
Jakarta, Pintu News – Veteran trader Peter Brandt has warned that a phenomenon he calls the fiat currency crash is underway, and that this is having a differential impact on various asset classes including altcoins as well as US dollar-based assets. This opinion comes in the context of global market dynamics and concerns over the stability of the value of paper money, which he says could affect the prices of digital assets such as cryptocurrencies.
Peter Brandt argues that the widespread increase in money supply in various countries has triggered a loss of confidence in fiat currencies. According to him, the destruction of fiat – or the destruction of the value of fiat money – has begun when the market begins to respond to the continued expansion of liquidity, where the purchasing power of fiat money is weakening.
In Brandt’s view, this process implies that the previously stable value of fiat currencies is now facing structural pressures that may reduce their attractiveness as a store of value relative to real assets such as commodities. As a result, assets pegged to the dollar or other fiat currencies are no longer seen as equally valuable “safe havens”.
This is because the erosion of confidence is not only in fiat money, but also in assets that depend directly on the currency value system. These circumstances are prompting Investors to reconsider the role of fiat money in global portfolios.
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In Brandt’s view, altcoins – that is, cryptocurrencies other than Bitcoin – are potentially under more pressure than fiat currencies. He argues that altcoins could be more worthless than USD in the context of a store of value because most of these projects do not have strong fundamentals or widespread real-world use.
Therefore, when the monetary system faces a decline in the value of fiat currencies, more speculative altcoins can experience a sharp depreciation in value. Brandt also points out that not all digital assets have the same qualities to withstand long-term macroeconomic pressures. Many altcoins are highly speculative, relying on market sentiment and liquidity alone, which could make them particularly vulnerable if confidence in fiat currencies collapses further.
As an alternative to fiat money, Brandt sees gold as an asset that is likely to return as a trusted store of value. In its long history, gold has survived as a store of value when the monetary system was under stress, and he thinks that scenario could repeat itself given the current economic dynamics.
The emergence of soaring gold prices in recent periods is one indicator of demand for real assets amid this uncertainty. Meanwhile, Bitcoin’s (BTC) position as an asset sometimes referred to as “digital gold” is also under scrutiny; while Brandt recognizes Bitcoin’s unique properties, he does not necessarily assert that Bitcoin will replace gold.
But the long-term trends he observed put assets like Bitcoin and other real commodities as stronger candidates for investor appetite than the more fundamentally weak altcoins.
Peter Brandt’s insights reflect concerns over the ability of fiat currencies to maintain their purchasing power in the long run due to money supply expansion and inflationary pressures.
In this framework, altcoins that have a speculative character risk a sharper decline in value compared to the US dollar, while gold and assets that are considered real stores of value come under strong scrutiny. These arguments are not exact predictions, but rather interpretations of current market trends and macroeconomic conditions.
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