuring stick: inflation or truth.
Enjoy the weekend!
Posted Using INLEO