B) The [whatever]:XMR exchange rate is quite volatile, but that is measuring real fluctuations in the value of Monero depending on what is happening in the market today. Real value fluctuations are, by definition, not called inflation.
It is like saying the price of bananas experienced 12% inflation when there is a hurricane and a banana shortage. That isn't the right term - that sort of volatility isn't inflation.
Inflation is a long term measurement, short term events like a hurricane causing supply shocks can all add up to impact the rate of inflation over time but individually it doesn’t. It is fair to not count month to month fluctuations so I will give you that.
This is probably where most pro/anti crypto people break down in communication is us not using words the same way. You taught me a new definition of inflation today, I don’t think that’s right, but since we were using words differently that explains our disagreement.
In the UK I can't really think of a time when inflation has stopped or reversed for even a few months.
By contrast Monero goes both up and down. So sure, it's unstable, but it doesn't have "higher inflation", it's just more volatile.