Jordi Visser, founder of Visser Labs, who was a guest of renowned investor Anthony Pompliano, explained the confusion in the world of economics and the major transformations expected in the future with striking examples.
Contrary to the general perception in the markets, Visser stated that the increase in oil prices was not a temporary fluctuation, noting that oil had reached levels of $140 in the physical market.
Visser said, “Last year we thought oil would stay in the $50-70 range, but now $70-90 has become a permanent fixture. This is a regime change.”
Visser stated that the Fed faces a much tougher test than it did in 2022, adding that current debt-to-GDP ratios (120 percent) and the size of the stock market restrict the Fed’s room for maneuver.
“The Fed can’t fight inflation as aggressively as it did in the 1970s because the system is much more indebted,” Visser said, summarizing Bitcoin’s role in this process with the following words:
“Bitcoin is a scarcity asset. ‘Long in scarcity, short in abundance’ positions have yielded significant profits this year. When the Fed is forced to cut interest rates amid high inflation, Bitcoin will be the real winner.”
*This is not investment advice.