Bitcoin’s price has always been a topic of debate among investors, with many wondering what the future holds for the world’s leading cryptocurrency. As Bitcoin continues to ride the waves of volatile markets, several factors are influencing predictions about its price in the coming months. While the cryptocurrency market can be unpredictable, one of the most significant drivers of Bitcoin’s price surge is the global M2 money supply. This, along with other variables like the potential involvement of nation-states, could determine Bitcoin’s trajectory over the next three months.

The Role of Global M2 Money Supply in Bitcoin’s Price Surge

The global M2 money supply—comprising cash, checking deposits, and easily convertible near money—has historically played a crucial role in driving Bitcoin’s price. When the M2 money supply increases, Bitcoin has often responded with bullish movements. This is because more money in circulation tends to fuel demand for assets like Bitcoin, which is seen by many as a hedge against inflation.

For instance, during the last major increase in the M2 money supply, Bitcoin saw a 60% surge. If a similar trend holds in the coming months, Bitcoin could experience another dramatic rise. Experts suggest that if just 0.5% of the new global M2 assets flow into Bitcoin, the cryptocurrency’s price could rise to around $115,000. This would represent a 37.58% increase from current levels, a more conservative prediction compared to the $1 million price targets some Bitcoin enthusiasts are hoping for. This projection aligns with historical trends, offering a grounded estimate of what Bitcoin’s price might look like in the near future.

Nation-State Game Theory: A Potential Game-Changer for Bitcoin

Another factor that could dramatically influence Bitcoin’s price is the potential involvement of nation-states. The “nation-state game theory” suggests that if a government were to print fiat currency and purchase Bitcoin, it could create immense upward pressure on the market. This strategy, if adopted by a country, could drive Bitcoin’s price to new heights.

The idea behind this is simple: the first country to adopt such an approach could dominate the cryptocurrency space, forcing other countries to follow suit. As more governments begin to hold Bitcoin as part of their reserves or as a store of value, demand for the cryptocurrency would likely surge, pushing its price higher. While this concept may seem speculative, there are growing discussions around the potential for countries to recognize Bitcoin as a legitimate asset class.

The rise of Bitcoin as a national reserve asset or part of a country’s financial strategy could be a game-changer, potentially driving Bitcoin’s value up significantly in the process.

Bitcoin’s Likely Price Range Over the Next Three Months

Considering all the factors at play, the most likely scenario for Bitcoin’s price over the next three months is that it will range between $99,000 and $115,000. The continued increase in the global M2 money supply could provide the fuel for this price movement, and a potential nation-state shift could further bolster Bitcoin’s bullish trajectory.

While these predictions are optimistic, there remains a 20% chance of setbacks. Bitcoin, like all cryptocurrencies, is highly volatile, and unforeseen events—such as regulatory changes or global economic shifts—could impact its price negatively. However, with an 80% chance of maintaining its bullish momentum, the outlook for Bitcoin remains generally positive.

Conclusion

Bitcoin’s price in the coming months could see significant upward movement, potentially reaching $100,000 or even $115,000. The global M2 money supply and the possible involvement of nation-states in the crypto market are key factors that could drive Bitcoin to new heights. Although Bitcoin’s volatility remains a concern, the factors driving its growth are becoming increasingly evident. For those watching Bitcoin’s market, the next few months could present some exciting opportunities for growth.