Bitcoin must reclaim this key 2025 level to avoid new lows — Research
Bitcoin (BTC) neared $90,000 at the March 24 Wall Street open as analysis warned of “conflicting signs and signals.”BTC/USD 1-hour chart. Source: Cointelegraph/TradingViewBTC price daily gains near 3% in risk-asset reliefData from Cointelegraph Markets Pro and TradingView showed BTC/USD hitting $88,772 on Bitstamp — its highest levels since March 7.Bitcoin followed stocks by opening the week higher after almost a month of sell-side pressure. The S&P 500 and Nasdaq Composite index were up 1.6% and 2%, respectively, at the time of writing.Commenting, trading resource The Kobeissi Letter explained the upside as a positive reaction to news that the US government was easing the severity of new trade tariffs set to become effective on April 2.It quoted sources reporting that “sector-specific tariffs” would emerge instead of blanket rules.“The S&P 500 is now up +75 points on the news,” it added.S&P 500 4-hour chart. Source: Cointelegraph/TradingViewCrypto market momentum had already gained thanks to rumors of the US potentially using gains on its gold reserves to purchase BTC.“If we actually realize the gains on [these holdings], that would be a budget-neutral way to acquire more Bitcoin,” Bo Hines, executive director of the President’s Council of Advisers on Digital Assets, said in an interview with the Crypto in America podcast last week.In his latest market analysis on March 24, Keith Alan, co-founder of trading resource Material Indicators, suggested that the news had not fallen on deaf ears.Despite the relatively modest BTC price uptick, he wrote in an X thread, “the announcement that the administration was considering selling Gold Reserves to buy Bitcoin certainly gave speculators some hopium.”“With gold in ATH territory, and BTC in a correction, this would be an opportune time to take some profit on Gold and buy Bitcoin,” he added.XAU/USD 1-day chart. Source: Cointelegraph/TradingViewBTC needs key support reclaim to avoid new lowsContinuing, Alan laid out two key prerequisites for sustained BTC price upside.Related: RSI breaks 4-month downtrend: 5 things to know in Bitcoin this weekThe 21-day simple moving average (SMA), currently at $84,674, as well as the 2025 yearly open at around $93,300, must both be reclaimed as support.BTC/USD 1-day chart with 21SMA. Source: Cointelegraph/TradingView“With conflicting signs and signals, how can we tell if Bitcoin is returning to a path to ATH territory or if this is a developing bull trap? The answer is knowing what your validation/invalidation levels are,” he explained.The yearly open, in particular, would be crucial, with Alan arguing that until it is reclaimed, “there is an increased likelihood that price will retest the lows.” “If/when that happens, I’ll be buying those dips when buying resumes,” he concluded.This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
Ethereum down 57% from its all-time high, but it’s still worth more than Toyota
Ether is trading at around half its all-time high price, but the Ethereum network is still valued higher than some of the world’s most prominent companies. Ether (ETH) traded at roughly $2,088 at the time of writing amid continued exchange-traded fund (ETF) outflows, down over 57% from its all-time high of nearly $4,900 set in mid-November 2021, according to CoinMarketCap data. Despite this decline, Ethereum maintains a market capitalization of nearly $252 billion, surpassing global corporations such as Toyota ($250 billion) and the total market value of the precious metal platinum ($245 billion).Other notable companies currently worth less than the Ethereum network include IBM, McDonald’s, General Electric, Shell and Disney. If Ethereum were a company, it would be the fiftieth largest in the world, just behind Nestlé, with its market capitalization of nearly $256 billion.Alex Obchakevich, founder of Obchakevich Research, told Cointelegraph that speculative interest significantly contributes to Ethereum’s valuation, as well as its “freedom from the financial framework of traditional finance.” He added:“Ethereum is about the future, about new financial technologies and solutions. The project is still very young and attracts many new and young investors who are ready to take risks. I believe that the average Zoomer will choose Ethereum for investment rather than Toyota or IBM shares.”Flavio Bianchi, a Polkadot ambassador and the chief marketing officer of the decentralized fundraising platform Polimec, told Cointelegraph that the comparison is less insightful than it might appear at first. He highlighted that “Ethereum isn’t a business” — it’s infrastructure. He explained:“Its value doesn’t come solely from revenue or profit but from usage and belief in its future role. It enables people to build, transact, issue assets and coordinate without intermediaries.”Obchakevich also suggested Ethereum