BitMEX co-founder Arthur Hayes believes Bitcoin (BTC) will soon have an explosive breakout for one key reason.
Hayes tells his 704,300 followers on the social media platform X that the Federal Reserve is primed to inject massive liquidity into the US economy, forcing investors to flood into BTC as a hedge against currency debasement.
[adinserter block="1"]Bitcoin dipped to the $98,000 range over the weekend, but has reclaimed the $100,000 range at time of writing.
Says Hayes,
“Do you hear that? It’s the sound of the money printers revving up to do their patriotic duty. This weakness shall pass and BTC will leave no doubt as to its safe haven status.”
In a new interview, Hayes also says that Bitcoin’s future bull and bear cycles will likely be determined largely by market liquidity.
Hayes says he does not believe in a four-year cycle, which used to be widely accepted as the norm by many crypto investors. The four-year cycle is based on the idea that Bitcoin follows its halvings when BTC miners’ rewards are cut in half, which happen roughly every four years and tend to precede upward price movements.
Says Hayes,
“I don’t like to use the ‘number of years’ cycle dogma. The cycle is what the cycle is. All I care about is how much liquidity is being in the market, what’s the expectation of the market going forward, what’s the future discount rate of liquidity and how does that change versus where you think the market’s going to go…
We will have a cycle and I think it will depend more and more on the expectations of fiat liquidity printing.”
Hayes also predicts Bitcoin will hit $1 million by 2028.
Follow us on X, Facebook and Telegram
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any assets including cryptocurrencies, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
