Renowned cryptocurrency experts Arthur Hayes and Markus Thielen have shared their Bitcoin price predictions amid the evolving monetary policy of the U.S. Federal Reserve.
Arthur Hayes' Bitcoin Prediction
Arthur Hayes, co-founder of BitMEX, is confident that Bitcoin's price will rise significantly. He expects the price to surpass $110,000 before dropping to $76,500. This prediction comes as the Federal Reserve shifts from tightening to easing its monetary policy. Hayes believes this change will add liquidity to the market, boosting Bitcoin's value. He is not worried about tariffs affecting Bitcoin's price and considers inflation to be temporary.
Markus Thielen's Optimism
Markus Thielen, founder of 10X Research, shares similar optimism. He suggests that Bitcoin may have hit its lowest point recently and is ready for a rebound. Thielen points to the Fed's relaxed approach to inflation and former President Trump's flexible stance on tariffs as factors that could improve market sentiment and investor confidence.
Factors Influencing the Bitcoin Market
Thielen notes that the Fed's willingness to overlook short-term inflation could lead to future easing of monetary policy. He believes that the current political climate and positive economic forecasts have made Bitcoin's outlook more favorable. Additionally, he highlights the behavior of Bitcoin holders and the performance of exchange-traded funds (ETFs) as supportive factors for Bitcoin's price. Thielen argues that Bitcoin is unlikely to enter a severe bear market, as many large Bitcoin holders are long-term investors, which stabilizes the market. Furthermore, there has been a return of inflows to US-based spot Bitcoin ETFs, which is seen as a positive development.
The analysis from Arthur Hayes and Markus Thielen indicates that the prospects for Bitcoin continue to inspire optimism among investors despite economic fluctuations and changes in monetary policy.
