Arthur Hayes Predicts Crypto Rise With Treasury Liquidity Boost

Arthur Hayes of BitMEX anticipates significant changes in crypto markets following the U.S. Treasury’s $850 billion TGA target completion, expected to shift markets, Cointelegraph reports.

Analysts remain divided on potential market impacts, with some skepticism about direct liquidity effects on cryptocurrencies like Bitcoin, as measured by past data correlations.

Treasury’s Impact on Crypto: Hayes vs. Experts

Arthur Hayes posits that the anticipated completion of the U.S. Treasury’s financial goal will catalyze a bullish trend in the crypto markets. This assertion is rooted in historical macroeconomic patterns observed post-TGA refills.

Bitcoin, Ethereum, and other major altcoins could experience increased market activity. However, this optimistic outlook is not universally shared. Industry players highlight the divergent impact of the Treasury’s actions on different asset classes.

Expert responses reflect the contentious nature of this hypothesis. André Dragosch of Bitwise challenges the simplicity of attributing market movements solely to liquidity changes, highlighting potential complexities ignored by such projections.

Analyzing Historical Trends and Current Market Data

Did you know? In 2023, when the Treasury rebuilt its TGA, Bitcoin briefly surged. This historical precedent underscores the potential market impact of liquidity influxes.

Bitcoin (BTC) continues to lead the crypto markets with a current price of $115,698.95 and a market cap of formatNumber(2305104435673.16). Despite facing a 2.68% drop in the past 24 hours, BTC has seen a 14.82% increase over 90 days, according to CoinMarketCap.

The Coincu research team highlights potential regulatory scrutiny as financial entities navigate liquidity shifts. These market changes often prompt adjustments in regulatory frameworks and technological advancements, aligning with evolving industry needs. Additionally, analysts have predicted a potential uptrend in the cryptocurrency market coinciding with significant ETFs inflows documented in 2025.