- Arthur Hayes expects Bitcoin to reach $100K, which will trigger a bull market for altcoins as well
- This should be aided by a US Treasury liquidity injection of $301M to $1T
Arthur Hayes, co-founder of BitMEX, expects a bull cycle in which Bitcoin reaches $100K
He also expects it to pull the rest of the crypto market and altcoins with it.
This should be thanks to the upcoming US Treasury Liquidity Injection possibly up to $1T into the financial system.
Bitcoin $100K Backed by US Treasury $1T Liquidity Injection
According to Arthur Hayes the upcoming US Treasury liquidity injection could be between $301 billion and $1 trillion.
In his view there are two possibilities for such an injection:
- Reducing the reverse repurchase program (RRP), which now stands at $321 billion, and using the Treasury’s general account.
- Issuing a higher yielding bond raising funds from the Federal Reserve’s scheme.
There is also a plan to issue $271 billion worth of Treasury bills by the end of the year and its quarterly purchase of $30 billion worth of less liquid bonds.
In total, this could create up to 750 billion dollars in spending on crypto and launch a new rally, not just for Bitcoin.
Altcoins to Follow Bitcoin’s Lead
Hayes believes that this should bring the price of Bitcoin to $100K, which will further trigger the long-awaited altcoin market. He pays special attention to Ether and Solana.
In his opinion, if following Bitcoin, then Ether can exceed $4K, and after that, Solana can experience growth of 75% to $250.
Further, it can pull up the rest of the crypto market, making the perfect altcoin environment.
Conclusion
Arthur Hayes is a key figure in the crypto industry, and his statements have always had a big impact.
Overall, his assumptions are based on logical and consistent grounds, and if we do see such a large liquidity injection in the market, the likelihood of such developments occurring is possible.
However, many factors could still make this less than ideal, as Arthur Hayes sees it, and we need to monitor other factors that could influence the situation.
