I collaborated with Sam Callahan to analyze bitcoin’s correlation with global broad money supply. The result was that it had higher directional correlation to money supply than other asset classes, at 83%. We also looked at indicators for when bitcoin is more likely to deviate from liquidity. In other words, what’s usually going on in that other 17%. The answer, generally, is that the asset is coming down after major periods of extreme sentiment. You can check out the full report here:

Lyn Alden

Bitcoin: A Global Liquidity Barometer

This research piece on the correlation between measures of liquidity and the price of Bitcoin was compiled and written by Sam Callahan, and commiss...