- Global liquidity rose by $0.232 trillion last week, reaching a new yearly high that aligns with Bitcoin’s recent price surge.
- Bitcoin’s momentum remains strong, supported by positive three-month rate of change and continued growth in global liquidity flows.
- Despite price gains, Google search interest in “Bitcoin” stays low, indicating limited retail participation during the current rally phase.
Bitcoin has continued its upward trajectory, aligning with a fresh yearly high in global liquidity. The synchronized rise points to liquidity as a key driver of the recent price movement.
Global Liquidity Growth Supports Bitcoin’s Rise
According to Alpha Extract, global liquidity surged by $0.232 trillion in the past week. This increase, representing a 0.169% week-over-week rise, marks a new yearly peak. Bitcoin’s price action has closely mirrored this liquidity expansion, reinforcing the correlation between the two.
The firm’s intraday update last week already flagged this possibility. As liquidity expands, risk assets such as Bitcoin often benefit due to improved capital flows and investor sentiment. The three-month rate of change (3M RoC) remains positive, suggesting ongoing momentum.
Alpha Extract maintains its view that global liquidity, not isolated events or speculative moves, remains the primary catalyst behind Bitcoin’s latest movement. This perspective contrasts with other market narratives that often tie short-term rallies to news events or ETF flows.
Fundamentals Align with Price Momentum
Alpha Extract continues to express a bullish stance, supported by favorable market fundamentals. The recent move in Bitcoin appears to have surprised many sidelined investors waiting for a dip that never came. With liquidity rising and momentum sustained, further upward moves remain within market expectations.
Despite the rising price, search interest in “Bitcoin” remains at bear market levels, as per Google Trends data. This contrast between price movement and public search behavior indicates that broader retail interest has yet to re-enter the market fully. Such conditions have historically supported additional price discovery phases.
Alpha Extract suggests that supportive fundamentals and limited retail engagement provide a setup for continued growth. Their outlook for 2025 remains unchanged, affirming confidence in the structural environment for Bitcoin.
Market Conditions May Attract Returning Investors
The muted public interest could create conditions for previously hesitant investors to re-engage with the market. Bitcoin’s move higher may act as a catalyst for renewed attention as liquidity continues to support asset prices globally.
If current conditions persist, and liquidity remains elevated, market participants may find limited entry points. This may drive further demand from those who remained on the sidelines during the earlier stages of the rally.
With no deviation from their prior 2025 outlook, Alpha Extract’s position stays consistent, grounded in liquidity data and market momentum metrics.
