Analysis: Altcoin bull market to come due to interest rate cuts and increased global liquidity

@cointradernik, a pseudonymous cryptocurrency trader who has around 98,000 followers on X, outlined on the social media platform that the price of cryptocurrencies is not simply determined by interest rates, but by the size of global liquidity and M2 money supply. The trader asserts that altcoins experienced their first bull market in 2016 and 2017 as the global M2 money supply increased when interest rates were rising. After the U.S. began to cut interest rates in 2019, he suggested that altcoins showed a greater upward trend compared to Bitcoin, and peaked when real interest rates bottomed out and began to rise. With that, he added that the altcoin bear market came when the M2 money supply began to decline. By March of this year, the trader outlined that real interest rates had reached their highest level in years, but M2 money supply was flat. However he suggests that a rate cut cycle like the one in mid-2019 will soon begin, and the M2 money supply level will bottom out and start increasing again.