Recent global monetary liquidity data has released some interesting signals. As of January 5th, the global M2 supply has reached $115.9775 trillion, compared to $115.5422 trillion in the previous week, representing a growth of approximately 0.38%. Although this growth rate may seem modest, it breaks the previous sluggish trend and indicates that liquidity is quietly rebounding after hitting a short-term bottom.

More notably, the cumulative performance over the past seven weeks shows an increase from 0.96% to 1.75%, reflecting a strengthening of the reflow momentum of funds. Year-over-year, the growth rate has rebounded from 9.60% to 10.91%, further confirming that there are no signs of tightening in the global loose monetary environment.

What do these data mean for risk assets? Simply put, the underlying liquidity support is still in place. Although cryptocurrencies like Bitcoin may experience short-term adjustments due to profit-taking and market sentiment fluctuations, from a medium-term perspective, the stable and loose global monetary environment provides a relatively solid foundation for risk assets.

However, don’t be too optimistic. Factors influencing Bitcoin prices are far more than liquidity—market shocks, large-scale sell-offs, ETF and institutional expansion are all at play. To truly understand market trends, one must consider these variables comprehensively, especially paying attention to whether overheating signals appear in the market and whether there is phase-wise selling pressure.