Lawrence Lepard, investment manager and author of “The Big Print,” told RE:Bitcoin host Chase Palmieri that the U.S. Federal Reserve under chair Kevin Warsh is running a deliberate deception on markets, and that bitcoin near $59,000 sits in one of its cheapest historical positions relative to the power law model.
Key Takeaways:
Lepard says Kevin Warsh’s Fed task force on inflation measurement is designed to justify rate cuts before the 2026 midterms. Bitcoin at $59K sits in a historical cheapness zone reached less than 10% of the time, per the power law model.Strategy carries roughly $1.7B in annual preferred dividends against $55B in held bitcoin, a load Lepard says bitcoin at 4% annual gains can cover.“The odds of the Fed raising the rates this year is zero,” he stressed. “And the market thinks the odds of them raising rates this year is 100%. One of us is right and one of us is wrong.”
Bitcoin and the Power LawLepard continued:
“It’s only been this cheap less than 10% of the time.”
The Next Big PrintEach successive Fed intervention has been larger than the last. The 2008 response totaled roughly $2 to $3 trillion over three years. The COVID response hit approximately $5 trillion over 18 months. Lepard expects the next intervention to exceed both in size and speed.
Strategy and the Math Where Lepard Is Positioned Hero/feature image source: The Youtube show RE:Bitcoin episode “We Broke Below The Power Law with Lawrence Lepard.”
