BitMEX co-founder Arthur Hayes recently shared his bullish outlook on Bitcoin (BTC) with X. Alongside the post was a chart showing the net changes in reverse repurchase agreements (RRPs) and Treasury General Accounts (TGAs). Hayes referred to U.S. Treasury Secretary Janet Yellen as “Bad Gurl Yellen”.
In the X post, Hayes encouraged fellow Bitcoiners to stay focused on the dollar, as it has seen a dramatic increase in liquidity. He believes that BTC is expected to mirror the increase in dollar liquidities, resulting in an increase in price.
The accompanying chart shows the net variations of RRP and TGA, which may indicate a link between increased dollar liquidity and BTC prices. With a net liquidity increase of $106 billion in the last year, crypto analyst dharmafi shared more specific figures about X in a post highlighted an RRP balance of $65 billion with a TGA of $35 billion.
The rise in liquidity is a sign of the dynamic changes in the financial markets. Investors can use this information to predict potential effects on asset classes, such as cryptocurrencies.
U.S. Treasury Secretary Yellen, a skeptic of Bitcoin, recently cautioned cryptocurrency exchanges to abide by the law when speaking with Reuters at a G20 meeting of finance ministers, central bank governors.
In a recent interview, the CEO of the Digital Currency Industry, Mr. John McAfee, stressed the importance of compliance within the digital currency industry and the need to comply with regulations in order to operate within U.S. financial systems.