The Fed’s Balance Sheet is a $9 Trillion Monster #bitcoin #gold #stocks #shorts

Show Notes

In this episode, Matthew provides an in-depth breakdown of long-term market cycles, covering key assets such as S&P 500, gold, bonds, and Bitcoin. He explains how the S&P 500 has cycled through 20 peaks and troughs over the last 75 years, averaging a new peak every 3 to 4 years with a 7% annual return—or 9% with reinvested dividends. Matthew contrasts this with gold's performance since its decoupling from the dollar in the 1970s, highlighting its 5–6% long-term growth rate. The real standout, however, is Bitcoin. Matthew showcases how Bitcoin, since 2010, has vastly outperformed stocks, gold, and bonds, achieving over 2,000% annual returns during peak cycles. He also discusses the inverse correlation of Bitcoin and gold against traditional markets during downturns, and how Bitcoin's power curve growth model explains its continued dominance. Matthew wraps up by explaining the Fed's balance sheet expansion, QE cycles, and the impact of U.S. monetary policy on markets, concluding that Bitcoin remains the most powerful long-term investment due to its power curve growth rather than typical exponential models.