>>28835195
Since 1931 the world has operated under the assumption that if you increase the money supply, you cannot have a recession. This is the core of Keynesianism. The government creates the supply of dollars, and the public creates the demand for dollars by selling things to the government, in the forms of stimulus, infrastructure, bonds, MBSs, etc. This is wrong. It was proven to be wrong in the 1970s and yet nothing changed about Western policy. You can print as many dollars as you'd like and still experience recession.
The assumption that the entire market is working off is that interest rates will never rise again and the dollar will go to 0. It will be worthless. And because it is worthless, the only things you should buy are assets, which will stay the same in real terms but moon in nominal terms. This is why BTC is 50k and Tesla is $4k pre-split, and as you say, housing is mooning even though nobody can rent their investment properties and nobody would have a job if it wasn't for government giving free money to employers to keep people employed.
The market assumption is that this state of affairs will continue, and that the government will simply print so much money that main street inflation will kick in, and after about a year or two when milk and bread costs $50 each, these valuations will make sense. The only problem is this isn't true. Inflation is ticking up in some parts of the economy, but not consumer prices, because inflation is not simply the M1 that the fed released, but the M1 x circulation, which is massively down. Dollars are the same they were two years ago, but BTC is up 20x in the same time period. Now, long-term, they might be right. BTC will eventually be worth $50k. The dollar will eventually be far lower. But it isn't now, and if you're agreeing with Michael Saylor, Robinhood, CNBC, and the average drooling idiot on Twitter, you might just be wrong about your investment strategy.
Increasing supply can't create increasing demand.