Bitcoin (BTC) prices rose 8% from the lowest $ 76,703 on March 11, and large investors were actively purchased as leverage.
Bitfinex’s margin time has soared to the highest level since November 2024, adding 13,787 BTC for 17 days. The current strong strength, which is currently $ 5.7 billion, represents the trust in Bitcoin’s upward potential despite its recent price weakness.
Bitcoin/USD (orange, left) vs. Bitfinex BTC Margin Long. Source: TradingView / COINTELEGRAPH
Some analysts argue that the price of Bitcoin is closely related to the global currency base. This means that the central bank tends to rise as it injects liquidity.
If the risk of economic downturn is strengthened, the possibility of expansion monetary policy, which increases money supply, increases. If this correlation is maintained, the Bitfinex whale can be well deployed to take advantage of more than $ 105,000 rally for the next two months.
source: Wakchicken
For example, X user PAKPAKCHICKEN claims that it has confirmed the correlation between the 82% correlation between the global currency supply (M2) and the price of Bitcoin.
When central banks emit liquidity by raising interest rates or reducing bond retention, traders become more dangerous and weaken demand for bitcoin. On the contrary, the monetary easing period tends to increase investors’ interest in assets and increase price potential.
BITFINEX Whale goes to BTC with a long M2 floor.
In early September 2024, Bitfinex Margin Traders added 7,840 BTCs in a long position, matching the weak momentum as Bitcoin struggled to recover $ 50,000 for three months.
Despite the recession, Bitfinex Whales occupied their position and the price of Bitcoin exceeded $ 75,000 in two months. In particular, the global M2 currency supply has bottomed out at the time when these merchants have increased bitcoin exposure to further strengthen their correlation.
In particular, considering the effects of major events during this period, it may be impossible to build a direct cause and effective relationship between the investor’s willingness to accumulate money and Bitcoin.
For example, in November 2024, Donald Trump’s elections were fueled to Bitcoin’s rally due to the new administration’s professional crypto’s position, regardless of global M2 trends and liquidity conditions.
Spot Bitcoin ETF Innation, USD. Source: COINGLASS
Similarly, the latest plan for Michael Saylor raises up to $ 2.1 billion from Fresh Capital to acquire more bitcoin, which can take over $ 4.1 billion in the Bitcoin Spot Exchange-Traded Funds (ETF) after February 24.
The strategy was 499,096 BTC, which took over $ 499,096 at a total cost to strengthen the long -term strong strategy.
More clear encryption regulations, strategic capital increase
In essence, the expansion of global currency supply may have affected the increase in the Bitfinex margin long, but the promotion of $ 105,000 by Bitcoin can be mainly leaded by industry news and events.
According to the Wall Street Journal Report on March 13, Donald Trump’s representatives have a potential discussion to acquire Lee Bainy’s stake.
relevant: The US Bitcoin ETF breaks the leaked stripes with a leak of $ 13.3 million.
The impact of the US government, which is more encrypted, has not yet gained specific advantages.
For example, the CUNTROLER OF CURRENCY (OCC) office has not yet been clear whether the bank can raise digital assets and manage Stablecoin without prior approval.
Similarly, the SEC president of Mark Uyeda has announced plans to remove specific clauses of encryption from the proposed rules to expand the change of exchange.
The US Securities and Exchange Commission is currently reviewing the request of the SPOT BITCOIN ETF publisher, and instead of using the cash -based method, you can directly exchange stocks on Bitcoin.
Meanwhile, the world’s macroeconomic conditions worsened and pressure on the price of Bitcoin. However, these identical factors gradually promote the government’s economic stimuli and expands the supply of M2 currencies.
If this trend continues, ultimately, we must ultimately meet the $ 105,000 prediction of PAKPAKCHICKEN by May 2025, and perhaps the price of Bitcoin to get higher scores.
This article is for general information purposes and should not be considered legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.