Why Did Bitcoin Fail the Inflation Exam?

In times of less inflation bitcoinIt was claimed that it would be a good hedge against inflation. However, despite the high inflation in the USA, we saw that Bitcoin failed to deliver what was expected from it and was seriously affected by the change in monetary policy.

Bitcoin Failed to Put a Good Test Against Inflation?

Probably many who are currently at a loss think that this test has failed. However, when we look at the markets in general, we see that despite the war and high inflation, gold has not been able to deliver what is expected from it.

Famous Bitcoin investor Michael Saylor explained this situation with the following words:

“There is no safe haven against inflation and monetary policy moves in the short term. In the long run, Bitcoin will show the best performance again.“

Why Couldn’t It Protect Against Inflation?

Bitcoin’s performance against inflation The final comment on the issue came from SkyBridge Capital founder and former White House official Anthony Scaramucci.

Speaking to CNBC, Scaramucci stated that Bitcoin is a very new instrument yet, so it cannot provide a good performance and protection against inflation. According to him, Bitcoin’s anti-inflation status will be realized when the number of BTC wallets reaches 1 billion.

“Bitcoin is still in the early stages. I invested when there were 80 million wallets, now there are 300 million wallets. Like all innovations, Bitcoin needs time to overcome volatility and prove itself. I think it will mature enough once we reach 1 billion wallets.”

Comparing the crypto winter with the Dotcom bubble, the famous name stated that there are many dysfunctional and meaningless projects, and that it has a similar aspect to the Dotcom bubble. According to Scaramucci, he also expressed his belief that at the end of the bear market, Bitcoin will definitely emerge as a winner.