Will Bitcoin Skyrocket to $750,000 Amid a Major Financial Crisis? Arthur Hayes Weighs In

Arthur Hayes, the co-founder of BitMEX, offers insightful predictions on the market.

He talks about a likely financial crisis worse than the Great Depression, and how Bitcoin could be a significant beneficiary.

Is a Massive Financial Crisis Imminent Within a Decade?

Arthur Hayes, co-founder of the cryptocurrency exchange BitMEX, appeared as a guest on Tom Bilyeu's YouTube channel and made a prediction that "Bitcoin could rise to between $750,000 and $1 million by 2026."

Hayes believes that a financial crisis worse than the Great Depression is likely to occur within the next 10 years.

He argues that before this occurs, we will experience a bullish market not seen since World War II across various asset classes, including stocks, real estate, cryptocurrencies, and fine art.

Furthermore, he points out the same issue many experts have raised: that "inflation is occurring due to the economic relief measures implemented by the U.S. government."

Hayes anticipates that this will lead to a massive bullish market in assets like stocks, cryptocurrencies, and real estate, which have limited supply, high productivity, and promising returns.

It is expected that the peak of the bullish market in assets like stocks and real estate will arrive around 2026, after which a situation similar to the Great Depression is considered likely.

Predictions on the Future Price of Cryptocurrency, Specifically Bitcoin

Hayes predicts that "if the nominal interest rates fluctuate between 6% and 10% due to government policy, a wave of diversification in investment strategies will occur," and cryptocurrencies like Bitcoin could significantly profit from such changes.

Once a certain level of financial instability occurs and people realize that the real interest rate is negative, even if the government inflates the nominal growth rate to 10%, 5%, or 6%, people in the market will start buying other assets, including cryptocurrencies.

For 2024, Hayes foresees two scenarios: either "a financial crisis where interest rates plummet to zero" or "rising interest rates that can't keep up with government spending."

Either way, these conditions are expected to fuel a Bitcoin bull market, potentially pushing its price to around $70,000 by the end of 2024.

If the BTC price does reach $70,000, it would set a new all-time high.

From there, Hayes predicts "a real bullish market could commence, potentially rising to between $750,000 and $1 million" (although he also suggests a subsequent 70%-90% crash is possible).

Factors contributing to Bitcoin's price increase include "approvals of Bitcoin spot ETFs in the U.S., Europe, and Hong Kong" and the "arrival of Bitcoin halving events."

Hayes has also previously stated that "Bitcoin could rise to $760,000" and has commented on the "possibility of Bitcoin being used as a currency for Artificial Intelligence (AI)."