Michael Howell Says Bitcoin Outperforms Gold When Fed Liquidity Beats China

Macro analyst Michael Howell said on Monday that Bitcoin (BTC) holding above $70,000 could be a “game changer” for his outlook on global liquidity, while explaining that Bitcoin tends to beat gold when the U.S. Federal Reserve adds liquidity faster than China’s central bank.

Speaking on the Bankless podcast, Howell, a global liquidity expert and the Managing Director at GL Indexes, said his base case was still that global liquidity will not bottom until the second half of 2027. However, he said Bitcoin’s recent stability could be an early signal of a turn.

“If you get Bitcoin holding above 70,000, if you see more evidence that bank reserves are being managed and maybe being pushed up, then I would powerfully change my view and expect to see liquidity picking up,” Howell said. In that case, Bitcoin could be signaling the early stages of “another two to three year bull market,” he added. He stressed, “It’s not my base case.”

Bitcoin was among the top trending crypto tickers on Stocktwits at the time of writing. Howell’s comments came as Bitcoin’s price traded around $79,600 on Monday, nearly 14% above the $70,000 level he flagged.

On Stocktwits, retail sentiment around BTC remained in the ‘bearish’ zone, while chatter stayed at ‘normal’ levels over the past day.