became more attractive after it transitioned to proof-of-stake (PoS), reinforcing “its value as a deflationary asset with growth potential in the digital economy.”Related: ETH may reclaim $2.2K ‘macro range’ amid growing whale accumulationIs Ethereum a deflationary asset?Recent data from Ultra Sound Money shows that Ethereum is inflationary again, with an annual inflation rate of about 0.73% over the past 30 days.The rate of inflation or deflation is largely dependent on the ETH fees burned by the network and the amount of newly issued Ether. Fees have been burned on the network since the implementation of EIP-1559 in 2021, which, paired with decreased issuance after the PoS transition, resulted in Ethereum being deflationary during sustained network activity.IntoTheBlock data shows that on March 23, daily fees on Ethereum fell to a little over $337,000, the lowest value reported since June 2020. YCharts also shows that on March 23, there was only 118.67 ETH worth of fees, the lowest value reported this year.Ethereum network transaction fees per day. Source: YChartsOver the past 24 hours, ETH’s value rose nearly 3.5%, increasing its market capitalization by about $9.3 billion, now totaling approximately $252.1 billion. For comparison, this figure exceeds Greece’s gross domestic product (GDP), currently around $243.5 billion.Related: Ethereum eyes 65% gains from ‘cycle bottom’ as BlackRock ETH stash crosses $1BObchakevich highlighted that other than being worth more than Greece’s GDP, Ethereum’s market cap is also higher than the GDP of countries such as Slovenia and Croatia combined. He said this is more than a curious factoid:“For institutional investors, it is a sign of legitimacy. Ethereum is valued for smart contracts, and DeFi has a TVL [total value locked] of over $124 billion, seeing it not only as speculation but as the infrastructure of the future.”Pradeep Singh, CEO of enterprise privacy and security infrastructure firm Gateway FM, told Cointelegraph that these numbers reflect “a fundamental shift in how we value digital infrastructure”:“What we’re witnessing is a growing recognition that significant portions of the global economy will eventually migrate to this infrastructure. Ethereum’s market capitalization is essentially pricing in its future role as the settlement layer for everything from financial services to supply chain management.”The Ethereum protocol continues to evolve as developers introduce innovations such as native rollups, further expanding the blockchain’s capabilities and potential use cases.Magazine: MegaETH launch could save Ethereum… but at what cost?
From ICO hype to AI utility: The evolution of crypto agents in Web3
The rise of AI-driven crypto agents is following a familiar trajectory that mirrors the initial boom, bust and resurgence of ICO-era projects. Just as early blockchain ventures thrived on hype before maturing into sustainable ecosystems, the current wave of AI agent projects is undergoing rapid market shifts. A new report by HTX Ventures and HTX Research says that investors are growing cautious as competition in the sector intensifies, liquidity disperses and many projects struggle to define clear use cases. Still, as the sector moves beyond its speculative phase, AI-driven crypto agents are expected to evolve sustainable business models underpinned by genuine utility.To dive deeper into the evolution of crypto agents and the future of AI-driven blockchain innovation, download the full report by HTX here.From meme hype to reality: The evolution of crypto agentsThe initial wave of crypto agent projects in 2024 was driven by indiscriminate enthusiasm for AI projects. Following the impact of a $50,000 Bitcoin donation from Marc Andreessen in October 2024 and the success of token launchpads earlier in the year, many AI agent projects entered the space in Q1 of 2024 and rapidly diluted liquidity by Q1 of 2025. As with any emerging sector, early-stage hype did not always translate into long-term viability, and a cooling-off period in the crypto AI agent sector followed.The market segment is now entering a more mature phase, and the focus is shifting from speculative excitement to revenue generation and product performance. The winners in this evolving landscape will be those that can generate stable revenue, cover the costs of running AI models and provide tangible value to users and investors alike.AI agent applications emphasize real-world implementation and commercialization of this technology, particularly in areas like automated trading, asset management, market analysis and crosschain interaction. This approach aligns with multi-agent systems and DeFAI (decentralized finance + AI) initiatives like Hey Anon, GRIFFAIN and ChainGPT.Recent research highlights the advantages of multi-agent systems (MAS) in portfolio management, particularly in cryptocurrency investments. Projects such as Griffain, NEUR, and