The Kobeissi Letter points out that major fiat currencies have been in a long-term bear market against gold since 1971

The US dollar has depreciated by 99.24%, the British pound by 99.57%, the euro (if it exists) by 99.08%, the Japanese yen by 98.27%, and the Swiss franc by 96.07%; during the same period, the price of gold in US dollars has increased by 11,119%.

From a market mechanism perspective, long-term currency depreciation drives continuous capital allocation towards hard assets like gold, benefiting gold holders through value preservation and risk hedging premiums, while holders of pure fiat assets face pressure from ongoing loss of purchasing power.

Source: Public information