Bitcoin Poised To Hit Numerically Interesting Number Before Topping Out, Predicts Arthur Hayes
The price of Bitcoin extended its fall on March 29, falling for a fifth consecutive day to register an intraday low of $81,769. The ugly price action was further exacerbated by U.S. President Donald Trumps newly levied reciprocal tariffs, which applied a 25% tariff to all vehicles manufactured outside America.
The chances for a relief Bitcoin rally are quickly diminishing as traders await April 2, the day Trump has tagged Liberation Day, where broad-scale tariffs are expected to be announced.
Nonetheless, Bitcoin OG Arthur Hayes remains optimistic that BTC is likely to rocket to a stratospheric figure before reaching the current market cycle peak.
Bitcoin On Course For Barnstorming Rally
Bitcoin is a bargain at current levels as a market-wide rout obliterated virtually all gains from earlier this week, but upside price predictions remain firmly on the agenda.
Speaking to Master Ventures founder Kyle Chasse, BitMEX co-founder and former CEO Arthur Hayes suggested that Bitcoin is likely to experience a steady uptrend amid an increase in the monetary supply.
I think Bitcoin is going to hit a numerically interesting number. Now, obviously, I put a $1 million Bitcoin out there. I hope it hits a million, but maybe its like $666,000 or $500,000 or $250,000 some round number that in the human mind is significant for some arbitrary reason, Hayes postulated. We are going to hit that level, and then were going to expect insane things out of the pace of fiat money creation. And at that point, its probably time to sell everything.
Hayes also thinks that the historic four-year cycle driven by the Bitcoin halving is now less pronounced due to cryptos maturation as a bona fide asset class. Instead, Bitcoins price action is now steered by the fiat liquidity levels moving around the markets.
The Bitcoin halving is a quadrennial event that reduces miners rewards in half, causing a supply shock that has previously heralded parabolic rallies. The April 2024 Bitcoin halving reduced the Bitcoin networks block reward to 3.125 BTC per block.
Notably, Bitcoin has matured so much that the leader of the worlds biggest economy is even talking about the asset. US President Donald Trumps recent signing of an executive order to create a Bitcoin strategic reserve is one of the factors that has potentially distorted the four-year market cycle.
Pro-crypto policies from the Trump regime have also legitimized crypto in the eyes of institutional investors, which should usher in new capital flows and decrease the volatility of digital assets.
Now I think Bitcoin has transitioned from this sort of technological digital bare asset into the best smoke alarm for fiat liquidity that we have globally. Previously, that role was held by gold. And now I think we have a 24/7 market. Anyone with an internet connection can access it, and its really driven by fiat liquidity. Hayes continued.
Bitcoins price is currently down 24.3% from its all-time high of over $108,786 recorded on Jan. 20.
Text source: ZyCrypto
