BTC Price: Arthur Hayes Reveals Timeline for Bitcoin's Next Rally

BitMEX co-founder Arthur Hayes has shed light on the potential rally of Bitcoin, stating that the recent Treasury General Account (TGA) refill will not significantly impact the liquidity of the US dollar, and risk assets like Bitcoin will soon start to rally once again.

Bitcoin Is Poised To Soar

Hayes, known for his bullish stance on Bitcoin (BTC), reassured investors on June 20 that the TGA refill conducted by the US Treasury Department would not have a major impact on risk markets. He pointed out that the US dollar net liquidity currently stands at a substantial $77 billion, indicating that there is no cause for concern.

Right now the net of +$77bn means the TGA refill is not hurting risk markets. It might turn out that TGA refill is nothing to worry about, and then I will speed up the pace of adding crypto risk to my portfolio. If this index goes -ve I will slow down or halt my purchases.
— Arthur Hayes (@CryptoHayes) June 20, 2023

Arthur Hayes’ Investment Strategy

In light of the “positive” net liquidity index, Hayes plans to continue buying cryptocurrencies. However, he mentioned that if the index turns “negative”, he will slow down or halt his purchases. He further predicted that the US Treasury will reduce the issuance of T-bills or debt once the TGA balance exceeds $450 billion.

Tracking The TGA Refill

If one were to compare the TGA balance during the debt ceiling deal, which was below $40 billion, to its current value of $250 billion, it is evident that the US Treasury is accumulating funds without negatively impacting financial markets or US dollar liquidity.

Interestingly, Hayes has even created a customized US dollar liquidity index to closely monitor the impact of the TGA refill on the liquidity of the US dollar. By analyzing the values of the Repurchase Agreement Facility (RRP) and TGA, he aims to gauge the net effect on dollar liquidity.

Crypto Markets Gain Momentum

In the midst of this news, the crypto market has experienced a rebound, with Bitcoin gaining momentum after bouncing back from the expected support level of $24,800. The price of Bitcoin surged above $27,000 due to increased buying activity from whales.

As of now, Bitcoin is trading at $26,796, representing a 2% increase in the last 24 hours.

Meanwhile, Ethereum (ETH) has also maintained stability near $1,750, with a slight increase of 0.50%. The price fluctuated between $1,705 and $1,750 over the past 24 hours.

Market participants are eagerly awaiting the key events this week that could impact the prices of these cryptocurrencies.

Source: https://coinpedia.org/bitcoin/btc-price-arthur-hayes-reveals-timeline-for-bitcoins-next-rally/