Almost everything seems to be in a great big bubble.
Stocks. Crypto. Art. CryptoKitties.
Whatever is priced in fiat currency is going to keep getting more “expensive”. This isn’t on account of perpetual irrational exuberance. It’s by design.
The value of cash is being inflated away. One wave of quantitative easing after the next threatens to rob everyone holding currency. If they’re holding fiat in a bank: bail-ins should probably keep them up at night.
What’s happening to the prices of anything that even might be a “store of value” is completely rational: people with fiat are constantly bidding each other up, because they all prefer to hold something other than fiat currency.
Their rapidly appreciating assets don’t necessarily make them feel “rich” – they apparently feel increasingly desperate to exchange the rest of their fiat for other things.
Fiat inflation itself is inflating all the other “bubbles” – and this will eventually be its undoing. For the first time in history, practical alternatives for average people exist. Alternatives not subject to poor government monetary policies – compliments of the blockchain.
Fiat is someday going to be worth even less than the paper it is printed on.
Try to understand why. That’s far easier than trying to imagine “why not?”