An analyst suggests that Bitcoin could drop as much as 20% due to its strong correlation with the global M2 money supply. Joe Consorti, head of growth at Theya Bitcoin, noted that Bitcoin has followed M2 trends with a lag of about 70 days since September 2023. Historically, Bitcoin's price increases have coincided with M2 growth, as inflationary pressures often drive investors toward riskier assets like Bitcoin. However, not all analysts agree with Consorti's forecast, with some arguing that Bitcoin's volatility makes such tracking unreliable. Additionally, macroeconomic factors, such as a strengthening US dollar potentially caused by proposed tariffs from President-elect Donald Trump, could negatively affect Bitcoin. As of the time of publication, Bitcoin was trading at $91,988, having narrowly missed the $100,000 mark earlier.

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