Bitcoin is once again in the spotlight for investors after a 9% year-over-year increase in the global money supply, which analysts say is extremely rare. This development was noted by Charles Edwards, founder of Capriole Investments, who posted a chart comparing historical data on fiat money supply with the price development of Bitcoin on the platform X in his post, as reported by NewsBTC.
Bitcoin reacts to money printing
These sharp increases in the global fiat supply have historically preceded significant gains in the cryptocurrency market. In August 2017, a signal was followed by a 663% increase, in November 2017 by 136%, and in June 2020 even by 580%. On average, Bitcoin recorded a 460% appreciation after such signals.
The current development suggests that central banks worldwide are once again “turning on the presses.” This process injects liquidity into the economy, which can also support risk assets — including cryptocurrencies like Bitcoin. Edwards states: “Central banks are flooding the market with fiat money.”
Central banks are flooding the market with fiat money. The yearly growth rate just hit 9%! This is extreme and rare. The last times this happened? Bitcoin returns peaked on average up 460% within the next 12 months.
Source: https://t.co/Bomc9g3FvP pic.twitter.com/Z6dEPI1vg2
— Charles Edwards (@caprioleio) July 7, 2025
Bitcoin and historical coins: 8.8 billion dollar transfer
The Bitcoin network recently experienced another remarkable moment. As pointed out by Julio Moreno, head of research at CryptoQuant, the largest ever transfer of BTC coins older than ten years took place. A total of 81,000 BTC was moved, corresponding to a value of 8.8 billion dollars.
These coins are usually inactive for years, so their movement often signals a sale or profit-taking. While this can create short-term pressure on the price, the fact that these coins were not sold earlier may also indicate confidence in Bitcoin’s long-term potential.
By far the largest ever move of 10y+ old coins yesterday, 81K Bitcoin or $8.8 billion.
Completely off the chart. pic.twitter.com/zjU3vgSRbt
— Julio Moreno (@jjcmoreno) July 5, 2025
The combination of these two events, the growth of the global money supply and the movement of old coins, creates a signal for investors that Bitcoin is entering another interesting phase. Historically, these periods are often a precursor to dynamic price movements.
In the coming months, it will be crucial to observe whether Bitcoin repeats its pattern and reacts to the increasing liquidity in the economy. For investors, this may represent a potential opportunity but also a challenge to carefully consider risks and market developments.