Liquidity expert Michael Howell has identified Bitcoin and gold as primary hedges against long-term inflation, amid concerns of a potential liquidity contraction by 2026. Howell warns that a $38 trillion debt could lead to a significant reduction in liquidity, with global debt currently at $350 trillion, necessitating $70 trillion in annual refinancing to maintain liquidity levels.
Howell predicts that global liquidity will peak in late 2025, followed by a contraction in 2026, with the U.S. M2 growth rate expected to reach 7% to 8%. He notes that historical trends show gold's value increasing twelvefold since 2000, compared to a less than fivefold rise in the S&P 500. Howell forecasts gold could reach $10,000 per ounce by the mid-2030s if inflation persists, and emphasizes Bitcoin's sensitivity to liquidity changes, recommending it as a complementary hedge alongside gold.
Michael Howell Identifies Bitcoin and Gold as Key Inflation Hedges
Disclaimer: The content provided on Phemex News is for informational purposes only. We do not guarantee the quality, accuracy, or completeness of the information sourced from third-party articles. The content on this page does not constitute financial or investment advice. We strongly encourage you to conduct you own research and consult with a qualified financial advisor before making any investment decisions.
