On August 1, Michelle Makori, Lead Anchor and Editor-in-Chief at Kitco News, interviewed Mark Moss, Host of the ‘Mark Moss Show’ and a Partner at Bitcoin Opportunity Fund. Moss shared his insights on the current economic landscape and his bold predictions for the future, particularly focusing on the U.S. economy and Bitcoin.
Asset Prices “Crashing Up”
Mark Moss predicts that during the next economic crisis, asset prices will not crash in the traditional sense but will instead “crash up.” He explains that the U.S. government will respond to a recession with massive liquidity injections to avoid economic downturn, leading to a dramatic rise in asset prices.
U.S. Dollar Bubble
Moss highlights that the biggest asset bubble is in the U.S. dollar itself. He says that as the dollar continues to be devalued through inflation and government monetary policies, it creates an illusion of asset price bubbles in stocks and real estate. According to Moss, the real bubble lies in the value of the dollar.
Inflation and Government Spending
Forecasting the rest of the decade, Moss expects it to be extremely inflationary. He attributes this to ongoing government spending on initiatives like military rearmament and transitioning to a green economy, which require significant monetary expansion. He believes this spending will further drive inflation.
Bitcoin as a Strategic Reserve Asset
One of the most significant highlights from the recent Bitcoin 2024 conference in Nashville was former President Trump’s pledge to make Bitcoin a strategic reserve asset for the U.S. Moss believes that if the U.S. adopts this policy, it will set a precedent for other nations, potentially leading to a significant increase in Bitcoin’s value.
Bitcoin Price Forecasts
Moss provides various Bitcoin price forecasts. For the end of 2024, he predicts Bitcoin could range between $100,000 and $400,000, depending on the outcome of the presidential election. Looking further ahead, he suggests Bitcoin could reach $1 million by 2030 and potentially $13 million by 2045, driven by global liquidity and economic factors.
Economic Divide
Discussing the economic divide, Moss notes that while the upper end of the economy continues to thrive, the lower end suffers from inflation. He observes that luxury markets are booming, but average consumers are struggling with rising costs. This growing divide highlights the uneven impact of economic policies.
Government Policies and Recession
Moss argues that the U.S. government cannot afford a recession and will resort to increasing liquidity to avoid it. He explains that a recession would lead to a significant drop in tax receipts, which the government cannot sustain given its financial obligations. Therefore, he thinks that more inflation is likely as the government injects liquidity into the economy.
Global Monetary System
Looking at the global monetary system, Moss envisions a future where different nations adopt various reserve assets, such as gold and Bitcoin, leading to a decentralized monetary system. He believes this shift is already underway and will continue to evolve over the next few years.
Featured Image via Pixabay
