Reacting to the report of the U.S. M2 money supply hitting a record $22.7 trillion, Gemini co-founder Tyler Winklevoss took to X (formerly Twitter) to share his take on the macroeconomic milestone.
"Wow. Quite an advertising budget for Bitcoin," Winklevoss remarked.
Wow. Quite an advertising budget for bitcoin https://t.co/bTTfQU7JZw
— Tyler Winklevoss (@tyler) April 6, 2026HOT StoriesWinklevoss: $22.7 Trillion Fiat Expansion Is Massive Bitcoin Ad XRP's Role in 'Internet of Value' to Lead Tokyo XRPL Summit, Bitcoin Reclaims $70,000 Amid $110 Oil, 460 Billion Shiba Inu (SHIB) From Revolut Hits Coinbase: Morning Crypto Report
M2 is a broad measure of the money supply that includes cash, checking deposits, and so on. By expanding the M2 supply, the Fed effectively dilutes the purchasing power of the existing dollars in circulation.
In contrast, Bitcoin has a hard-coded maximum supply of 21 million coins that can never be altered. Therefore, every time the government prints trillions of new dollars, it "advertises" the need for a fixed-supply asset amid growing inflation concerns.
Notably, there is a profound statistical correlation between Global M2 and the price of Bitcoin. Bitcoin acts as a highly sensitive liquidity sponge.
The flagship cryptocurrency's price movements track almost exactly with the ebb and flow of global fiat liquidity. This time around, BTC might play "catch-up" to gold's performance relative to fiat expansion.
Last year, Jurrien Timmer, the Director of Global Macro at Fidelity Investments, shared a fascinating chart that mapped Nominal M2 against both Gold and Bitcoin across a massive historical timeframe.
Finally, below is the price of gold vs M2, as well as Bitcoin. It’s interesting that there’s a linear correlation between M2 and gold, but a power curve between M2 and Bitcoin. Different players on the same team. /END pic.twitter.com/3NR0Npj9ub
— Jurrien Timmer (@TimmerFidelity) February 21, 2025