Dollar's Structural Decay Sets Stage for Bitcoin Surge
The US dollar has lost 97% of its purchasing power over the past century due to the Federal Reserve's monetary actions, according to a complex calculation based on data from the Bureau of Labor Statistics.
This degradation has been ongoing for 113 years and has recently accelerated, signaling that the era of fiat currency after Bretton Woods is coming to an end. As a result, Bitcoin is becoming a key hedge against inflation and monetary policy mistakes made over the past century.
Federal Reserve Chair Kevin Warsh has prioritized containing inflation over employment, setting a 2% PCE as a 'fixed target' and shifting focus away from employment. Even high interest rates won't stop the loss of buying power, they would only slow it down.