Arthur Hayes, the co-founder of BitMEX, has sparked excitement within the cryptocurrency sphere with his optimistic forecast for Bitcoin. Amidst a climate of increasing dollar liquidity, Hayes points to a potential surge in Bitcoin’s value, urging the crypto community to maintain their focus.
According to Hayes, the infusion of U.S. dollar liquidity, as reflected in recent financial data, may serve as a precursor to a corresponding rise in Bitcoin prices. He made this assertion in a post that featured a chart showing the net changes in the Reverse Repurchase Agreement (RRP) and Treasury General Account (TGA) balances. The chart suggests a correlation between the influx of dollar liquidity and the performance of Bitcoin.
Crypto analyst dharmafi supplemented Hayes’ bullish stance with precise figures, noting a $106 billion increase in net liquidity since November 21, thanks to a $65 billion RRP and a $35 billion TGA balance. This swell in liquidity has stirred conversations about its potential ripple effects across various asset classes, Bitcoin included.
While the crypto community is abuzz with these insights, U.S. Treasury Secretary Janet Yellen, dubbed by Hayes as “Bad Gurl Yellen,” has reiterated the importance of legal compliance for cryptocurrency exchanges. Speaking at a G20 finance ministers’ meeting, Yellen emphasized adherence to regulations as a critical requirement for operating within the American financial landscape.
