U.S. Borrowing Binge Could Push Bitcoin to New Heights – Arthur Hayes

BitMEX co-founder Arthur Hayes believes America’s ballooning debt may become an unlikely tailwind for Bitcoin, predicting that the leading cryptocurrency could surge to $250,000 before the year ends—and reach $1 million by 2028.

In a recent interview with Fortune, Hayes argued that the U.S. government’s growing borrowing needs will inject significant liquidity into the financial system.

As more Treasury debt is issued, he says, mechanisms will need to be put in place to ensure smooth funding—effectively flooding the economy with more dollars.

That rising liquidity, according to Hayes, serves as fuel for risk assets, including Bitcoin. “I think the bottom was in back in April,” he said, referencing April 9th as a key turning point. “From here, the trend is up—much higher—as borrowing accelerates and the government continues to spend.”

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At the time of writing, Bitcoin is trading above $105,000, gaining over 1% in the past 24 hours. Hayes sees $200,000 as the next near-term target during this bull run, with $250,000 achievable by year’s end if liquidity trends persist.

Looking further ahead, he forecasts a $1 million Bitcoin price tag by the end of Donald Trump’s potential second term—assuming inflationary pressures and monetary expansion continue at current pace.

Alexander Stefanov