The purchasing power of the United States Dollar is weakening while that of Bitcoin (BTC) is on the upswing. This is according to a macro comparison chart shared by the finance analyst known as Seth on April 4. The chart showed that the Consumer Price Index (CPI) for all urban consumers in terms of purchasing power of the consumer dollar in the US city average has been declining since the 1960s, going from 300 to the current 33.2 points (88.93%). On the other hand, the purchasing power of Bitcoin in the same context has been spiking sharply, growing from 33 in 2010 to the current 255 points; a 672.73% increase over the last 13 years.

The list of individuals warning of the dollar's diminishing influence as the world's reserve currency is growing. Most recently, former US President Donald Trump remarked that the US dollar was crashing and would "no longer be the world standard." This viewpoint is shared by Kaiko, a research firm that showed on April 5 that the correlation between Bitcoin and the US dollar has steadily decreased to -23% so far this year. Robert Kiyosaki, the popular author of 'Rich Dad Poor Dad,' also cautioned about the future of the USD, recommending his followers to purchase Bitcoin, gold, and silver, and implicitly labeling the US fiat currency as “toilet paper" and “fake money.”

As it stands, Bitcoin is valued at $28,500 - indicating a positive price change of 4.43% over the past week and 27.11% across the past month. The decentralized finance (DeFi) asset has consequently become an increasingly attractive investment option. Supporters contend that its high purchasing power combined with its revolutionary blockchain technology make it a viable option as a global reserve money. Still, many critics argue that due to its volatility, Bitcoin doesn't have the necessary stability to replace the USD. In the end, it's up to each individual investor to examine the potential risks and returns of investing in cryptocurrency.



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