Bitcoin (BTC) Could Nearly Double as Global Liquidity Hits Record High, Says Analyst

Crypto analyst Jamie Coutts, chief strategist at Real Vision, believes that surging global liquidity could act as a powerful catalyst for Bitcoin's next major rally.

Crypto analyst Jamie Coutts, chief strategist at Real Vision, is highlighting the potential impact of surging global liquidity on Bitcoin’s next major rally.

According to Coutts, total global liquidity has hit a staggering high of nearly $140 trillion following years of contraction.

Coutts noted on X (formerly Twitter) that liquidity is a historical driver of asset price explosions. With central banks lagging behind economic developments, he forecasts a possible 10% rise in global liquidity—equivalent to about $13 trillion—over the next year.

“This would equate to $186,000 BTC using a blended regression model,” he wrote. “Those who held steady and accumulated during recent market turbulence should be better for it in what comes next.”

With central banks clearly behind the curve, we could see global liquidity rise by approx. 10% or $13T over the next 12 months. This would equate to $186,000 BTC using a blended regression model.

Those who held steady and accumulated during recent market turbulence should be better for it in what comes next. pic.twitter.com/axtshD0yba

— Jamie Coutts CMT (@Jamie1Coutts) April 23, 2025

Volatility Favors Bitcoin Over Traditional Assets

Coutts also touched upon the shifting volatility dynamics between crypto and traditional markets. He observed that Bitcoin’s volatility has been decreasing, whereas traditional assets like bonds and equities are becoming more volatile.

“Volatility isn’t the enemy, provided you’re being compensated by higher returns,” explained Coutts. “That is not the case for Bonds and Equities relative to Bitcoin.”

SEE ALSO: How To Invest In Bitcoin According To A Former Goldman Sachs Executive

His analysis over the past four months shows Bitcoin’s volatility-adjusted return at -7.12, compared to the S&P 500 index’s -45.08. This metric, known as volatility-normalized return, measures how well an asset performs relative to its price fluctuations—higher values denoting better risk-adjusted returns.

As global macroeconomic trends continue to unfold, the interplay between liquidity, asset prices, and market volatility remains a subject of keen interest for market participants worldwide.

News data source: kdj.com

The above is the detailed content of Bitcoin (BTC) Could Nearly Double as Global Liquidity Hits Record High, Says Analyst. For more information, please follow other related articles on the PHP Chinese website!