Bitcoin, Not Yet FOMO…“Plenty Of Room For Further Rise Based On Liquidity And Funding Fee Indicators”

Despite Bitcoin reaching an all-time high, analysis suggests that the market is still far from the 'Euphoria' stage. On the 21st, Cointelegraph reported that when considering current funding rates and global liquidity indicators, the likelihood of additional increases in Bitcoin is high.

At this point, the funding rate in the Bitcoin futures market remains low compared to previous bull markets. The fact that it is approximately 6 times and 3 times lower than the first and fourth quarters of 2023, respectively, suggests that market participants have not yet fallen into the full-scale FOMO (fear of missing out) psychology.

Additionally, global M2 money supply increased by 5% in the first quarter of 2025 due to accommodative monetary policies in the US, EU, Japan, and others. According to the report, Bitcoin shows a correlation of over 80% with this M2 liquidity and tends to follow a lagging pattern of about 60 days. This acts as a basis for the possibility of additional buying pressure in the coming months.

Cointelegraph noted that "the current level of sell-off for profit-taking is also limited" and added that Bitcoin's upward potential is valid from both technical and macroeconomic perspectives. As there is yet to be widespread overheating of the market overall, the viewpoint that the rally's full climax is yet to come is gaining strength.