BitMEX Founder Arthur Hayes Predicts Bitcoin Surge Amid Dollar Liquidity Rise

BitMEX co-founder Arthur Hayes has shared his insights concerning a potential Bitcoin (BTC) rally on platform X. Alongside a chart depicting changes in net Reverse Repurchase Agreements (RRP) and Treasury General Account (TGA) balances, Hayes specifically referred to US Treasury Secretary Janet Yellen as “Bad Gurl Yellen.”

In his statement, Hayes advised fellow Bitcoin enthusiasts to stay focused, pointing out a substantial increase in US dollar liquidity. He proposed that BTC will likely follow the rise in dollar liquidity, leading to an increase in its price. The accompanying chart illustrates the net variations in TGA and RRP balances, indicating a potential correlation between increased liquidity and the positive performance of Bitcoin.

Getting my feet did and observing how Bad Gurl Yellen is busy pumping financial assets. Don’t get distracted, $ liquidity is increasing and $BTC will go up as well. This is the chart of net RRP and TGA balance changes. pic.twitter.com/l2US0FzlAX

— Arthur Hayes (@CryptoHayes) November 25, 2023

Meanwhile, another crypto analyst, Dharmafi, shared specific numbers on platform X. The post highlighted an RRP of $65 billion and a TGA balance of $35 billion, totaling a staggering net liquidity increase of $106 billion since November 21. This revelation marked a significant surge in liquidity over a brief period, reflecting the dynamic shift in the financial landscape. 

Furthermore, CEO of Jan3 and famous BTC advocate Samson Mow has sparked a heated debate within the crypto community with his bold prediction about the potential increase in BTC’s value. Mow believes BTC will reach $1 million. He backed his forecast by examining Bitcoin’s historical growth.

Highlighting past achievements, he stressed the swift ascent from $1,000 to $20,000 in about nine months back in 2017. Mow said that current conditions, including the involvement of institutional funds and developments such as ETFs, could potentially drive BTC from $50,000 to $1 million.

Market Dynamics And Bitcoin’s Response

The increase in liquidity, as highlighted by Arthur Hayes, emphasizes the changing dynamics within the financial markets. Bitcoin enthusiasts and investors are keenly monitoring these increases in liquidity, anticipating potential effects on the cryptocurrency market.

While the BitMEX co-founder highlighted the correlation between Bitcoin’s future momentum and dollar liquidity, Dharmafi’s specific data reinforces the effects of increased liquidity. BTC rose 0.18% to $37,719 on Saturday, hitting a yearly peak of $38,415 in the past 24 hours.

Meanwhile, Yellen, a skeptic of Bitcoin, has recently warned the crypto exchanges to comply with the law. This statement came after the US Department of Justice’s decision, which declared Binance guilty of money laundering and other charges.