Cryptographic regulation changes as Bitcoin's eyes $ 105k amid liquidity

The price of bitcoin (btc) has increased 8% of its minimum of March 11, $ 76,703, promoted in part by large investors that aggressively buy the sauce with leverage.

The margin yearning Bitfinex rose to its highest level since November 2024, adding 13,787 btc for 17 days. Currently standing at $ 5.7 billion, this bullish leverage positioning indicates trust in bitcoin's potential despite the recent weakness of prices.

Some analysts argue that bitcoin's price is closely linked to the global monetary base, which means that it tends to increase as central banks inject liquidity.

With the assembly of the recession risks, the probability that monetary expansion policies that increase the money supply increase. If this correlation is maintained, Bitfinex whales could be well positioned to capitalize on a rally above $ 105,000 in the next two months.

For example, x Pakpakchicken user claims to have identified a 82% correlation between the global monetary offer (M2) and the price of bitcoin.

When central banks drain liquidity by increasing interest rates or reducing bond holdings, merchants become more risky, which leads to a weaker demand for bitcoin. On the contrary, monetary flexibility periods tend to feed a greater interest of investors in the asset, which increases their price potential.

Bitfinex whales are long btc as m2 funds

At the beginning of September 2024, Bitfinex's margin merchants added 7,840 btc in long positions, coinciding with a period of bearish impulse as bitcoin had difficulty recovering the level of $ 50,000 for more than three months.

Despite the recession, the Bitfinex whales maintained their positions, and the price of bitcoin increased more than $ 75,000 less than two months later. In particular, the M2 Global Money offer touched at the same time that these merchants increased their exposure to bitcoin, further reinforcing the correlation.

It may be impossible to establish a direct relationship of cause and effect between the money supply and the will of investors to accumulate bitcoin, especially given the influence of important events during these periods.

For example, the election of Donald Trump as president of the United States in November 2024 significantly fed the bitcoin manifestation due to the pro-crypto position of the new administration, regardless of the global trends of M2 and liquidity conditions.

Similarly, Michael Saylor's last plan to raise up to $ 21 billion in fresh capital for the strategy to acquire more bitcoin could change the market dynamics, even representing $ 4.1 billion in net exits of the bitcoin Spot Bolsa (ETF) funds from bitcoin Spot since February.

The strategy remains the largest corporate owner of bitcoin, with 499,096 btc acquired at a total cost of $ 33.1 billion, reinforcing its long -term upward strategy.

Lighter cryptographic regulation, capital capital strategy

In essence, the expansion of the supply of global money may have influenced the increase in Bitfinex's long margin, but bitcoin's impulse around $ 105,000 could be mainly driven by specific news and events of the industry.

A report by the Wall Street Journal on March 13 revealed that Donald Trump's representatives have maintained discussions about the potential acquisition of a Binance participation.

Related: US ETFs ETFS break the output flow streak with an entrance of $ 13.3 million

Until now, the impact on the market of a most friendly United States government with cryptomonitres has not yet produced specific benefits.

For example, the Office of the Comptroller of the Currency (Occ) has not yet clarified whether banks can guard digital assets and administer stablcoins without prior approval.

Similarly, the interim president of the SEC, Mark Uyeda, announced plans to eliminate the specific cryptographic provisions of a proposed rule that would expand the definitions of exchange.

The US stock and securities commission. UU. It is reviewing the requests of Spot bitcoin ETF emitters to allow creations and channels in kind, which allows the actions to be exchanged directly by bitcoin instead of using the traditional cash -based method.

Meanwhile, global macroeconomic conditions have deteriorated, pressing the price of bitcoin. However, these same factors gradually push governments towards economic stimulus measures and expand the monetary offer M2.

If this trend continues, ultimately, you must create conditions for the price of bitcoin to adjust to the prediction of $ 105,000 of Pakpakchicken by May 2025 and possibly rises even more.

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The points of view, the thoughts and opinions expressed here are alone of the author and do not necessarily reflect or represent the opinions and opinions of Cointelegraph.