According to The Kobeissi Letter, US housing affordability has reached a historic low, with the inflation-adjusted Case Shiller Home Price Index set to surpass 300 for the first time ever. Nominal home prices have soared 143% since 2011, based on data from Reventure. This unprecedented surge in housing costs could drive increased interest in alternative investments like Bitcoin and Ethereum as investors seek hedges against real estate inflation. Traders should monitor potential capital rotation from traditional property markets to digital assets, as these macroeconomic shifts may influence crypto market inflows. (Source: The Kobeissi Letter, May 23, 2025; Reventure)

According to The Kobeissi Letter, the inflation-adjusted Case Shiller Home Price Index is set to break above 300 for the first time in history, signaling the worst US housing affordability on record. Nominal home prices have surged 143% since 2011, as reported by Reventure. This unprecedented rise is increasing investor interest in alternative assets like cryptocurrencies, as high real estate prices push capital towards Bitcoin and Ethereum as potential hedges against inflation (source: @KobeissiLetter on Twitter, May 23, 2025). Traders should monitor shifts in liquidity, as heightened housing unaffordability could drive more retail and institutional flows into the crypto market.