Arthur Hayes Predicts Bitcoin Could Hit $250K by 2025 with Fed Policy Shift
Arthur Hayes, the founder of BitMEX, believes that Bitcoin’s price movements are closely tied to market expectations around future changes in fiat currency supply.
In his latest analysis, Hayes projects that Bitcoin could reach $250,000 by the end of 2025, contingent on a major policy shift by the U.S. Federal Reserve from quantitative tightening (QT) to quantitative easing (QE), particularly with regard to Treasury bond purchases.
Hayes emphasizes that Bitcoin is highly sensitive to changes in monetary policy, acting as a key indicator of global liquidity. He points out that previous instances of aggressive money printing, such as the COVID-19 stimulus programs, led to significant rallies in Bitcoin and other risk assets.
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If the Fed decides to reverse its tightening measures and continues to purchase Treasuries through QE, it could flood the financial system with liquidity, prompting investors to seek safe-haven assets like Bitcoin.
The $250,000 price target that Hayes has set for Bitcoin is based on the expectation that the Fed will turn to easing in response to economic pressures.
While this target is ambitious, growing speculation about a policy shift could drive further bullish sentiment in the cryptocurrency market. If Bitcoin continues to follow macroeconomic trends and central bank policies, Hayes’ prediction could become more feasible, especially with Bitcoin on track to surpass its all-time high in 2025.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
