Bitcoin is surging again, reaching $86,000 after the latest Federal Open Market Committee (FOMC) meeting. However, according to former BitMEX CEO Arthur Hayes, this is just the beginning. He predicts that the Federal Reserve will cut interest rates on April 1, potentially fueling an even bigger price rally.

Can Bitcoin Hit the Next $90,000 Mark?

April 1: A Crucial Date for Bitcoin

Arthur Hayes believes that Bitcoin’s recent dip to $77,000 marked the bottom. He expects April 1 to be a turning point when the Fed may end its quantitative tightening (QT) policy. If that happens, more money could flow into the market, pushing Bitcoin even higher.

Hayes also warns that if the U.S. stock market continues to decline, the Fed may intervene with policies that indirectly benefit Bitcoin. His advice?

“Stay nimble and stockpile cash” as major market moves could be imminent.

The Fed Signals a Shift – Why This Matters for BTC

For months, traders have speculated that the Fed would ease its tightening policies.

The latest FOMC minutes confirmed this, revealing that the Fed plans to reduce its monthly Treasury bond sales from $25 billion to $5 billion.

Bitcoin reacted immediately. Following the FOMC meeting, BTC surged 3.5% to $87,000 and is now testing key resistance levels. Crypto analyst IncomeSharks pointed out that if Bitcoin closes above $86,351, it could trigger a major breakout rally.

Another factor driving Bitcoin’s price is the increasing M2 money supply, which has a strong correlation with BTC’s movements.

Experts suggest that even a small 10% increase in liquidity could double Bitcoin’s price. If this trend continues, BTC could hit $90,000—or even higher—by April.

Not Everyone Agrees

While Hayes is confident that QT will end on April 1, not all analysts share his view. Market expert Benjamin Cowen argues that QT is still in effect, with the Fed reducing its balance sheet by $35 billion each month.

If the Fed cuts interest rates as Hayes predicts, Bitcoin could experience a strong rally. As April approaches, all eyes are on the Fed’s next move—one that could send BTC soaring past $90,000.

Bitcoin seems to have only one direction in mind—upward. Let’s see if the Fed adds more fuel to the fire.

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