- The Maelstrom CIO was bearish at the top of the month.
- Subsequent signals from the Fed have flipped that opinion.
A bad month can turn around quickly.
At the beginning of March, Arthur Hayes was calling for a “violent plunge” on Bitcoin, to around $75,000.
At the time, Bitcoin was trading below $80,000.
Not anymore.
“I bet [Bitcoin] hits $110,000 before it retests $76,500,” Hayes, co-founder of BitMEX and chief investment officer of crypto fund Maelstrom, wrote on Monday. Bitcoin is trading at about $88,336.
Hayes expects the Federal Reserve to pick up its bond purchasing, injecting money into the economy and driving attention to riskier assets like Bitcoin.
“They’re going to reflate and print more money than anyone’s ever printed before,” Hayes said earlier in March.
Last week, Fed Chair Jerome Powell said that starting next month, the central bank will slow the ongoing drawdown of the central bank’s balance sheet, known as quantitative tightening.
Markets have been responding with relief.
Lately, investors have been spooked by US President Donald Trump’s trade and tariff threats.
Broader market jitters have weighed on prices even as crypto is poised to benefit from regulatory tailwinds and from Trump’s calls for establishing a strategic reserve of digital assets.
While gold has soared to new records above $3,000 per ounce, Bitcoin has behaved more like a tech stock, rising and tumbling alongside the Nasdaq.
The Nasdaq and other equity benchmarks have also rallied on Monday.
If Bitcoin does manage to reach the $110,000 level, Hayes says the sky is the limit.
“It’s Yahtzee time and we ain’t looking back until $250,000,” Hayes wrote.
Andrew Flanagan is a markets correspondent for DL News. Have a tip? Reach out to aflanagan@dlnews.com.
