BTC Buzz | Price Breakout Ignites Discussion Amid Spot ETF Trends
Edited By
Aisha Khan
Tension fills the cryptocurrency forums as Bitcoin's price trends upward, showing a 90% correlation with M2 money supply. On May 18, 2025, discussions heated up around potential market shifts and strategies, fueled by the recent ETF spot approval's impact.
Key Insights from the Forum
Users are abuzz over the connection between Bitcoin and monetary policy, specifically how BTC appears to track the M2 money supply with a substantial lag. "BTC tracking M2 money supply with an 80-day lag now with a 90% correlation over the past 2 months. 90% is beyond insane," one comment noted.
Spot ETF Impact
Market analysts from the community reveal that average net inflows since the spot ETF approval hit $123.5 million per trading day. Over 494 days since the ETF debut, persistent inflows are reshaping market dynamics. "If we reach a point where buying/selling outside of spot ETFs is net neutral, equilibrium price would be" another user remarked, hinting at potential price ceilings and dynamics.
Price Resistance and Breakouts
Multiple users emphasize breakout potential as Bitcoin's price hovers around key resistance levels. "Lower high of $ broken," noted one commentator, highlighting breakout levels at $106k, while others predict an upcoming surge beyond this threshold with a vigorous weekend volume. "Sunday Pumpday seems to be in full swing!" exclaimed a trader amidst optimistic sentiments.
"Looks like we have broken above the ascending triangle," stated another user, demonstrating strong market confidence.
User Sentiments
Sentiments run high, with enthusiasm among traders contrasting with cautious remarks from seasoned participants. Other traders are wary of getting too excited, saying this isn't the wild west of weekends anymore, where volatility ruled.
Chart Dynamics
Forum members are actively discussing chart patterns, noting BTC is teetering on an upward trend line, making Monday’s market watch even more critical.
Key Takeaways
🔺 90% correlation between BTC and M2 money supply reported.
🔻 Average inflows post-ETF approval at $123.5 million/day.
ℹ️ "We’re dancing on the upwards trend line; the material for an interesting Monday is there."
The online chatter reflects optimism mixed with a hint of caution as traders prepare for potential breakout scenarios. As the market awaits reaction from crypto enthusiasts, one wonders: Could we see a new all-time high in mere days?
Market Trajectory Ahead
As Bitcoin's momentum builds, predictions suggest there's a strong chance of a continued price surge over the coming days. Analysts estimate approximately a 70% probability that Bitcoin will break through the $106,000 resistance level this week, potentially paving the way towards new all-time highs. The ongoing inflows post-ETF approval indicate robust market interest, which combined with the correlation to the M2 money supply suggests a strong economic driver. However, cautious traders advise awareness of volatility, emphasizing that while enthusiasm is high, unexpected corrections could occur, particularly as the market adjusts to these new dynamics.
Echoes of the Past
This cryptocurrency surge bears resemblance to the dot-com boom in the late 90s, when exuberance over internet stocks drove valuations sky-high, followed by significant corrections. In the same way that investors were excited about transformative technology then, today’s traders are caught up in the revolutionary nature of cryptocurrency. Both scenarios highlight a pivotal moment where decisive actions fueled by optimism led to rapid market reactions, showcasing how quickly fortunes can shift as trends evolve.