BUZZ have already demonstrated how AI can help users interact with DeFi protocols and make informed decisions. Unlike single-agent AI models, multi-agent systems leverage collaboration among specialized agents to enhance market analysis and execution. These agents function in teams, such as data analysts, risk evaluators and trading execution units, each trained to handle specific tasks. MAS frameworks also introduce inter-agent communication mechanisms, where agents within the same team refine predictions through collective learning, reducing errors in market trend analysis. The next phase of DeFAI will likely involve deeper integration of decentralized governance models, where multi-agent systems participate in protocol management, treasury optimization and onchain compliance enforcement.To dive deeper into the evolution of crypto agents and the future of AI-driven blockchain innovation, download the full report by HTX here.DeepSeek-R1: A breakthrough in AI agent trainingA breakthrough in AI agent technology arrived with DeepSeek-R1, an innovation that challenges traditional AI training methods. Unlike previous models, which relied on supervised fine-tuning (SFT) followed by reinforcement learning (RL), DeepSeek-R1 takes a different approach, optimizing entirely through reinforcement learning without an initial supervised phase. This shift has led to remarkable improvements in reasoning capabilities and adaptability, paving the way for more sophisticated AI-driven crypto agents.To understand this paradigm shift, consider two different approaches to learning. In the Traditional SFT and RL model, a student first studies from a workbook, practicing problems with set answers (SFT), and then receives tutoring to refine their understanding (RL). In contrast, with the DeepSeek-R1 Model (Pure Reinforcement Learning), the student is thrown directly into an exam and learns through trial and error. This approach allows the student to improve dynamically based on feedback rather than relying on pre-defined answers.Leveraging DeepSeek-R1’s pure RL model, AI agents learn through trial and error in real-world conditions, dynamically adjusting their strategies based on immediate feedback.This method allows for greater adaptability, making it particularly useful for multi-agent AI systems in DeFi, where real-time market fluctuations require agents to make autonomous, data-driven decisions. For example, AI-powered agents can monitor liquidity pools, detect arbitrage opportunities and optimize asset allocations based on real-time market conditions. These agents adapt quickly to market fluctuations, ensuring more efficient capital deployment.Launched in late November 2024, iDEGEN is the first crypto AI agent built on DeepSeek R1. This integration of DeepSeek’s R1 model emphasizes how crypto AI agents can inherit such enhanced reasoning capabilities, competing with other established AI models at a fraction of the cost. This shift toward RL-powered, multi-agent AI in DeFi automation underscores why closed-source AI models (such as OpenAI’s GPT-based systems) are becoming an unsustainable expense. With workflows often requiring the processing of 10,000+ tokens per transaction, closed AI models impose significant computational costs, limiting scalability. In contrast, open-source RL models like DeepSeek-R1 allow for decentralized, cost-efficient AI development tailored for DeFi applications.The future of AI agents in Web3The key to longevity in this sector lies in continuous innovation, adaptability and cost efficiency. Open-source AI models like DeepSeek-R1 are lowering the barriers to entry, allowing blockchain-native startups to develop specialized AI solutions. Meanwhile, advancements in DeFAI and multi-agent systems will drive long-term integration between AI and decentralized finance. The takeaway is clear: Projects must prove their value beyond hype. Those who develop sustainable economic models and leverage cutting-edge AI advancements will define the future of intelligent blockchain ecosystems. The ICO era of crypto agents is evolving, and the next wave of winners will be the ones that can turn innovation into long-term viability.To dive deeper into the evolution of crypto agents and the future of AI-driven blockchain innovation, download the full report by HTX here.Disclaimer. Cointelegraph does not endorse any content or product on this page. While we aim at providing you with all important information that we could obtain in this sponsored article, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor can this article be considered as investment advice.This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.Cointelegraph does not endorse the content of this article nor any product mentioned herein. Readers should do their own research before taking any action related to any product or company mentioned and carry full responsibility for their decisions.
