Bitcoin to Attract More Capital as Money Printing Continues, Analyst Says With Global Liquidity Above $103 Trillion

Market research platform Bull Theory on Sunday linked sustained monetary expansion to potential inflows into assets such as stocks, gold, and Bitcoin (CRYPTO: BTC).

Global Liquidity Expansion

Bull Theory highlighted that the combined money supply of the Federal Reserve, European Central Bank, Bank of Japan, and the People’s Bank of China hit a new all-time high of $103.66 trillion.

The combined M2 of the four economies increased by more than $1 trillion in August and roughly $5.6 trillion so far in 2026, additional data from MacroMicro revealed.

The M2 money supply broadly includes currency in circulation, money deposited in checking accounts and other near-money assets, such as savings accounts, certificates of deposit and non-institutional money market funds. It gauges the overall level of liquidity in an economy.

“More money printed means more money flowing into assets like stocks, gold, and Bitcoin,” Bull Theory stated.

Does the Correlation Still Hold?

Prominent Bitcoin advocates such as Anthony Pompliano, CEO of ProCap Financial Inc. (NASDAQ: BRR) and Arthur Hayes, Chief Investment Officer at Maelstrom Fund, have long maintained that the cryptocurrency’s long-term growth depends on an increase in the money supply.

CoinGlass data largely backs the view that Bitcoin tends to benefit from a growing global money supply. But that link has weakened in the 2025-2026 bear market, with Bitcoin prices falling despite rising liquidity.

Bitcoin to Grow After a Lag?

Bitcoin surged to $87,000 last week, its highest in nearly eight months, amid a challenging macro backdrop, including a Fed rate hike and rising Treasury yields.

VanEck Head of Digital Assets Research Matthew Sigel cited Bitcoin’s positive relationship with the money supply as the catalyst.

He added that M2 money supply began accelerating roughly three quarters ago, while Bitcoin typically reacts to liquidity changes with a lag.

Price Action: As of this writing, BTC is down 2.20% in the last 24 hours to $82,941.85, according to Benzinga Pro. 

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