Monetary Policy Shifts May Boost Bitcoin Prices
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
Source: Coinmarketcap
Updated: 1h ago- Monetary Policy Impact: Former BitMEX CEO Arthur Hayes analyzes that the U.S. Federal Reserve may expand its balance sheet to counter pressures on the yen and Japanese government bonds, potentially boosting global liquidity and positively impacting Bitcoin and other cryptocurrencies.
- Yen and U.S. Treasury Relationship: Hayes warns that rising yen pressures and Japanese bond yields could lead Japanese investors to sell U.S. Treasuries, increasing borrowing costs in the U.S. and affecting market stability.
- Increased Dollar Liquidity: The proposed mechanism involves the U.S. Treasury's Exchange Stabilization Fund collaborating with the New York Fed to create new dollar reserves to purchase yen, subsequently buying Japanese government debt to stabilize currency and control bond yields.
- Market Dynamics Monitoring: Hayes recommends monitoring the Fed's
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
