<div id="readability-page-1"><ul><li><em>Global m2 money supply has turned positive.</em></li><li><em>Historical patterns indicate BTC might be set to surge on the charts now</em></li></ul><p>Bitcoin [BTC], the world’s leading cryptocurrency, continues to flash uncertainty among traders, whales, and institutions. Especially as the market waits for better conditions in the final quarter of the year.</p><p>Historically, Bitcoin has surged whenever the global M2 money supply has increased. Now, with the global M2 turning positive, traders are anticipating a potential bull run. One similar to those seen in late October 2023 and early January 2024, following which BTC hit new all-time highs.</p><p>At the time of writing, BTC/USDT seemed to be correcting in a bullish flag pattern. Another BTC surge could be on the horizon, with the anticipated Federal Reserve rate cut being key.</p><div id="attachment_423232"><p><img src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXSptVOXcAAUVLW.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="1520" height="828" original-src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXSptVOXcAAUVLW.png"/></p><p id="caption-attachment-423232">Source: Seth Fin/X</p></div><p>A 25 basis point cut seems likely. However, in financial markets, large moves need to settle before becoming apparent.</p><h2>Bitcoin trading back at mid range</h2><p>At press time, BTC was trading near the middle of its price range within a descending trend channel.</p><p>A breakout to the upside could lead to a push towards the top of the channel and a potential breakout. The lower boundary sat at $51k, while the upper resistance was at $66k.</p><p>Now, although BTC seemed to be consolidating, its strength remains evident. Especially since bears have been unable to break the lower trendline.</p><div id="attachment_423234"><p><img src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXQnciWXcAAuY0B.jpg?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="1277" height="805" original-src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXQnciWXcAAuY0B.jpg"/></p><p id="caption-attachment-423234">Source: TradingView</p></div><p>If Bitcoin breaks the upper trendline and stays above it, BTC’s price could see a significant rally, potentially pushing it new highs. This can be supported by the global M2 versus Bitcoin price chart.</p><h2>MVRV z-score highlights low unrealized profits</h2><p>The MVRV z-score, a key indicator of market sentiment, had a reading of around 1.9 at press time. This suggested that BTC has been gradually declining while the network’s average on-chain cost basis has risen.</p><p>By extension, this means there are low unrealized profits in the market, leaving more room for upward movement.</p><p>Historically, whenever the MVRV z-score has been at these levels, Bitcoin has noted significant uptrends. The case studies of 2012, 2020, and 2023 are good examples.</p><div id="attachment_423235"><p><img src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXUPXkrWkAA8Evb.jpg?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="1308" height="736" original-src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXUPXkrWkAA8Evb.jpg"/></p><p id="caption-attachment-423235">Source: X</p></div><h2>Addresses with more than 0.1 Bitcoin near ATH</h2><p>Additionally, the number of Bitcoin addresses holding at least 0.1 BTC is nearing a new all-time high.</p><p>This means that long-term holders, often referred to as “strong hands,” are accumulating Bitcoin, supporting the case for higher BTC prices.</p><p>As more strong hands buy BTC, it strengthens the market. This increases the likelihood of an upward trend on the charts.</p><div id="attachment_423228"><p><img src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXTt4CgWcAAczCq.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="2500" height="1680" original-src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXTt4CgWcAAczCq.png"/></p><p id="caption-attachment-423228">Source; Bitcoin Magazine PRO</p></div><h2><strong>Bitcoin’s short-term holder net position change</strong></h2><p>Finally, Bitcoin’s short-term holder net position change revealed that many recent buyers, who entered during the last “fear of missing out” (FOMO) spike, are now leaving.</p><p>This is often a sign of market capitulation, signaling a potential bottom. When short-term holders capitulate, it often precedes a BTC price surge.</p><div id="attachment_423226"><p><img src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXSawPhWoAA3YgA.jpg?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="1280" height="720" original-src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2024/09/GXSawPhWoAA3YgA.jpg"/></p><p id="caption-attachment-423226">Source: CryptoQuant</p></div><p>In conclusion, Bitcoin’s price is poised for potential growth. With strong on-chain metrics and historical trends favoring an uptrend, BTC could see a significant rally if global market conditions improve and the Federal Reserve implements a rate cut.</p></div>

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<p>Bitcoin is showing signs of a potential bull run as the global M2 money supply turns positive, historically correlating with BTC surges. Currently, BTC is trading within a descending trend channel, with a breakout above the upper trendline likely to lead to significant price increases. The MVRV z-score indicates low unrealized profits, suggesting room for upward movement. Additionally, the number of addresses holding at least 0.1 BTC is nearing an all-time high, indicating strong accumulation by long-term holders. Overall, favorable on-chain metrics and historical trends suggest Bitcoin's price could rise if market conditions improve and the Federal Reserve cuts rates.</p>

Bitcoin – What do Global M2 patterns have to say about BTC’s next bull cycle?