On June 4, 2025, the crypto market lit up after prominent analyst Crypto Rover spotlighted a sharp rise in the U.S. money supply, reigniting talk of inflation and driving investors back toward Bitcoin (BTC) and risk-on assets.
💵 Why Money Supply Matters
Expanding money supply typically means more liquidity in the economy — which often translates into higher inflation. In response, traders historically seek harder assets like Bitcoin to hedge against currency debasement. With inflation fears back on the table, crypto markets are seeing renewed interest.
📊 Key Market Moves (June 4, 2025)
- Bitcoin: $71,200 (+2.3%), volume up 18%
- Ethereum: $3,850 (+1.8%), volume up 12%
- Solana: $165 (+3.1%), volume up 20%
- Crypto market cap: $2.6 trillion (+1.5%)
- S&P 500: 5,283.40 (+1.2%)
- Nasdaq: 16,920.58 (+1.5%)
This risk-on appetite is mirrored across equities and crypto, with institutional capital flowing into both.
🧠 What Analysts Are Watching
- BTC’s RSI sits at 62, showing bullish strength without overextension.
- 50-day moving average just broken to the upside at $68,500.
- On-chain activity: +15% wallet growth with >1 BTC, +10% active ETH addresses.
- Coinbase (COIN) shares rose 2%, GBTC saw $50M in inflows.
These signals suggest institutional and retail accumulation is accelerating, especially as the Fed leans dovish.
💡 What This Means for Traders
The current environment resembles a classic early-stage breakout setup. Liquidity is flowing, technicals are strong, and on-chain data supports rising conviction. While macro conditions can shift quickly, the fundamental backdrop currently favors upside in crypto — particularly for BTC, ETH, and major altcoins.
This is not investment advice. Always conduct your own research before making financial decisions.
