Bitcoin Bull Run to Last Until 2026? Arthur Hayes Predicts

Arthur Hayes Foresees Bitcoin Bull Cycle Extending to 2026

Arthur Hayes, co-founder of BitMEX, has offered his perspective on the duration of the current Bitcoin bull cycle. His prediction arrives amid ongoing debates about whether Bitcoin will adhere to its traditional 4-year cycle, or if shifts in monetary policy could alter its course.

In a recent interview, Hayes suggested that the bull cycle could continue into 2026, stating that the market is currently in its mid-stages. He highlighted a potential rate-cutting cycle as a key factor that could prolong this market phase.

Anticipated Rate Cuts and Economic Impact

Hayes anticipates that the Federal Reserve will soon initiate rate cuts, a cycle he believes could persist until mid-2026. He speculated that pressure from figures like Trump might influence the Fed to significantly lower interest rates, thereby fueling the Bitcoin bull cycle.

According to Hayes, lower interest rates would inject liquidity into the economy, with a significant portion potentially flowing into Bitcoin. This perspective aligns with reports indicating that the Fed is likely to consider a rate cut at the upcoming FOMC meeting, with economists projecting a 25 bps cut and further reductions by the year's end.

Even if the Fed doesn't implement multiple rate cuts, Hayes predicts that economic stimulus measures, including increased money printing, will be enacted, further supporting Bitcoin's bull cycle. He emphasized that Bitcoin's limited supply makes it a prime beneficiary of such monetary policies, unlike fiat currencies.

Contrasting Views and Market Performance

Hayes's forecast contrasts with veteran trader Peter Brandt's recent statement, suggesting the bull market might peak this month based on historical market cycles.

Bitcoin's Performance Relative to Other Assets

Hayes also addressed Bitcoin's recent underperformance compared to the S&P 500 and gold, both of which have reached all-time highs. He views this as a temporary situation, noting Bitcoin's overall status as the best-performing asset since its inception.

The Bitcoin price has remained range-bound after hitting a new all-time high of around $74,000 last month, prompting speculation about a potential market top.

However, Hayes dismisses these concerns, pointing to the expected increase in money printing by governments, which will likely drive liquidity into Bitcoin. He also stated that his exit from the market will be determined by the overall macroeconomic environment.

Hayes reiterated his belief that the traditional four-year cycle is not a definitive constraint, suggesting that Bitcoin could still rally towards $200,000.

Disclaimer: This content is for informational purposes only and does not constitute financial advice. Conduct thorough research before making any investment decisions.