Main to remember::
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The growing cash appetite of buffett has historically preceded stock market accidents.
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A potential slowdown in the Nasdaq will likely also lead to Bitcoin.
The Berkshire of Warren Buffett Hathaway has increased its cash assets to around $ 350 billion by mid-2025, combining cash bills and species. It is a summit of all time for the company and the largest American public companies.
But what does this battery of cash for Bitcoin (BTC) mean, whose price has almost doubled in the past year for a record of $ 124,500 in August?
Buffett enters cash before accidents of major action
Berkshire’s cash holdings in 2024-2025 – making $ 347.7 billion (50.7% of shareholders’ equity, 28 to 30% of the total assets) in the first quarter of 2025 – The preparation of buffett for a slowdown in the potential market.
Buffett has repeatedly noted liquidity during periods of excess market. In other words, he was afraid when everyone was greedy.
In 1998, he led Berkshire to reduce exposure to actions and bring cash assets to $ 13.1 billion, or around 23% of total assets.
In mid-200,000, Cash culminated nearly $ 15 billion, or 25% of assets, before Buffett reduced the position to buy good deals after the Dot-Com bubble burst.
Then Buffett again built its cash battery. In the first quarter of 2005, the cash and equivalents of Berkshire reached $ 46.1 billion, or 51% of shareholders’ equity, the highest level of that time and closest to current levels.
The money remained high in 2007 at 44.3 billion dollars, or around 29% of the total assets, just before the 2008 financial crisis.
Overheated Nasdaq increases the risk of dropping bitcoin
The prudence of Buffett seems more relevant given the assessments of today’s equity.
The Nasdaq market capitalization increased to 176% of the American money supply, well above the Dot-Com Pic by 131%, according to data from Maverick Equity Research from the letter from Kobeissi.
Against American GDP, the NASDAQ is now 129%, almost double its highest 2000%. These record readings highlight to what extent the prices of the shares have exceeded the money supply and the economy.
Bitcoin increased alongside Nasdaq, with a 52 -week correlation of 0.73. This means most of the time, the upper crypto moves in the same direction as technological actions.
The record in cash of buffett highlights the risks in actions and the crypto, because Bitcoin moves in a similar way to the Nasdaq.
The expansion of the m2 supply: is not Bitcoin Top there?
However, the way in which the record risks of buffett and the risks of Nasdaq finally take place on the growth rate of the money supply.
The US M2, which follows cash and liquid deposits, started to develop after the platform through a large part of 2025. By July 2025, it increased by 4.8% in annual sliding to 22.1 billions of dollars, the fastest rate since the start of 2022, according to Fred Data.
Earlier in the year, growth was closer to 2.4%, showing the momentum.
Globally, more than 20 central banks have reduced rates in 2025, and forecasts suggest that the federal reserve could follow with the softening which could postpone the annual growth of M2 to 10 to 12%, according to economist Daniel Lacalle.
Historically, Bitcoin takes advantage of it if American decision -makers are forced to extend the money supply to defend the stock markets.
In relation: Bitcoin Price Target ‘is around $ 170,000’ because the M2 world offer reaches a high record
This is what happened after 2020, when the BTC increased from $ 3,800 to $ 69,000 in a global M2 balloon.
“Global M2 (money mass) has historically led Bitcoin of ~ 12 weeks”, writes the Cryptorodo analyst, adding:
“Whenever liquidity is reinforced, BTC eventually follows.”
This article does not contain investment advice or recommendations. Each investment and negotiation movement involves risks and readers should conduct their own research when they make a decision.