January 27 News, Arthur Hayes stated that if the Federal Reserve steps in to support the weak Japanese government bond market, Bitcoin could break free from its long-term sideways trading. Hayes proposed that the Fed might intervene by printing money to stabilize the yen and Japanese government bonds, which could potentially provide new upward momentum for Bitcoin.
Japan is facing dual pressures: yen depreciation alongside rising government bond yields, indicating a loss of market confidence. Hayes pointed out that this situation might force the Bank of Japan or the Federal Reserve to intervene, and the US could also be affected, as Japanese investors might sell US Treasuries to buy higher-yielding Japanese government bonds.
Hayes explained that the Fed might collaborate with banks like JPMorgan to establish dollar reserves, then sell dollars to buy yen, and use the yen to purchase Japanese government bonds, thereby lowering yields. This operation would expand the Fed’s foreign currency-denominated assets and liabilities, creating potential liquidity that could indirectly benefit the Bitcoin market. Hayes emphasized that he would not increase risk exposure until central bank intervention is confirmed.
Meanwhile, the US dollar index fell to 95.6 on Tuesday, the lowest since January 2022. Despite the dollar declining about 10% over the past year, Trump insisted during a speech in Iowa that the dollar is “performing strongly,” criticizing the long-term depreciation of the yen and the renminbi for affecting international competitiveness. Hayes believes that the volatility of the dollar relative to the yen and Japanese bond markets is closely linked, and Bitcoin’s price trend may adjust accordingly.
Analysts point out that if the Fed prints money to intervene in the Japanese market, it could not only push up the yen but also create new market capital flows into Bitcoin, injecting vitality into its long-term sideways trend. Monitoring changes in the Fed’s H.4.1 balance sheet will be a key indicator for assessing potential market stimulation.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Oil prices may push above $90, pressuring the market. Bitcoin drops below $71,000, and the Crypto Fear & Greed Index falls to 18.
Macroeconomic pressures are weighing on the cryptocurrency market, with oil prices expected to break through $90, causing Bitcoin to drop to $71,000, and the market fear index falling to 18. High oil prices may boost inflation, influence Federal Reserve policies, and further suppress risk assets. Despite widespread market panic, historical data shows increased chances of a rebound at this time. Moving forward, attention should be paid to oil prices and Bitcoin price trends to determine the market direction.
GateNews4m ago
Bitcoin Price Prediction March 2026: Macroeconomist Targets $110K BTC, but Pepeto Offers Massive Growth That SOL and LINK Cannot Match
Macroeconomist Henrik Zeberg just laid out a bitcoin price prediction of $110,000 to $120,000 in his primary scenario, fueled by risk on rotation, ETF inflows, and continued institutional adoption, and when a respected macro voice calls for a 60% move from current levels, it means the bull
CaptainAltcoin6m ago
$2.6 Billion Bitcoin and Ethereum Options Expire as Bearish Positioning Dominates Derivatives Market
Approximately $2.6 billion in Bitcoin and Ethereum options contracts are set to expire on March 6, 2026, with derivatives data revealing a pronounced bearish tilt despite recent price recovery across crypto markets.
CryptopulseElite11m ago
The probability of "Bitcoin rebounding to $75,000 this year" on Polymarket is 89%.
BlockBeats News, March 6th, Polymarket predicts an 89% chance that "Bitcoin will rebound to $75,000 this year." Additionally, the forecast for BTC to rise to $80,000 within the year is currently 75%, while the probability of dropping to $55,000 is currently 68%.
GateNews12m ago
Arthur Hayes Warns US-Iran War Could Trigger Fed Money Printing, Outlines Bitcoin Stance
BitMEX co-founder Arthur Hayes has warned that rising oil prices from the US-Iran conflict could force the Federal Reserve to resume money printing, historically a bullish catalyst for Bitcoin, while simultaneously revealing that he currently holds zero Bitcoin in his portfolio, maintaining a 50 percent cash and 50 percent gold allocation.
CryptopulseElite29m ago
Bitwise CIO: The altcoin season is over, and the future will enter a "non-traditional" cycle
Bitwise Chief Investment Officer Matt Hougan believes that the future of altcoin seasons will no longer be common, and only assets with real applications and growth momentum will profit. He pointed out that the market will become more differentiated, with investor attention focusing on Bitcoin, and mentions of altcoins dropping to a two-year low.
GateNews1h ago
