Arthur Hayes predicts Bitcoin will hit $110K soon, citing Fed policy shifts and rising institutional interest ahead of US PCE data.
Arthur Hayes, who formerly served as the CEO of BitMEX, has firmly predicted that Bitcoin will reach $110,000 before returning to its previous level of $76,500.
In his positive stance on Bitcoin, Hayes ascribed his bullish stance to the imminent shift in the Federal Reserve’s policy, which suggests that the Fed would soon move away from quantitative tightening (QT) and toward quantitative easing (QE).
On top of that, Hayes minimized the impact of Trump’s tariffs, referring to them as “transitory inflation” in accordance with what Fed Chair Jerome Powell had seen. Additionally, the former CEO of BitMEX mentioned the likelihood of a Bitcoin bottom formation occurring at $77,000 while simultaneously expressing his expectation of an upward trajectory from this point forward.
At the time of this publication, the price of Bitcoin is trading at $86,758, up 3.17% from its previous price. Additionally, the daily trading volume has increased by 74% to reach $16.69 billion, indicating a strong bullish undercurrent.
According to the statistics provided by Coinglass, the open interest in Bitcoin futures has also increased by 7.79%, reaching more than $56 billion. Additionally, the short liquidations for the past 24 hours have surpassed $50 million.
US PCE Data To Highlight Inflation Trajectory
This week, the Federal Reserve will release the core price index for U.S. PCE for February, which is the measure of inflation that is the most carefully monitored by the economic community. Forecasts indicate that the index will grow from 2.6% to 2.7%, which is in line with market expectations, which point to a minor comeback in the index.
In addition to the statistics on the PPI for the United States, the Federal Reserve will also reveal the final inflation rate projection for the year for the month of March while also providing further insights into inflationary tendencies. In the future, this information will contribute to the formation of the market sentiment around risk assets.
Below is a list of the primary events scheduled for this week.There has been an increase in the demand for Bitcoin from institutions, which has had the effect of driving the price of Bitcoin higher once more. During the previous week, the spot Bitcoin exchange-traded funds (ETFs) in the United States experienced inflows for six days in a row, indicating a strong resurgence in demand.
Additionally, corporate players such as Strategy (MSTR) and Metaplanet have continued to purchase Bitcoin during this time. Within the early hours of trading in Asia on Monday, the Japanese cryptocurrency exchange Metaplanet announced that it had purchased an additional 150 Bitcoin, bringing its total holdings to 3,350 BTC.
The corporation announced earlier today that it would be investing $12.6 million, which would result in an average buying price of $83,801 per Bitcoin. The total investment is around $278.8 million, which is equivalent to an average of $83,224 per Bitcoin. Metaplanet has produced a remarkable 68.3% BTC yield thus far this year, which is a noteworthy accomplishment.
Eric Trump became a member of Metaplanet’s board of advisers at the beginning of this week to further the company’s efforts to acquire Bitcoin. Michael Saylor, the executive chairman of Strategy, has also dropped hints about further Bitcoin transactions that are on the horizon.