Retail investors will dominate the crypto markets
Opinion by: Hatu Sheikh, founder of Coin TerminalCrypto began its journey with Bitcoin (BTC) — the epitome of decentralization — promising open access and equitable distribution of financial resources. It evolved into starkly different territories, where lucrative market opportunities are often inaccessible for retail investors.Wealthy individuals, high-net-worth family offices, company insiders and venture capitalists secure early access to prime crypto deals. Retailers are left in the lurch as their late entry leads to higher market risks and limited profitability.The table is turning, mainly with the rise of real-world asset (RWA) tokenization and a decisive repudiation of venture capital-backed tokens. Crypto is no longer a niche asset class for institutional investors — retail users are now actively shaping the future of finance.Crypto has a retail-institutional divideRetail investors have long stayed away from the crypto market. Analyzing the Bitcoin wallet activities of retail tokenholders demonstrates this.According to Glassnode, Bitcoin retail spend volumes of user wallets holding less than 0.1 BTC have dropped by 48% since November 2024. A crypto commentator has corroborated the data, showing retail interest reached a three-year low.Institutional investors like Metaplanet, Strategy and Intesa Sanpaolo have recently increased their Bitcoin holdings, taking advantage of BTC’s price drop. Simultaneously, large Bitcoin holders or crypto whales have accumulated over 39,620 BTC worth $3.79 billion in a single day.Matt Hougan, chief investment officer at Bitwise, said, “There is an absolutely massive disconnect between retail and professional sentiment in crypto right now.” The data suggests that retail sentiment is bearish while professional investors remain bullish, almost like two parallel worlds.The expanding adoption of BTC reserves by corporations and institutional demand for Bitcoin futures has led to shrinking retail investors. The Chicago Mercantile Exchange (CME) controls 85% of the monthly futures market, while crypto exchanges control retail-led perpetual contracts.CME’s open interest in monthly BTC futures offers hedge funds and investment banks exposure to BTC and liquidity access. It also indicates, however, a diminishing influence of retail investors’ participation in Bitcoin’s price discovery.The market structurally restricts retail investors’ access to capital reserves, denying them early-stage opportunities in financial markets. The psychological “unit bias” adds to the problem as retailers cannot own a complete unit of assets like Bitcoin.Recent: Crypto shows how powerful tokenizing private stocks would beAs governments contemplate the formation of strategic Bitcoin reserves, they risk being locked in central bank cold wallets. For optimal utilization, it’s essential to keep Bitcoin accessible to retail investors through open reserves.Despite such constricted market opportunities, the crypto industry offers innovative products like asset tokenization and memecoins to democratize access for retail investors.Retail investors are reclaiming cryptoSometimes, the best way to achieve financial inclusion is to remove complexities and make investing fun and relatable. Memecoins have done that successfully, leveraging speculation as a utility to make a statement against low-float-high-fully diluted valuation coins backed by VCs. That’s the reason retail investors are buying memecoins in such large numbers.Although memecoins are subject to severe market volatily, they continue to dominate retail speculation. Nicolai Søndergaard, a research analyst at Nansen, thinks the altcoin season is yet to come because memecoins have topped investor mindshare and capital allocation. The memecoin phenomenon shows the power of ordinary people to monetize virality and harness mimetic desire through collective community-led wealth generation. But more importantly, it shows retail investors’ rejection of VC-led token pumps that deny fair entry to high-value token launches.Memecoins also give tokenholders a sense of belonging to facilitate bonding over shared values and culture. Thus, when US President Donald Trump launched his memecoin, 42% of investors were first-time buyers, signaling memecoins’ potential to onboard retailers.Beyond speculative memecoin trading, retail investors adopt tokenized real-world assets to hedge against uncertain market conditions. The RWA tokenization market has recently surpassed $17 billion, enhancing retail investor accessibility and market opportunities through improved liquidity and fractional ownership.Retailers and small investors can now participate in tokenized capital markets, previously reserved for institutions and wealthy individuals. Thus, tokenization is a democratic and inclusive market strategy to help new investors access the financial system without facing liquidity challenges.Mastercard recently published a white paper explaining how RWA tokenization offers significant socio-economic benefits to people from emerging economies, such as Latin America. In developing economies, tokenization resolves the trust deficit by enabling transparent ownership