Arthur Hayes Predicts Bitcoin to Hit $200K as U.S. Liquidity Boosts Rally

Arthur Hayes predicts Bitcoin could hit $200K as U.S. liquidity moves quietly fuel a major bullish rally in crypto markets.

Fridah Kangai
April 24, 2025
2:45 pm

Fridah Kangai

Fridah Kangai is a dedicated crypto journalist with a sharp eye for market trends, blockchain innovation, and digital asset movements. She specializes in breaking down complex topics into clear, engaging stories for both seasoned investors and curious newcomers. With a passion for decentralization and a pulse on the ever-evolving crypto space, Fridah delivers timely, accurate, and insightful coverage. Her work bridges the gap between technology and everyday understanding in the world of cryptocurrency.

Arthur Hayes links U.S. fiscal strategies to Bitcoin’s next major price surge.
Liquidity injections may silently drive Bitcoin toward a $200K price target.
Hayes says Bitcoin is acting more like gold amid growing market uncertainty.

Ex-BitMEX CEO Arthur Hayes predicts Bitcoin could pump to $200,000 by attributing its price increase to recent U.S. economic actions. The continuous cash injections from the U.S. Treasury and Federal Reserve provide quiet support for Bitcoin prices to reach $200K.

Through his post “Ski Cut,” Hayes described the United States’ economic policy of injecting market liquidity without pursuing an official quantitative easing announcement. Treasury Secretary Janet Yellen selected to distribute additional short-term Treasury bills instead of issuing long-term bonds. The United States Federal Reserve operates a reverse repo facility from which this strategy withdraws capital to direct them back into financial markets.

In my essay "Ski Cut" I discuss the BBC's new toy, the treasury buy back, and why it will send $BTC through $110k onwards to $200k. https://t.co/sAavSpeAFQ pic.twitter.com/txlcclAMyb
— Arthur Hayes (@CryptoHayes) April 22, 2025

According to Hayes, the present market trends and investor choices already show signs of change because of these actions. The present market is similar to the Bitcoin trading period, which began at $16,000 during the third quarter of 2022. The market turned against early predictions of Bitcoin dropping to $10,000 and started a recovery phase in that period.

The present Bitcoin price anxiety at the $60,000 level duplicates the uncertainties that existed in 2022. According to him, present investors show an inability to assess correctly how rising market liquidity affects price values. Maelstrom increased its Bitcoin holdings as the market price dipped from $110,000 to approximately $74,500.

Liquidity Shift Could Drive Bitcoin Toward $200K

According to Hayes, the Federal Reserve’s quantitative tightening program started slowing down in March. Additional actions he proposed include preventing banks from counting Treasury holdings in leverage calculations while insisting on Treasury reinvestment of mortgage bond proceeds to strengthen market liquidity.

Bitcoin works as a hedge like gold when government finances or geopolitical tensions increase in the marketplace. Hayes predicts Bitcoin will accelerate its price increase after breaking through $110,000 to advance toward the $200,000 milestone.

Capital flows would start after Bitcoin breaks through its important resistance levels, which will lead to widespread altcoin movement within the cryptocurrency market. According to his analysis, the current U.S. policies are creating the necessary conditions for digital assets to experience a robust upward trend.

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