Analyses of samples from the Apollo missions suggest that the Moon formed devoid of native water. However, recent observations by Cassini, Deep Impact, Lunar Prospector and Chandrayaan-1 indicate the existence of an active water cycle on the Moon. Here we report observations of this water cycle, specifically detections of near-surface water released into the lunar exosphere by the Neutral Mass Spectrometer on the Lunar Atmosphere and Dust Environment Explorer. The timing of 29 water releases is associated with the Moon encountering known meteoroid streams. The intensities of these releases reflect the convoluted effects of the flux, velocity and impact location of the parent streams. We propose that four additional detected water releases represent the signature of previously undiscovered meteoroid streams. We show that water release from meteoroid impacts is indicative of a lunar surface that has a desiccated soil layer of several centimetres on top of uniformly hydrated soil. We infer that the Moon is currently in the process of losing water that was either delivered long ago or present at its formation.