- Global M2 Money Supply hits a record $108.4 trillion, showing more liquidity in the financial system.
- Previous M2 Surges have preceded major Bitcoin rallies, and analysts hope that a similar pattern will unfold.
The global M2 money supply has recently reached an astonishing $108.4 trillion. This means that Bitcoin prices could rise to new heights. Recently, seeing Bitcoin faces another two weeks of volatility and macro pressure, analysts have been closely watching Bitcoin’s response as central banks pour more liquidity in it.
M2 consists of currency, demand, savings and other deposits. The expansion of M2 in the past has been linked to the movement of risk-on assets. Bitcoin tends to thrive under the conditions of unprecedented financial expansion, especially as it is a rare digital asset with a limited number of tokens. M2 has risen more than $69,000, below $10,000, up over $69,000, up over $10,000, compared to the surge in digital assets this year.
Recent trends reflect this trend. M2 has been on an upward trend since late February. This can show a powerful impulse, but delayed, to increase the Bitcoin rate. Analysts based on M2 estimated that Bitcoin prices were lagging behind by growth rates typically around two months. If this pattern continues, or if it is highly liquid, it may be a breakout.
Bitcoin shruggs in panic as Wall Street slides
Unlike other markets, Bitcoin revealed its stability during this period. On April 4th, US stocks fell $3.25 trillion in two days, following pressure from Trump’s new “liberation day” tariffs and China’s 34% response measures. However, Bitcoin has increased to $84,639. This is what some analysts call it a permanent and rather clear “decoupling.”
Federal Reserve Chairman Jerome Powell I said Tariffs can harm the economy by increasing inflation and reducing growth rates. He also acknowledged that inflation could exceed the central bank’s target of 2% in the future. Still, Trump called for rate cuts through a true social society, criticising Powell as “too late.”
When stocks stumbled, Bitcoin surpassed the top. This difference has caught the eye of analysts, saying that analysts are beginning to act like hedges against standard risk. Market analyst Cory Bates said “Bitcoin is separating right in front of our eyes.”
Increased support for Bitcoin as a safe haven asset
MicroStrategy Executive Chairman Michael Saylor has been rebranded as a strategy and has reiterated his sentiment. he Called “The most liquid, available for sale, 24/7 assets on the planet,” said people are using spare liquidity to sell liquid assets during panic. Saylor writes it down into a temporary correlation, saying that Bitcoin is behaving differently in the long run.
Eric Weiss, founder of the Blockchain Investment Group, went a step further. He said Bitcoin stands as a “mathematical solution” for high-risk class assets. “There is no risk of revenue. There is no geopolitics. It is just mathematics,” he wrote. Weiss had expected Bitcoin to be dramatically separated from stocks as the inflow of funds within the facility would rise.
When the tariff war escalates and stocks bleed, Wall Street will eventually realize there is something else: Bitcoin. There is no risk of revenue. There is no geopolitics. Just mathematics. The instantaneous capital is really pivot, and BTC is not just holding on, it’s dramatically better.
– Eric Weiss⚡️ (@eric_bigfund) April 4, 2025
However, there is still some inflationary pressure, but the number of jobs remains solid. In March, 228,000 non-farm jobs were created, but the unemployment rate was marked at just 4.2%. However, these indicators were not sufficient to provide stability to the stock market.
