Navigating Bitcoin’s Path to $140,000: An M2 Money Supply Perspective
The trajectory of Bitcoin’s price remains a central point of discussion among financial analysts and investors. Despite recent market volatility and skepticism surrounding ambitious price targets, a compelling argument has emerged suggesting that the world’s leading cryptocurrency could still ascend to $140,000. This perspective heavily relies on the historical correlation between Bitcoin’s valuation and the global M2 Money Supply, positing a significant upside potential.
Intensified scrutiny within the digital asset sphere now focuses on the intricate relationship between Bitcoin’s price movements and the broader global M2 Money Supply. A notable projection by the analyst known as ‘MoneyLord’ forecasts a substantial surge for BTC to the $140,000 mark, underpinned by an in-depth analysis of M2 data. This analysis aims to address prevailing doubts regarding the continued predictive relevance of M2 Money Supply for Bitcoin’s performance amidst evolving market dynamics.
Global M2 Money Supply: A Catalyst for Bitcoin’s Ascent?
According to MoneyLord’s assessment, the observed divergence between Bitcoin’s price action and M2 data in recent times should not be misconstrued as an invalidation of the model. Instead, this disconnect is attributed to pronounced market interference and heightened systemic stress within global financial ecosystems. In a technical report disseminated via X, the analyst argued that, absent significant market manipulation and the widespread insolvency of major financial entities, Bitcoin would have consistently mirrored the expansion of global liquidity.
These disruptive events, MoneyLord contends, temporarily suppressed Bitcoin’s natural price expansion, contributing to its recent corrections and subdued momentum. However, with indications of market stabilization, Bitcoin is now perceived as being on the cusp of realigning with overarching global M2 Money Supply trends. This anticipated convergence could pave the way for a renewed and robust upward trajectory.
From this analytical vantage point, the current market phase is interpreted not as a failed cycle, but rather as a delayed reaction to underlying economic forces.
MoneyLord’s prognosis suggests that once Bitcoin begins to catch up with the growth indicated by M2 data, the cryptocurrency’s price could exceed $140,000 sooner than many market participants anticipate. Supporting this bullish outlook, accompanying charts illustrate global liquidity, represented by a rising trend line, advancing towards the projected valuation.
Considering Bitcoin’s recent trading near $90,000 following a monthly decline exceeding 6%, achieving the $140,000 target would necessitate a gain of at least 55%. Such an accomplishment would not only establish a new all-time high but also surpass its current peak of over $126,000 by more than 10%.
Bitcoin’s Resilience Amidst Market Volatility
Adding another layer to the market assessment, crypto analyst Don highlights Bitcoin’s notable resilience in the wake of sharp market sell-offs that triggered widespread liquidations and unsettled many traders. The analyst observes that bullish sentiment has effectively intervened, re-establishing critical support levels and instilling renewed confidence within the market.
Bitcoin is currently trading within a clearly defined ascending triangle pattern, a technical formation often indicative of consolidation before a potential breakout. Key parameters of this pattern include an upper resistance boundary near $94,324 and a lower support boundary around $89,241. The price action contained within this structure suggests a period of accumulation, potentially building the necessary momentum for a decisive upward movement.
Conclusion
The debate surrounding Bitcoin’s potential to reach $140,000 is multifaceted, with compelling arguments rooted in both macro-economic indicators and technical analysis. The M2 Money Supply hypothesis, championed by MoneyLord, presents a significant case for Bitcoin’s long-term growth, viewing recent market disruptions as temporary detours rather than fundamental shifts in its correlation with global liquidity. Coupled with observations of Bitcoin’s inherent resilience and bullish technical patterns like the ascending triangle, the outlook for a substantial price appreciation remains a focal point for investors. As global financial systems continue to evolve, the interplay between traditional economic metrics and the burgeoning cryptocurrency market will undoubtedly continue to shape Bitcoin’s fascinating journey.
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