Bitcoin's Big Move: What's Driving the Price to $200, 000?

Bitcoin's price is currently hovering under $90,000, but some experts predict a significant jump ahead. Arthur Hayes, a prominent figure in the crypto world, believes Bitcoin could reach $200,000 by 2026. He attributes this potential rise to the Federal Reserve's new monetary policies.

The Fed's New Money Moves

The Federal Reserve has introduced a program called Reserve Management Purchases (RMP). Hayes describes it as a modern form of money printing. The Fed buys short-term Treasury bills, injecting cash back into the market. This influx of money could drive up Bitcoin's price.

Hayes isn't concerned with the specifics. He views the Fed's actions as a sign of continuous money creation. In such an environment, assets like Bitcoin and gold could see substantial gains. He argues that the old four-year Bitcoin cycle is over, replaced by a perpetual cycle of debt and money printing.

Bitcoin's Price Trajectory

Hayes doesn't expect an immediate surge. He predicts Bitcoin will trade between $80,000 and $100,000 early in 2026. Once the market fully grasps the Fed's long-term strategy, Bitcoin could break out. His forecast includes a first target of $124,000, followed by a surge to $200,000.

Global Central Bank Influence

The critical question is whether other central banks will follow the Fed's lead. If they do, even more capital could flow into Bitcoin. Hayes believes this could be a game-changer for the crypto market.