Liquidity

Despite extreme fear in the crypto market, analyst Michaël van de Poppe argues that the current panic is unjustified. With the Federal Reserve injecting liquidity and key macro indicators turning positive, he believes a major bull run could be imminent.

Fed Vice Chair Michelle Bowman’s recent remarks signal a potential shift towards deregulation to boost credit flow. Analysts believe this preparation for a softer economy could increase liquidity, benefiting Bitcoin in the medium term, though short-term volatility is likely.

Economists indicate that M2 money velocity is unlikely to surge again soon, potentially pressuring Bitcoin’s price short-term, though long-term recovery may follow policy shifts.