BitMEX Co-Founder Predicts Bitcoin Surge Amid Dollar Liquidity Rise – Arthur Hayes, co-founder of BitMEX, expresses optimism about Bitcoin. While discussing on X and presenting a chart illustrating net reverse repurchase agreement (RRP) and treasury general account (TGA) balance changes, Hayes playfully refers to United States Treasury Secretary Janet Yellen as “Bad Gurl Yellen.”
In his post on X, Hayes urged fellow Bitcoin enthusiasts to maintain focus, emphasizing a notable increase in U.S. dollar liquidity. He indicated that BTC is likely to follow the upward trend in dollar liquidity, resulting in a potential price surge. The accompanying chart depicts net changes in RRP and TGA balances, suggesting a potential correlation between heightened dollar liquidity and the price of BTC. Meanwhile, crypto analyst dharmafi provided precise figures on X.
The post underscored an RRP of $65 billion and a TGA balance of $35 billion, revealing a substantial net liquidity surge of $106 billion since Nov. 21. As pointed out by Hayes, this increase in liquidity reflects evolving dynamics in financial markets. Investors and Bitcoin enthusiasts monitoring these liquidity injections can anticipate potential impacts on the cryptocurrency market.
As the BitMEX co-founder emphasized the link between dollar liquidity and Bitcoin’s price, dharmafi’s data strengthens the significance of the liquidity surge. The $106 billion increase in net liquidity since Nov. 21 has prompted inquiries into potential impacts on various asset classes, including cryptocurrencies.
Meanwhile, Yellen, a Bitcoin skeptic, recently advised cryptocurrency exchanges to adhere to the law during discussions with Reuters at a meeting of G20 finance ministers and central bank governors. Yellen emphasized the importance of compliance in the digital currency industry, highlighting the need to adhere to regulations for operating within the U.S. financial system.