This is an illustration of the value of hodling and the evil of inflation.
What I see here has nothing to do with inflation, the USD index is holding tight as well. This is a product that the developer sets a price for just like any other new and upgraded product. The manufacturer can set any price that comes to their head for their valuable products.
It's perfect to have ended it at "the value of HODLing of Bitcoin," which is what causes the BTC's huge appreciation against the iPhones' price, not inflation.
Admittedly, it's largely because the value of bitcoin has increased so rapidly that it makes a difference when compared in this way, but if you think it's unrelated to inflation you're not entirely right. The value of the USD is not held tightly, it also loses value over time and the reason is that inflation is also eroding the value of the USD. If you compare the value of your country's currency with USD, you will see that USD is holding its value very well, but if you look at the value of gold and USD. You will see that it is not gold that is increasing in price, but USD that is losing value. This is similar when comparing USD to bitcoin because USD is printed daily while bitcoin's supply is finite.
Looking at this chart you will see how the value of the USD is depreciating year by year. Bitcoin is the solution.
I can now see where the error is coming from with your explanation and the image attached therein. The truth is that people who are not truly trading, investing or practical with economics and data often mistake what they read from the media. I'm exempt since I've been fully involved in such for almost 20 years now. Besides, the only metric to know the true value of the USD is the "USD index," nothing else, and you can quote me to a real economist on this. It has its own chart that reads the falling and the rising moments. You can get it online and study it yourself about how the power/strength of the USD has been playing out over the years.
Do you know how you are making the mistake? Inflation is internal while the assets you cited are global. You are disregarding the fact that global commodities like gold and crude oil are being priced and influenced by many factors. This is why crude oil, for example, at times could be priced as low as $10 per barrel when there is nothing happening to the status of the USD at all (no inflation/deflation), and at times, the same crude oil could be priced at over $100 per barrel, also without anything happening to the purchasing power of the USD. By this, you are mistaking purchasing power for the dynamics of these assets in that they could have their bearish and bullish moments even when the USD is stable. Take gold for another example, it is an asset, an asset that appreciated in value significantly over the past years. You don't expect the same amount in USD that bought it years back to buy it today when the asset has appreciated. That is why they are investments, people make money from their appreciation, and the purchasing power of the USD is almost totally irrelevant here. The USD is a currency, whether it remains the same, decreases or rises, assets will surpass it as far as they do well. This is also the reason you can't price the same US stocks that have appreciated over the years with the same amount of dollars you bought it 20 years ago. The value has risen, but it doesn't mean the USD fell. That's the reason I said it's the value and not inflation.
In other words, it's not the purchasing power of the USD that reduced but it's the said asset that appreciated significantly in value. The USD can't be appreciating that much as a currency, otherwise, it's a big problem for the USA's trade balance.
