This report explores the strong correlation between global M2 liquidity and Bitcoin price action, highlighting liquidity as a leading macro driver of digital asset performance. In Q2 2024, a temporary “liquidity air pocket” emerged due to reduced U.S. money supply, tight Chinese monetary policy, and stagnant bond market conditions. Despite this, key indicators—including ETF inflows, stablecoin growth, and corporate treasury holdings—suggest rising liquidity will resume in H2, benefiting BTC and ETH. Spot Bitcoin ETFs, stablecoins like USDT and USDC, and public equities such as MicroStrategy and Coinbase act as important financial bridges for new liquidity to reach crypto markets. As volatility trends downward and traditional rails mature, BTC is increasingly positioned as a macro asset poised to benefit from easing monetary conditions.