Global Liquidity Declines Amid Bond Volatility, but Q4 Outlook Remains Bullish for Bitcoin

Our Global Liquidity Index decreased by 2.02% since last week, and is currently standing at $130.07 trillion. The RoC signal though, remains positive.

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We've seen increased volatility in the bond market last week (largely driven by concerns over conflicts in the Middle East), which was a key factor for the recent liquidity decline.

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Meanwhile, the latest data from the Federal Reserve's bank credit report points to relatively weak flows. However, behind the scenes, there's a noteworthy addition of liquidity coming from commercial banks.

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Looking ahead, we anticipate a significant increase in liquidity from the West in the coming months.

Combined with our Liquidity Seasonality chart, it's hard not to remain bullish on Bitcoin and other risk-on assets as we move further into the Q4.