Bitcoin, the digital currency that emerged just over a decade ago, has been gaining momentum and popularity as a potential game-changer in the financial world.
With its superior purchasing power, some experts believe that Bitcoin could reshape the global economy and even challenge the dominance of the U.S. dollar as the world’s standard currency.
The world’s economy has been dominated by the U.S. dollar for decades, but could Bitcoin be the one to challenge its reign?
Bitcoin Vs. The U.S. Dollar: A Tale of Two Purchasing Powers
In the world of finance, there’s a new contender on the rise – Bitcoin. According to a recent macro comparison chart shared by finance analyst Seth, Bitcoin’s purchasing power has been skyrocketing since 2010. This is in stark contrast to the purchasing power of the U.S. dollar, which has been steadily declining over the years.
US Dollar Purchasing Power compared to Bitcoin!
Purchasing Power determine how much goods you can buy with USD!
While FIAT loses PP! #BTC gains PP!
— Seth (@seth_fin) April 4, 2023
The ramifications of this trend could be momentous, with the potential to reshape our perceptions of money and the entire financial system as we know it. In fact, prominent figures such as Robert Kiyosaki, author of the best-selling personal finance book “Rich Dad, Poor Dad,” have already recognized this shift.
Kiyosaki, who is known for his financial acumen, has expressed skepticism about the future of the U.S. dollar and has advised his followers to invest in Bitcoin, gold, and silver instead. He’s gone as far as to describe the U.S. fiat currency as “fake money,” emphasizing the urgency to take action and protect one’s assets.
A New Era Of Purchasing Power Dynamics
As Seth’s chart reveals, the purchasing power of the greenback has been on a steady decline for over half a century, with a sharp drop from 300 to the current 33.2 points. This is a stark contrast to the impressive climb of Bitcoin’s buying power in the same context, which has soared from 33 in 2010 to the current 255 points. That’s a staggering 672.73% increase in just 13 years.
BTC total market cap now at $539 billion on the daily chart at TradingView.com
As the world watches this historic shift in purchasing power, it’s clear that Bitcoin has emerged as a formidable contender in the financial world. While the implications of this trend are yet to be fully understood, it’s becoming increasingly apparent that the traditional financial system may no longer be able to keep up with the pace of technological innovation.
As we navigate this new era of finance, it’s up to each of us to decide how we’ll adapt and thrive in the face of change.
-Featured image from WheNews