Bitcoin’s Peak Linked to Monetary Policy, States Placeholder VC Partner

Chris Burniske, partner at Placeholder VC, noted on September 7th that Bitcoin’s peak depends on monetary policy, highlighting short-term volatility against long-term growth trends.

Burniske’s analysis links Bitcoin peaks to money supply, influencing how investors interpret market cycles amid ongoing monetary policy adjustments.

Burniske Connects Bitcoin Peaks to Monetary Cycles

Chris Burniske of Placeholder VC has observed that Bitcoin’s performance is tied to monetary policies. He suggests that market peaks align with periods when monetary expansion halts. Burniske is renowned for his macroeconomic insights, regularly sharing analysis on his Twitter account and has long advocated for digital assets such as Bitcoin (BTC) and Ethereum (ETH).

Bitcoin’s peak potential hinges on these monetary cycles. Burniske argues that current liquidity conditions inflate cryptos and when this wanes, a peak could manifest. His theories draw considerable attention from investors who follow macroeconomic indicators as part of their strategy.

The broader crypto community has largely resonated with Burniske’s view on the importance of liquidity in asset pricing. No direct responses from other notable figures like Arthur Hayes or CZ have surfaced, but many industry voices acknowledge that central bank actions serve as major drivers in crypto valuation trends.

Bitcoin History Shows Peaks with Fed Policy Shifts

Did you know? In 2020 and 2021, peaks in Bitcoin prices often coincided with significant changes in Federal Reserve policy, underscoring the influence of global liquidity on digital asset markets.

As of September 7, 2025, Bitcoin (BTC) is trading at $111,133.28 with a market cap of 2.21 trillion. The cryptocurrency holds a dominant market share of 57.87%, with a fully diluted market cap of 2.33 trillion. Recent trading volume was 24.09 billion, indicating a 52.08% decrease. The coin has experienced a modest gain of 0.28% over the past 24 hours. This data, courtesy of CoinMarketCap, reflects the ongoing volatility and market movement over various time frames.

Insights from the Coincu research team suggest potential outcomes stemming from current monetary conditions. As central banks navigate inflation and interest rates, regulatory frameworks and technological adoption could accelerate. The reliance on such macro variables is a central theme in predicting Bitcoin’s trajectory.