Arthur Hayes: If the US Treasury injects $850 billion into the TGA account, the crypto market will enter a "rising and falling" mode

BitMEX co-founder Arthur Hayes said that once the U.S. Treasury reaches its target of injecting $850 billion into the Treasury General Account (TGA), the crypto market will enter a "growth-only" mode. "With the end of the liquidity drought, the 'growth-only' trend will re-emerge," Hayes wrote as the opening balance of the U.S. TGA surpassed $807 billion. When the Treasury fills its general account, the funds are typically segregated and do not flow into private markets. However, not all analysts are convinced by Hayes' prediction that liquidity will flow into financial markets once the U.S. Treasury reaches its target. André Dragosch, head of European research at investment firm Bitwise, responded: "However, the correlation of net liquidity with Bitcoin and cryptocurrencies is at best loose. In my opinion, it is completely useless." (Cointelegraph)