Bitcoin for $600,000 and more? The global money supply (M2) is starting to explode again
Are the presses ready to go again? Progress Bitcoin (BTC) is in consolidation mode and requires patience crypto market players. But if wait and gloom reign over the sector in the short term, the future could be flamboyant and clearly on the rise. In any case, this is the same conclusion reached by two analysts when they see uncontrolled growth of the world money supply.
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- The global money supply M2 saw a rapid increase of 6.2% in six months to reach $137 trillion.
- Two analysts are predicting a possible Bitcoin price explosion, similar to the one seen in 2020-2021, due to this uncontrolled growth of the money supply.
Booming M2 Money Supply: An Explosive Signal for Bitcoin?
According to data shared on Jesse Myersco-founder of Onramp Bitcoin, the global money supply M2 increased by 6.2% in just 6 months, reaching approx 137 trillion dollars Today.
As a reminder, M2 it includes cash, demand deposits and short-term deposits, which is a key measure available liquidity in economics. This rapid growth of M2 has not been observed since y massive money printing and uncontrollably in a rush to compensate for the restrictions imposed (and disastrous for the economy) during the crisis COVID-19. And this caused 6x Bitcoin price explosion at that time.
“The printing press hasn’t been running at such a high speed since Covid.
The global M2 money supply is now around $137 trillion.
Just 6 months ago it was 129 trillion dollars.
Gold rallied in response. Bitcoin seems to be lagging behind – just like it was in 2020.
In March 2020, he started printing COVID money. The M2 money supply grew by 21% at the end of 2020. With a slight lag, Bitcoin saw a 6x increase between Q4 2020 and Q1 2021.
What will happen in the next 6 months? »Jesse Myers
The return of money printing and its implications for cryptocurrencies
If Jesse Myers’ observations are to be followed, the price of Bitcoin could explode again, in the footsteps of the bullish explosion that gold has already begun to experience. And if we take the past example of 2020-2021, it could project us BTC for $600,000 and more!
Especially since another analyst, Lawrence Lepardasset manager at Equity Management Associates, agrees with this alarming observation of the once again uncontrolled growth of the M2 money supply.
This second analyst explains on X that this would be the growth of M2 annualized to 12% if this rhythm continues, it is ” well short of the Fed’s 2% target » (U.S. Central Bank). Especially since, according to a financial expert, the Fed “ he hasn’t even properly turned on the printer (money) yet. The upcoming launch of Bitcoin. Be prepared. “.
These two analysts to join also visionArthur Hayesformer CEO of BitMEX and current Chief Investment Officer of the Maelstrom Fund. He actually estimated that the return of a Dovish Fed Policy Could Take Bitcoin To $1 Milliondirect. Who says better? In any case, one thing is certain, inflation – that means that devaluation of fiat currencies (dollar, euro, etc.) – should also start to rise sharply.