While it's not technically able to dissolve *everything*, water is incredibly effective at dissolving a wide range of substances, more than any other common liquid. This is because of its polar nature, meaning one side of the molecule has a positive charge and the other has a negative charge. This allows water to interact with and break apart the bonds of many other molecules, leading to dissolution.

However, it's important to note that the term "universal solvent" is somewhat of a misnomer. Water cannot dissolve everything, and there are substances like oils and fats that are not easily soluble in water.