The M2 money supply in the USA has reached a new record, potentially influencing the cryptocurrency market including Bitcoin.
M2 Money Supply in the USA
In 2025, the M2 money supply in the USA has increased to a record $21.94 trillion. The M2 metric is regularly monitored as its growth may signal potential changes in financial markets and the cryptocurrency sector. Since the beginning of the year, the M2 supply has significantly climbed, starting from $20.7 trillion in 2023.
Correlation between M2 and BTC
Bitcoin (BTC) traditionally shows a correlation with M2 metrics both in the USA and globally. Changes in the money supply often precede price fluctuations in BTC. On shorter time frames, the growing M2 trend predicts Bitcoin rallies. However, it's important to note that short-term price increases for BTC occurred during times of minimal changes in M2, sometimes perceived as signs of a bubble.
Global M2 Money Supply
On a global scale, the M2 money supply also shows growth, but at a more gradual pace. As of July 2025, the global M2 supply stands at $93.69 trillion, growing by 7.45% in the past year. Increased liquidity may indirectly influence the cryptocurrency market, especially given the rising inflationary backdrop and increased investor activity in financial markets.
The increasing M2 money supply in the USA and worldwide raises interest among analysts regarding its impact on the cryptocurrency market. Historical patterns suggest that such changes could herald both short-term and long-term price trends, including those for Bitcoin.
