BTC Crashes Below Key Supports as Global M2 Hits Record Highs — What Happens Next?

Crypto Journalist

Anas Hassan

Crypto Journalist

Anas Hassan

About the author

Anas is a native crypto journalist and SEO writer with over five years of writing experience covering blockchain, crypto, DeFi and emerging technologies.

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Last updated:

November 5, 2025

The price of Bitcoin the action entered a critical phase this week, breaking below $100,000 for the first time in months despite record growth in global liquidity.

As of November 5, BTC trades close $104,000even as the US M2 money supply rose $22.21 trillion and global M2 reached $95.8 trilliona divergence from their previously close correlation.

Analysts cite the behavior of the US Treasury, the distribution of long-term holders, and the growth of Bitcoin 85% correlation with the NASDAQ as key drivers, with miners shifting more and more resources from Bitcoin hashing to computer AI.

CryptoQuant data it paints a more concerning picture. Bitcoin has now fell below its 365-day moving average (~$102K) – a level that acted as “the last line of defense” before the 2022 bear market fully deployed.

The company The Bull Score index has reached zero for the first time since June 2022, indicating extremely weak fundamentals.

If BTC fails to claim the $100K range soon, the The Traders’ Realized Price Model suggests a potential slide towards 72 thousand $ in 1-2 months.

Under a network evaluation lens based on Metcalfe’s Law, the next major support lies around 91 thousand $a level Bitcoin approached from the end of 2024 to the middle of 2025.

Data on the chain reveal a growing psychological stress. Almost a third of all Bitcoin in circulation is now held at a lossindicating that pressure is moving from new entrants to broader market segments.

Historically, these levels often coincide with the points of exhaustion, the moments where sales dry up and durable bottoms are formed.

But if fear continues to grow and long-term holders start to take risks, any short-term recovery could become a exit the demonstration rather than the start of a new upward trend, gradually eroding demand and conviction.

The market now finds itself in a delicate balance between fear, liquidity and patience. If selling pressure continues while BTC remains below key technical levels, the structure of this bull cycle may be tested more severely.

If, however, capitulation peaks and liquidity returns, potentially aided by ongoing Fed rate cuts, this region could become the next major accumulation zone.

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