"When a government compulsorily overvalues one type of money and undervalues another, the undervalued money will leave the country or disappear from circulation into hoards, while the overvalued money will flood into circulation."

People want to get rid of there inflationary overvaluated fiat first so it will drive out any market priced non-inflationary currency like BitCoin from circulation in white markets ... it is pretty straight forward. The second part of the law with an undervalued money can't happen anymore, paper money will always be overvaluated because of legal decree (either by price fixing or just by being forced into circulation thru being legal tender and the only currency the government and legal financial institutions will accept) as long as it is circulated at any value above that of toilet paper...