Upcoming decade of super volatile world and Bitcoin markets
Caught between volatile world and the volatile bitcoin market, that might last a decade. Where do we go from here ?
Governments all over the world are innovating on fiscal/monetary policies to pair down their debt and reign in inflation. Expect more control/confiscation/taxation and higher gov's control over businesses/currencies. And it makes the bearer asset class, an asset that you can hold and can't be taken/taxed away, more attractive than ever.
Bitcoin has never been tested during a time of runaway inflation followed by interest rates hike to lessen the damage . But a great corollary to what's happening now is what happened in Weimar Republic (Germany) - a time of runaway inflation, followed by a brief period of the system trying to rein it in, eventually reinflating to pay back the debt and repeat.
As the returns on gold from that time shows buying bitcoin can be a right advice in the long term but can absolutely crush you in the short term. The volatility of Bitcoin, going up from $5k to $60k and back to $20k, may only increase from here on.
Bitcoin is the hardest money ever created and its value will become increasingly obvious in the decades and next. But to last that long you'd need to get out of exchanges (to avoid confiscation) and leverage buys (to avoid volatility sweeping you in) and keep some money liquid.
Here's the link to the podcast