Today, it seems everywhere you look there are negative things being said about bitcoin volatility.
To break up the monotony of borish media sources endlessly discussing btc volatility as if they have nothing better to do than beat dead horses 24/7/365, let's change the subject to a more neglected topic, that of: fiat volatility.
Behold exhibit A.
Image link: https://i.imgur.com/km3TFeR.jpg
This chart would appear to contradict what many say about the US dollar representing a stable value. The buying power of the US dollar appears to be declining significantly over time.
Example of the purchasing power of the US dollar declining: a 2 liter bottle of soda used to cost $1.00 in the united states, not long ago. Today it costs $2.00. If the paradigm shift from $1 to $2 occurs over a 10 year period, we might say that inflation is occurring @ a rate of 10% per year or the dollar is losing 10% of its value per year in contrast to purchasing food items like 2 liter bottles of soda. This precedent of diminishing fiat buying power could apply over our global economy.
So it is possible the purchasing power of the US dollar and other fiat currencies are diminishing significantly over time.
What are everyones thoughts on this?
To break up the monotony of borish media sources endlessly discussing btc volatility as if they have nothing better to do than beat dead horses 24/7/365, let's change the subject to a more neglected topic, that of: fiat volatility.
Behold exhibit A.
Image link: https://i.imgur.com/km3TFeR.jpg
This chart would appear to contradict what many say about the US dollar representing a stable value. The buying power of the US dollar appears to be declining significantly over time.
Example of the purchasing power of the US dollar declining: a 2 liter bottle of soda used to cost $1.00 in the united states, not long ago. Today it costs $2.00. If the paradigm shift from $1 to $2 occurs over a 10 year period, we might say that inflation is occurring @ a rate of 10% per year or the dollar is losing 10% of its value per year in contrast to purchasing food items like 2 liter bottles of soda. This precedent of diminishing fiat buying power could apply over our global economy.
So it is possible the purchasing power of the US dollar and other fiat currencies are diminishing significantly over time.
What are everyones thoughts on this?
Nope, dollars volatility is low. Only that the economy of a country is growing that is why dollar value will decrease in that country. We can never tell that dollar is a volatile currency just because it has decreased in value, it is still applied to the law of supply and demand.