news 
Bitcoin Price Prediction 2025: Arthur Hayes Predicts the Floor for Bitcoin’s Decline
The recent market turmoil has seen Bitcoin (BTC) dip to $83,437, leaving many investors worried about its future trajectory. In light of this sudden decline, renowned cryptocurrency expert and former CEO of BitMEX, Arthur Hayes, has shared his insights on where he believes the price may go from here.
According to an interview with Coinpedia, Hayes is convinced that the current volatility is closely linked to “Liberation Day,” a term likely referring to tax-related sell-offs. He emphasizes that if Bitcoin can hold above $76,500 until April 15th, US Tax Day, the market will stabilize.
However, his primary focus remains on the long-term implications of these events. Hayes suggests that President Trump’s pick for Treasury Secretary, Scott Bessent, will apply pressure on Fed Chair Jerome Powell to restart quantitative easing (QE). This move would see the central bank printing more money to finance the government’s growing debt, an action Hayes believes will have profound effects on the cryptocurrency market.
The reasoning behind this prediction stems from the notion that a 5% economic growth rate paired with a persistent 3% inflation rate and 2% real GDP, while the government continues to borrow approximately 3% of GDP each year. This situation would lead to an uncontrolled debt-to-GDP ratio, which Hayes believes will prompt Powell’s dilemma: either hold firm or acquiesce to easing.
While some might view Powell as a stalwart opponent to inflationary measures, Hayes points out that there have been subtle signs of submission. The Fed’s decision to cut interest rates in September 2024 during Kamala Harris’ campaign is seen as a precursor to this shift. Additionally, Bessent’s suggestion that relaxing post-2008 banking rules could free up significant funds for Treasury purchases has raised eyebrows.
Hayes further supports his argument by referencing the historical parallel between gold and Bitcoin. Following QE1 in 2008-2010, gold surged by 30%. He reasons that since Bitcoin is a non-sovereign asset, its price reaction will be even more pronounced when faced with increased fiat liquidity.
As of this moment, Hayes believes the next target for BTC is six figures ($110,000), before it ever revisits $76,500. If the Fed does indeed shift towards quantitative easing, he expects Bitcoin’s rocket to launch, driving prices higher and further solidifying his initial prediction of reaching $250,000 by the end of 2025.
This assessment serves as a stark reminder that cryptocurrency markets can be unpredictable and influenced by factors extending far beyond traditional economic indicators.
Source: https://coinpedia.org/news/bitcoin-price-prediction-2025-arthur-hayes-predicts-how-low-can-bitcoin-price-go/
