Bitcoin 
Btcusd The price increased by 8% compared to its lowest of March 11 of $ 76,703, partly by large investors aggressively buying the drop with a lever effect.
The margin of the margin on Bitfinex has reached its highest level since November 2024, adding 13,787 BTC over 17 days. Currently, at 5.7 billion dollars, this bullish positioning moved confidence in the upcoat increase in recent price low.
Some analysts argue that the price of Bitcoin is closely linked to the global monetary base, which means that it tends to increase as central banks inject liquidity.
With the assembly of recession risks, the probability of expansionary monetary policies increasing the money supply increases. If this correlation is valid, Bitfinex whales could be well placed to capitalize on a rally over $ 105,000 in the next two months.
For example, the user of X Pakpakchicken claims to have identified a correlation of 82% between the world money supply (M2) and the Bitcoin price.
When central banks drain liquidity by increasing interest rates or by reducing bond assets, traders become more opposite to risk, which leads to a lower bitcoin demand. Conversely, the periods of monetary easing tend to feed a greater interest of investors in the asset, which increases its price potential.
Bitfinex whales become long BTC as low m2
At the beginning of September 2024, Bitfinex Margin Traders added 7,840 BTC with long positions, coinciding with a lower momentum while Bitcoin had trouble recovering the level of $ 50,000 for more than three months.
Despite the slowdown, the Bitfinex whales occupied their positions and the Bitcoin price exceeded $ 75,000 less than two months later. In particular, the global monetary mass of M2 overflowed roughly at the same time as these traders increased their exposure to Bitcoin, further strengthening the correlation.
It may be impossible to establish a direct cause and effect relationship between the money supply and the will of investors to accumulate Bitcoin, in particular given the influence of major events during these periods.
For example, the election of Donald Trump as an American president in November 2024 fueled the Bitcoin rally considerably due to the pro-scriptto position of the new administration, whatever the global trends of M2 and the liquidity conditions.
Similarly, Michael Saylor’s latest plan to raise up to $ 21 billion in fresh capital for a strategy to acquire more Bitcoin could move the market dynamics, even taking into account $ 4.1 billion in Bitcoins funds on Bitcoin funds on stock markets on the stock market (ETF) since February 24.
The strategy remains the largest business bitcoin holder, with 499,096 BTC acquired at the total cost of $ 33.1 billion, strengthening its long -term upward strategy.
Lighter cryptography regulations, capital increase in strategy
Essentially, the expansion of the global money supply may have influenced the increase in long margins of Bitfinex, but the Bitcoin thrust to $ 105,000 could be mainly motivated by news and events specific to industry.
A Wall Street Journal report on March 13 revealed that Donald Trump’s representatives had discussions on the potential obtaining of participation in Binance.
Until now, the impact of the market for a more user -friendly American government in crypto has not yet given concrete advantages.
For example, the office of the currency controller (OCS) has not yet specified whether the banks can hold digital assets and manage stablecoins without prior approval.
Likewise, the acting president of the SEC, Mark Uyeda, announced his intention to remove the provisions specific to the cryptography of an proposed rule which would extend the definitions of exchange.
The US Securities and Exchange Commission is currently examining the requests of the Spot Bitcoin ETF transmitters to allow creations and redemptions in kind, allowing to exchange actions directly for Bitcoin instead of using the traditional method in cash.
Meanwhile, the global macroeconomic conditions have deteriorated, which exerts pressure on the price of Bitcoin. However, these same factors gradually push governments to economic recovery measures and widen the money supply of the M2.
If this trend continues, it should finally create conditions for the Bitcoin price to meet the prediction of $ 105,000 from Pakpakchicken by May 2025 and perhaps even more.
This article is for general information purposes and is not intended to be and must not be considered as legal or investment advice. The points of view, the thoughts and opinions expressed here are the only of the author and do not reflect or do not necessarily represent the opinions and opinions of Cointellegraph.
