Bitcoin vs. M2 Money Supply
Bitcoin to US M2 Money Supply Ratio
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Interpretation
The ratio in the chart above divides the price of Bitcoin by the US M2 Money Supply. When the ratio rises, bitcoin is outpacing the growth of the US money supply.
Data Sources
- Stooq: Bitcoin Cryptocurrency USD (BTC.V)
- FRED: M2 Money Stock
Further Information
- Lyn Alden: Bitcoin: A Global Liquidity Barometer
- Swissquote: Bitcoin's price movement mirrors global money supply
- Investopedia: What is M2?
- LongtermTrends: M2 Money Supply Growth vs. Inflation
- LongtermTrends: Bitcoin vs. Nasdaq
- LongtermTrends: Ethereum vs. Bitcoin
- LongtermTrends: Bitcoin vs. Gold
- LongtermTrends: Cryptocurrencies
Bitcoin vs. US M2 Money Supply
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Interpretation
This chart gives a different view of the data from the chart above, comparing the price movements of Bitcoin and the US M2 Money Supply over time.
The Correlation Between Bitcoin and US M2 Money Supply
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Interpretation
The chart above displays the 1-year rolling correlation coefficient between the price of Bitcoin and the US M2 Money Supply. A correlation coefficient of +1 indicates a perfect positive correlation, meaning that the price of Bitcoin and the US M2 Money Supply moved in the same direction during the specified time window. Conversely, a correlation coefficient of -1 indicates that they moved in opposite directions.