- WOLF Financial
- Posts
- đşHas BTC PEAKED???
đşHas BTC PEAKED???
Here's why our experts think we haven't this cycle
Hey there!
Welcome to the WOLF Financial Newsletter.
Join over 13,000 savvy investors building wealth and mastering advanced investing strategies live on Twitter Spaces. Subscribe below to be part of the action:
WOLF Financial has driven liquidity, user growth, and brand awareness across TradFi and Crypto through marketing, advisory, and partnership services. See more Here.
Have we reached the Bitcoin cycle peak?
My evidence strongly suggests we havenât.
If youâre feeling bearish, read this đ

Whatâs the greatest catalyst for Bitcoinâs price?
Is it nation-state FOMO via strategic Bitcoin reserves?
Is it institutional adoption via spot ETFs?
Is it the 4-year halving cycle?
Believe it or not, none of these are the biggest Bitcoin price catalysts.
The greatest factor in Bitcoinâs price is global liquidity.
Thatâs right â global liquidity is even more important than the halving cycle.
Halvings get more credit than they deserve because they align with global liquidity cycles, which are the real catalysts for Bitcoinâs big moves.
FYI: Iâm not suggesting halvings arenât important.

Ironically, Bitcoinâs price is currently decoupled from global liquidity.
That sometimes happens during bull markets â nothing to worry about.
Anyhow, let me explain why GL is so important đ
First, what exactly is global liquidity?
Global liquidity refers to the availability and flow of capital in global financial markets.
Such as global M2, bank lending policies, quantitative easing, etc.
When governments print money and cut rates, global liquidity rises.
The problem is most investors only focus on U.S. liquidity instead of the entire world.
When it comes to Bitcoin, thatâs a mistake.
Bitcoin is a global asset â practically everyone can buy Bitcoin.
When governments expand the money supply, a portion of that money goes to its citizens.
A fraction of them buy Bitcoin with this newly created money.
Rising GL â more money â more BTC purchased â smaller supply leftover
Basic supply and demand economics.
So why bring this up?
Because after months of declining global liquidity, itâs finally on the rise again.
Canadaâs central bank just cut rates and switched from QT to QE (money printing)
Europe's central bank also just cut rates.
Trump will eventually convince Powell to cut rates in the U.S.
China is priming for another huge liquidity dump as well.
Exactly how much will this impact Bitcoinâs price?
Roughly for every 10% increase in GL, Bitcoinâs price rises by ~90%.
Thereâs a ~70-day delay between global liquidity movements and Bitcoinâs price.

On a side note, GL is also highly correlated to U.S. indexes.
Unlike other stock markets, the U.S. stock market is a primary destination for investors around the world.
When it comes to global assets, global liquidity becomes important to track.

Here are some other assets that are highly correlated if youâre interested.

Provided global liquidity resyncs with Bitcoin, which is likely will, we should see $BTC rise in a few months.
Is this a guarantee? Not.
There are no certainties when investing â only probabilities.
Do your research â not financial advice.
Looking to take your investing game to the next level?
Download the Blossom investing app to converse with 100k+ investors.
Plus, youâll get a peak at my investment portfolio.
Itâs free â give it a try: https://www.blossomsocial.com/wolffinancial
Which Edition of our Newsletter has been your Favorite to Read? |
|
|
|
|