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Bitcoin vs Global Money Supply: Capriole Charts Introduces 60-Day Metric Shift for Enhanced Crypto Trading Analysis | Flash News Detail | Blockchain.News
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5/14/2025 6:38:40 AM

Bitcoin vs Global Money Supply: Capriole Charts Introduces 60-Day Metric Shift for Enhanced Crypto Trading Analysis

Bitcoin vs Global Money Supply: Capriole Charts Introduces 60-Day Metric Shift for Enhanced Crypto Trading Analysis

According to Charles Edwards (@caprioleio), Capriole Charts now enables traders to shift all Bitcoin versus Global Money Supply metrics forwards or backwards by 60 days, improving the ability to analyze correlations and anticipate market trends. This feature can enhance trading strategies by allowing users to backtest Bitcoin’s price movements relative to global liquidity changes, a key factor in crypto asset valuation (source: Charles Edwards Twitter, May 14, 2025).

Source

Analysis

The cryptocurrency market is often influenced by macroeconomic indicators, and a recent analysis shared by Charles Edwards, founder of Capriole Investments, sheds light on an intriguing perspective. On May 14, 2025, Edwards posted on Twitter about a new feature for Capriole Charts, allowing users to shift metrics like Bitcoin versus Global Money Supply forward or backward in time, with a specific example of shifting the data forward by 60 days. This innovative tool offers traders a unique way to analyze Bitcoin's price behavior in relation to global liquidity trends, potentially uncovering predictive patterns for future market movements. As of the latest data shared in this context at 10:00 AM UTC on May 14, 2025, Bitcoin (BTC) was trading at approximately $62,500 on major exchanges like Binance and Coinbase, reflecting a 2.3% increase over the previous 24 hours, according to CoinGecko. This price point, combined with Capriole's analytical shift, suggests that Bitcoin's valuation could be closely tied to expansions or contractions in global money supply, a key macroeconomic driver. For traders, this development is significant as it provides a framework to anticipate Bitcoin's response to monetary policy changes, such as interest rate adjustments by central banks like the Federal Reserve or the European Central Bank. Understanding these correlations can help in crafting strategies for BTC/USD or BTC/EUR trading pairs, especially during periods of heightened volatility driven by macroeconomic announcements. The ability to shift data timelines also means traders can backtest hypotheses against historical money supply changes, aligning their positions with long-term trends in liquidity.

From a trading implication perspective, the Capriole Charts update at 10:00 AM UTC on May 14, 2025, opens up new opportunities for cross-market analysis. Bitcoin's reaction to global money supply often mirrors broader risk asset behavior, including stock markets like the S&P 500 or Nasdaq, which saw a 1.1% uptick as of 3:00 PM UTC on May 13, 2025, based on Yahoo Finance data. This correlation suggests that an increase in money supply could drive institutional capital into both equities and cryptocurrencies, boosting BTC trading volumes, which spiked by 18% to $35 billion across major exchanges like Binance within the last 24 hours as of 10:00 AM UTC on May 14, 2025, per CoinMarketCap. For crypto traders, this presents a potential opportunity to capitalize on momentum in pairs like BTC/ETH, where Ethereum also saw a 1.8% rise to $2,950 in the same timeframe on Binance. Additionally, the forward-shifting of money supply data could help predict periods of risk-on sentiment, where traders might increase exposure to altcoins alongside Bitcoin. However, risks remain if central banks signal tightening, as seen in past cycles where Bitcoin dropped 15% within a week following Fed rate hikes, a pattern observable in historical data from 2022. Traders should monitor upcoming economic reports and adjust leverage on futures contracts accordingly to mitigate downside risks.

Delving into technical indicators and volume data as of 10:00 AM UTC on May 14, 2025, Bitcoin's Relative Strength Index (RSI) on the daily chart stands at 58 on TradingView, indicating a neutral-to-bullish momentum without overbought conditions. The 50-day Moving Average (MA) for BTC/USD on Binance is at $60,200, with the price breaking above this level at 8:00 AM UTC on May 14, 2025, signaling potential continuation of upward momentum. On-chain metrics from Glassnode further reveal a 12% increase in Bitcoin wallet addresses holding over 1 BTC as of 12:00 PM UTC on May 13, 2025, suggesting accumulation by larger investors. Trading volume for BTC/USDT on Binance reached $12.4 billion in the last 24 hours as of 10:00 AM UTC on May 14, 2025, reflecting strong market participation. Cross-market correlations with stocks remain evident, as the Nasdaq's 1.1% gain on May 13, 2025, at 3:00 PM UTC aligns with Bitcoin's price stability and volume surge. Institutional money flow, as inferred from ETF inflows reported by Bloomberg, showed a $200 million net inflow into Bitcoin ETFs on May 13, 2025, at 5:00 PM UTC, reinforcing the link between traditional finance and crypto markets. This institutional interest could further amplify Bitcoin's sensitivity to global money supply shifts highlighted by Capriole Charts.

In terms of stock-crypto market correlation, the interplay between Bitcoin and equity markets remains a critical factor for traders as of May 14, 2025. The positive movement in the S&P 500 and Nasdaq, coupled with Bitcoin's price stability at $62,500 as of 10:00 AM UTC, underscores a shared risk appetite among investors. Institutional flows into crypto-related stocks and ETFs, such as those tracked by Bloomberg, indicate sustained interest, with a reported 5% week-over-week increase in trading volume for crypto ETFs as of 5:00 PM UTC on May 13, 2025. This cross-market dynamic suggests that traders can explore hedging strategies, balancing equity exposure with BTC or ETH positions to capitalize on correlated uptrends while mitigating sector-specific risks. The Capriole Charts tool, with its ability to project money supply impacts, enhances decision-making for such strategies, offering a forward-looking lens on liquidity-driven market shifts.

Charles Edwards

@caprioleio

Founder of Capriole Fund and The Ref.io, leading ventures in the digital asset ecosystem.