Bitcoin Versus the Dollar

USD vs. Bitcoin


Perhaps a trend is developing?


Fundamentally, Bitcoin is in one of the most macroeconomically friendly environments it can be in.


Some Positive Macroeconomic factors that affect Bitcoin:

  1. M2 Money Supply (Money supply around the world has been increased by more than 15% in 2020.)
  2. US Dollar Value (Bitcoin primarily trades against the USD, the lower USD, the higher BTC, generally)
  3. Mining Expenses/Miner Breakevens (Since the halving, miner breakeven has likely been increased to around $10,000, commodities gravitate towards their production costs)
  4. Stock Market Correlation (The stock market has been trending strongly upwards since March, creating the largest bubble in history in P/E terms.
  5. Gold Correlation (Gold has broken it’s prior all time high of 1920, closing today around 1940/troy oz)
  6. Inflation (Inflation is a lagging indicator, but will likely be larger than normal this year with stimulus and money printing – Bitcoin inflates too)


M2 Money Supply

Gold and Bitcoin

Stock Market and Bitcoin


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