Author: CryptoTalk
Compiled by: Blockchain in Plain Language
You can feel the change in the air. The signals pointing to the next cryptocurrency bull market are not unfounded—they are based on real and undeniable financial indicators. As someone closely monitoring global markets, I believe we are standing on the edge of a strong surge in cryptocurrency (especially Bitcoin). I want to analyze the reasons in detail.
From global interest rates dropping to M2 money supply increasing, and massive institutional buying, momentum is rapidly accumulating. And Bitcoin, with its core fundamentals, is perfectly positioned to benefit.
Let's look at the data and macro trends. Because if you're still waiting, this might be your last chance to prepare.
Bitcoin's Fundamentals Make It an Ideal Long-Term Asset
Bitcoin is not just another digital currency. It is a direct response to the flaws in the global financial system. At a time when governments are endlessly printing money, Bitcoin's supply is permanently fixed at 21 million. This characteristic makes it incredibly powerful.
Currently, Bitcoin's price is around $104,500—a significant rebound from the 2022 bear market low. But this still feels like the beginning of a longer-term trend. Why? Because the world is gradually realizing Bitcoin's significance: a decentralized, inflation-resistant store of value.
This was also acknowledged when the US government launched the Strategic Bitcoin Reserve in March 2025. This marks a major shift in the government's view of Bitcoin—from a "speculative asset" to a "strategic macro hedge".
Institutions are following this trend. It's no longer just tech-savvy retail investors buying Bitcoin. Pension funds, insurance companies, and sovereign wealth funds are quietly accumulating.
Falling Global Interest Rates Fuel the Bull Market
We have officially entered a global easing cycle. Central banks worldwide are racing to cut rates:
- The European Central Bank recently lowered its key rate to 2%.
- The Bank of Canada has also reduced rates.
- The US Federal Reserve faces increasing pressure to cut rates.
Low interest rates change investor behavior. When yields drop, cash and bonds become less attractive, and funds begin flowing towards assets with greater appreciation potential—like cryptocurrencies.
In past rate-cutting cycles, Bitcoin's price has skyrocketed. The Bitcoin value explosion during the low-rate period of 2020-2021 was no coincidence. Now, history seems to be repeating, but with a significant difference: this time we have Bitcoin spot ETFs, institutional custody infrastructure, and a broader public understanding of Bitcoin.
Holding Bitcoin in a world of falling rates is not just speculation—it's preservation.
Global M2 Money Supply Rapidly Climbing
Let's talk about money supply.
M2 represents the total cash, savings, and other liquid assets in the economy. Currently, it is growing again. As of Q2 2025, global M2 supply is approaching $93 trillion. In the US alone, M2 has reached a new high of $21.93 trillion, growing over 4% year-on-year.
This is not just a number—it's a signal.
When money supply expands, fiat currency's purchasing power declines. This is a basic principle of monetary economics. When cash devalues, people start seeking hard assets to protect wealth. This is precisely when Bitcoin thrives.
Bitcoin is not just another risk asset. In a world of infinite fiat currency, its limited supply becomes more precious with every trillion dollars printed.
Institutions Are Quietly and Steadily Buying Bitcoin
The world's largest fund movements often happen quietly. And now, these funds are flowing into Bitcoin.
In May 2025 alone, US Bitcoin spot ETFs recorded $5.2 billion in net inflows. These are not meme stock traders. These are institutions with long-term vision, building positions they plan to hold for years.
It's not just ETFs.
We're seeing family offices, insurance companies, and even governments exploring direct Bitcoin holdings. Some choose self-custody, others rely on trusted custodians like Fidelity or Coinbase Prime. But the result is the same: increasing demand for a limited asset.
This steady inflow won't trigger short-term hype—but it's the foundation for sustainable long-term price appreciation.
Macro Environment Looks Bullish Overall
Looking around, it's hard not to be optimistic.
Here's the macro environment developing deeply in 2025:
- Falling interest rates, weakening fiat currency.
- Money supply expansion, eroding cash value.
- Increasing institutional adoption, bringing legitimacy and capital.
- From inflation to geopolitics, global uncertainty remains high.
Combining these factors, Bitcoin's role as a hedge asset—like digital gold—is clearer than ever.
Add the recent Bitcoin halving, which reduces new BTC supply in the market, and you'll see a perfect supply-demand storm. Rising demand, decreasing supply, and price responds accordingly.
If Bitcoin maintains above $100,000 and breaks the $112,000 resistance level, the next target could be $120,000 or higher.
Ethereum and Altcoins Will Follow Bitcoin's Path
While I focus on Bitcoin, the entire crypto ecosystem is worth mentioning. Because when Bitcoin surges strongly, other coins tend to follow.
Ethereum price remains strong above $5,800:
- Layer 2 scaling solutions like Optimism and Arbitrum are being widely adopted.
- Decentralized finance (DeFi) total value locked (TVL) is steadily recovering.
- There are rumors of an ETH spot ETF, which could unleash massive institutional demand.
Historically, when Bitcoin's dominance peaks, funds begin rotating to Ethereum, then top Altcoins, and then smaller potential coins. This was the pattern we saw in 2017 and 2021—and 2025 is likely to repeat it.
So if you're watching the market, don't just look at Bitcoin's price—also watch where funds flow afterward.
This Is Not the Peak
The truth is—this feels more like the midpoint, not the peak. The next crypto bull market is not a question of "if" but "when".
Fundamentals are stronger than ever. The macro environment is aligned. Most people haven't fully realized what's happening.
If you've been waiting for the perfect entry point, remember: the best time to buy is during panic. The second-best time might be right now—before the whole world catches up.
The market will move in waves. But if you look long-term and position wisely, Bitcoin and cryptocurrencies still offer life-changing appreciation potential.
