{"id":126306,"date":"2025-04-02T10:18:53","date_gmt":"2025-04-02T10:18:53","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=126306"},"modified":"2025-04-02T10:18:53","modified_gmt":"2025-04-02T10:18:53","slug":"bitcoin-can-hit-250k-in-2025-if-fed-shifts-to-qe-arthur-hayes","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=126306","title":{"rendered":"Bitcoin can hit $250K in 2025 if Fed shifts to QE: Arthur Hayes"},"content":{"rendered":"

Source: Cointelegraph.com NewsBitcoin may still rise to over $250,000 before the end of the year, with expectations of an increasing fiat supply remaining the significant catalyst for the world\u2019s first cryptocurrency.
\nBitcoin\u2019s (BTC) 2025 price rally may be boosted by the US Federal Reserve pivoting to quantitative easing (QE), when the Fed buys bonds and pumps money into the economy to lower interest rates and encourage spending during difficult financial conditions.\u00a0
\n\u201cBitcoin trades solely based on the market expectation for the future supply of fiat,\u201d according to Arthur Hayes, co-founder of BitMEX and chief investment officer of Maelstrom.
\nHayes wrote in an April 1 Substack post:
\n\u201cIf my analysis of the Fed\u2019s major pivot from QT to QE for treasuries is correct, then Bitcoin hit a local low of $76,500 last month, and now we begin the ascent to $250,000 by year-end.\u201d
\nThe Fed reduced the Treasury runoff cap to $5 billion per month from $25 billion effective April 1, while keeping mortgage-backed securities (MBS) runoff steady at $35 billion.
\nThe Fed may allow the MBS roll off without replacement and the excess principal payment might be reinvested into Treasurys, according to comments from Fed Chair Jerome Powell published by Reuters.
\n\u201cMathematically, that keeps the Fed balance sheet constant; however, that is treasury QE. Bitcoin will scream higher once this is formally announced,\u201d added Hayes.
\nRelated: Bitcoin\u2019s next catalyst: End of $36T US debt ceiling suspension
\nOther analysts are eying a more conservative Bitcoin price top based on BTC\u2019s correlation with the global liquidity index.
\nBTC projected to reach $132,000 based on M2 money supply growth. Source: Jamie CouttsThe growing money supply could push Bitcoin\u2019s price above $132,000 before the end of 2025, according to estimates from Jamie Coutts, chief crypto analyst at Real Vision.
\nRelated: Bitcoin \u2018more likely\u2019 to hit $110K before $76.5K \u2014 Arthur Hayes
\nFed will \u201cflood the market with dollars\u201d\u00a0
\nHayes has been \u201cbuying Bitcoin and shitcoins at all levels between $90,000 to $76,500,\u201d showcasing his conviction in the crypto market for the rest of 2025. The pace of capital deployment will increase or decrease depending on the accuracy of his predictions.
\n\u201cI still believe Bitcoin can hit $250,000 by year-end because now that the BBC has put Powell in his place, the Fed will flood the market with dollars,\u201d wrote Hayes, adding:
\n\u201cThat allows Xi Jinping to instruct the PBOC to stop tightening monetary conditions onshore to defend the dollar-yuan exchange rate, which increases the net quantity of yuan.\u201d
\nDespite the optimistic prediction, many market participants are betting on a lower Bitcoin price top for the end of 2025.
\nSource: PolymarketOnly 9% of traders have placed bets on Bitcoin hitting $250,000, while 60% expect Bitcoin to hit $110,000 in 2025, according to Polymarket, the largest decentralized predictions market.
\nStill, Bitcoin and global risk appetite remain pressured by global tariff fears ahead of US President Donald Trump\u2019s upcoming tariff announcement, scheduled for April 2.
\n\u201cLong-term positioning remains intact, but near-term momentum appears tethered to unfolding macro headlines,\u201d Stella Zlatareva, dispatch editor at digital asset investment platform Nexo, told Cointelegraph.
\nMagazine: Bitcoin\u2019s odds of June highs, SOL\u2019s $485M outflows, and more: Hodler\u2019s Digest, March 2 \u2013 8Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"

Source: Cointelegraph.com NewsBitcoin may still rise to over $250,000 before the end of the year, with expectations of an increasing fiat supply remaining the significant catalyst for the world\u2019s first… <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/126306"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=126306"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/126306\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=126306"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=126306"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=126306"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}