Bitcoin’s Slice of Global Money Hits 1.7% — Just as Powell Blinks on Rates – Brave New Coin

Bitcoin is quietly eating the global money supply. According to data from Bitcoin services firm River, BTC climbed to represent roughly 1.7% of all global money earlier this month, before Fed Chair Jerome Powell all but admitted the dollar is on its next leg of dilution.

In just 16 years, Bitcoin went from an internet curiosity traded for pizza to a $2.4 trillion monetary network competing head-on with fiat and gold. River benchmarked BTC’s market cap against $112.9 trillion of fiat M2 and $25.1 trillion in hard money (gold, but excluding silver, platinum, and palladium). At today’s $2.29 trillion cap, Bitcoin’s slice is sitting around 1.66% — but the trajectory is obvious.

Gold had centuries. The dollar had a century. Bitcoin is making the same play in under two decades.

In 16 years, Bitcoin went up to 1.7% of global money, source: X

Central Banks Can’t Stop Printing

Bitcoin’s advance isn’t happening in a vacuum. Central banks keep juicing liquidity, whether they admit it or not. Every round of money printing, every basis-point trim in interest rates, is another reminder that fiat purchasing power only moves in one direction: down. Investors are noticing — and moving to hard money alternatives like BTC and gold.

River’s framing of Bitcoin as part of “global money” is the real story. This isn’t a meme-coin rally or speculative mania. It’s Bitcoin slowly, methodically, becoming a permanent fixture in the world’s balance sheet.

Powell at Jackson Hole: The Quiet Pivot

At the Jackson Hole Economic Symposium, Powell effectively confirmed the next leg of easy money:

“Our policy rate is now 100 basis points closer to neutral than it was a year ago, and the stability of the unemployment rate and other labor market measures allows us to proceed carefully as we consider changes to our policy stance.”

Translation: rate cuts are coming. And the market knows it. Within minutes of Powell’s speech, Bitcoin ripped 2%, touching $116,000. According to CME futures data, 75% of investors now expect a 25 bps cut in September.

Bitcoin rose to $116,000 after Powell’s comments, but fell again soon after, Source: Bitcoin Liquid Index

Why It Matters

Bitcoin and other crypto assets have consistently traded as high-beta liquidity plays. When global money expands, so do digital asset valuations. But the difference now is scale: Bitcoin is no longer a fringe hedge — it’s a $2+ trillion counterweight to fiat and gold combined.

In a world where the Fed can’t resist the urge to “print and cut,” Bitcoin’s share of global money isn’t just a curiosity — it’s a monetary revolution in slow motion.

The only question left: will central banks adjust to Bitcoin’s rise, or keep accelerating the very forces making it inevitable? If you don’t already own Bitcoin, now is the time to consider it, is it time to buy Bitcoin?