watch

Market Dynamics: US Money Supply and Bitcoin Growth Are Interlinked

The author questions what data traders consider when marking levels for price predictions, highlighting that most people trading are often in loss and that markets are unpredictable. They emphasize the importance of paying attention to geopolitical and economic news, specifically noting that when the US needs to inject capital or lend money, they tend to print more money, which then enters the ecosystem as Bitcoin — a tool for excess liquidity clearance. They suggest comparing the dollar's money supply from four years ago to current levels, noting the significant increase and correlating it with Bitcoin's growth, implying this is a key factor to understand market dynamics.
Source available for registered users Sign Up Free

AI Analysis

This commentary emphasizes the importance of macroeconomic factors in trading, especially for assets like Bitcoin that are often seen as indicators of liquidity and economic sentiment. When the US inc...

AI Recommendation

Traders should focus on macroeconomic indicators, especially the growth of the dollar's money supply, to inform their trading decisions. Paying close attention to economic and geopolitical news provid...

Disclaimer

The AI analysis and recommendations provided are for informational purposes only. Any investment decisions should be made at your own risk. Past performance is not indicative of future results. Always conduct your own research and consider consulting with a financial advisor before making any investment decisions.

You might also be interested in: