Bitcoin has risen 7% over the past five days, briefly topping $64,000 for the first time in over a month. This surge coincides with a rise in global liquidity, boosted by central bank balance sheet expansion and a dovish pivot from the US Federal Reserve. Bitcoin's price has historically tracked the Fed's measure of net liquidity, which subtracts reverse repurchase agreements and the U.S. Treasury general account balance from the Fed's balance sheet. After bottoming during the FTX collapse in late 2022, both the Fed's net liquidity measure and bitcoin's price have climbed in tandem. Currently, the Fed's balance sheet size is just shy of its level during the early days of quantitative easing. The RRP facility has also started to drain, holding just over $300 billion. This could prompt the Fed to add liquidity back into the financial system, providing a further tailwind for bitcoin's price. Increased liquidity is a major factor driving bitcoin's price, and the current global economic climate suggests that this trend may continue.