It’s a bit of an eye test and may require you to pinch and expand your phone screen. The takeaway is that the purple line that exceeds 300% year-over-year growth is the Money Supply (M1) measured at monthly intervals. When the Fed prints money and mails it to people they will spend it. In this case Bitcoin and the NASDAQ Composite greatly benefitted from the Fed’s “Everything Bubble”.
- Bitcoin: As M1 ballooned from April 2020 through May 2021, Bitcoin skyrocketed (the blue line that approaches 700% year-over-year growth).
- NASDAQ Composite: The light green line that approaches 70% year-over-year growth is the NASDAQ Composite.
- Home Values: The increase in home values barely registers as compared to Bitcoin and the NASDAQ.
- CPI: We removed the CPI from the graph as it did not register, especially given that the Federal Government understates CPI on account of not using real world data for many components.