Arthur Hayes Foresees Bitcoin Hitting $200K due to U.S. Treasury Bond Buybacks

Former BitMEX CEO Arthur Hayes predicts Bitcoin (BTC) could reach $200,000, spurred by U.S. Treasury bond buybacks. He believes that the large-scale repurchase of less liquid bonds by the government will lead to a significant increase in dollar liquidity, pushing BTC beyond $110,000.

Hayes suggests that bond volatility can be stabilized by this mechanism, enabling hedge funds to continue investing in Treasuries. He also asserts that Bitcoin remains the top hedge against monetary debasement. This prediction coincides with Bitcoin breaking the $90,000 mark for the first time in over six weeks.

Hayes' projection depends on continued Treasury buybacks and potential support from the Federal Reserve despite its stance on inflation control.