The cryptocurrency market is awaiting changes following Arthur Hayes's analysis predicting U.S. Treasury actions may influence Bitcoin prices.
Impact of Liquidity on Bitcoin Prices
Arthur Hayes highlighted potential U.S. liquidity contractions due to the "Big Beautiful Act," aimed at raising the existing debt ceiling. He suggests a possible shrink in liquidity by *$486 billion*, which may lead to a temporary market adjustment. Bitcoin's price is expected to dip to the *$90,000–$95,000 range*, although it might remain around *$100,000 without breaking past its recent high.*
Historical Context and Current Situation
During the 2023 U.S. debt ceiling negotiations, similar liquidity contractions temporarily pulled Bitcoin down, only to see a rapid recovery following resolution. As of July 3, 2025, Bitcoin (BTC) is priced at *$109,362.67*, signifying a *market cap of $2.17 trillion* with *64.34% market dominance*. A *24-hour trading volume* of *$56.65 billion* reflects daily volatility, as Bitcoin gained *2.57% in the last day and 31.58% over 90 days.*
Long-Term Predictions from Arthur Hayes
Arthur Hayes predicts that Bitcoin will reach *$1 million by 2028*, arguing that a combination of economic policies will drive investors away from U.S. government debt into Bitcoin. "Bitcoin will hit $1 million before 2028... a combination of Trump’s economic policies and rising global instability will drive investors away from US government debt... they’ll plough into Bitcoin."
Thus, while there are short-term threats to Bitcoin pricing, the long-term outlook remains positive amid anticipated economic policy impacts.
