Covers why Bitcoin tracks global M2 rather than CPI, the observed lag between global liquidity and price, the scale of the global money pool, and why Bitcoin's 24/7 markets make it a uniquely high bandwidth liquidity asset.
Beyond being a simple inflation hedge, Bitcoin behaves as a sensitive barometer of global liquidity. I connect money printing, trading volumes and liquidity to price, including the widely watched, and imperfect, roughly 90 day M2 lag, and explain why Bitcoin tracks global monetary expansion far more closely than CPI, and why its 24/7 markets make it a uniquely high bandwidth venue for price discovery.
This is educational content, not financial advice.