📊 Relationship between Global Monetary Base (M2) and Bitcoin

When we look at the graph of the global monetary base (M2) (white line) compared to the price of Bitcoin (orange line), an interesting pattern becomes evident:

🔎 What do we notice?

When M2 expands, that is, when more money is being printed, the price of Bitcoin tends to rise.

When M2 contracts or grows more slowly, BTC usually corrects or consolidates.

💡 Why?

Bitcoin is often seen as a hedge against monetary expansion. When central banks increase the money supply (such as after financial crises or pandemics), investors seek scarce assets, like BTC, to protect their purchasing power.

⚠️ Visual summary:

Expansion of M2 = Rise of BTC 🚀

Contraction or stability of M2 = Pressure on BTC 📉

This reinforces Bitcoin as an asset that benefits from monetary inflation and loss of confidence in fiat currencies.

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