tracking for seamless asset transfers.Asset tokenization helps retail investors participate in DeFi markets by improving capital efficiency. A PricewaterhouseCoopers report shows tokenization benefits buyers and sellers in the opaque $1.5-trillion private credit market through fractionalized lending and borrowing.Amid turbulent market conditions, institutional investors with abundant capital reserves have the luxury of continuing to accumulate Bitcoin and other altcoins. However, retail investors with a fixed capital supply must find asset classes with the lowest entry barriers.With the crypto industry providing diversified investment options and innovative products, retailers now have the freedom to invest in their preferred assets. It’s finally time for retail investors to come onchain.Opinion by: Hatu Sheikh, founder of Coin Terminal.This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
XRP, Solana lead altcoin ETP inflows as Ethereum slumps — CoinShares
XRP and Solana led all altcoin-based exchange-traded product (ETP) inflows during the week ending March 21, with $6.71 million and $6.44 million respectively, according to digital asset investment firm CoinShares.Other altcoin inflows were comparatively modest, with Polygon (MATIC) logging $400,000 and Chainlink (LINK) adding $200,000.Sentiment toward altcoins remained mixed overall, as Ether (ETH) alone saw significant outflows totaling $86 million. Other notable outflows included Sui (SUI), with $1.3 million, Polkadot (DOT), with $1.3 million and Tron (TRX) with $950,000.Despite Ether’s substantial outflows dragging down the altcoin sector, digital assets collectively reversed a five-week streak of net outflows, registering inflows of $644 million. Bitcoin (BTC) led this recovery with inflows amounting to $724 million, snapping its own five-week negative streak.Ethereum outflows pull down altcoins ETP performance, but Bitcoin carries digital assets. Source: CoinSharesAs Cointelegraph reported, Ethereum has now experienced net weekly outflows for four consecutive weeks, while Bitcoin recorded its largest net inflow since January.Related: Bitcoin ETFs log first net inflows in weeks, while Ether outflows continueSentiment on digital assets ETPs shifting across the worldCoinShares noted that the majority of inflows originated from the US, which accounted for $632 million, driven primarily by BlackRock’s iShares Bitcoin Trust (IBIT). Positive sentiment, however, extended beyond the US, with Switzerland leading other regions at $15.9 million, followed closely by Germany ($13.9 million) and Hong Kong ($1.2 million).Canada and Sweden lead outflows. Source: CoinSharesStars lining up for Solana and XRPAlthough altcoins collectively suffered a net outflow driven primarily by Ethereum’s performance, Solana and XRP emerged as the standout altcoin performers. In Solana’s case, the US market is poised to introduce its first Solana futures exchange-traded funds (ETF), potentially paving the way for a future spot Solana ETF.Related: XRP and Solana race toward the next crypto ETF approvalIn Bitcoin’s case, the approval of futures-based ETFs was initially favored by regulators due to the existence of a regulated market (the Chicago Mercantile Exchange), which provided assurances against potential market manipulation. However, this raised controversy over the SEC’s continued rejection of spot Bitcoin ETFs, which directly hold the cryptocurrency. A pivotal lawsuit by Grayscale successfully challenged this inconsistency, compelling the SEC to revisit its stance and ultimately paving the way for approval of the long-awaited spot Bitcoin ETFs.Meanwhile, XRP has seen a significant boost from the recent dismissal by the SEC of its long-running lawsuit against Ripple Labs.Magazine: Memecoins are ded — But Solana ‘100x better’ despite revenue plunge
SEC acting chair voted against suing Elon Musk over Twitter stock disclosure
The acting chair of the United States Securities and Exchange Commission has reportedly voted against the agency suing Elon Musk over the billionaire’s alleged securities violations concerning the disclosure of Twitter stocks. Citing anonymous sources, Reuters reported on March 24 that the SEC’s five commissioners conducted a vote on whether to sue Musk or not before the agency filed its lawsuit against the billionaire. Four commissioners voted in favor, while the lone dissent came from Mark Uyeda, who was appointed acting chair by US President Donald Trump on Jan. 20. SEC Commissioner Hester Peirce voted along with three other commissioners to sue Musk. Uyeda and Peirce are known for their dissenting opinions on the SEC’s enforcement actions against the crypto industry during former SEC Chair Gary Gensler’s time in office.SEC lawsuit against Elon MuskIn 2022, Elon Musk bought Twitter for $44 billion and rebranded the social media platform to X. Since then, the SEC has been investigating whether Musk had violated any securities laws as he acquired the platform. The SEC filed the lawsuit on Jan. 14, alleging that Musk failed to disclose his purchase of Twitter shares within the required 10-day window after surpassing the 5% ownership threshold. The agency said Musk delayed the disclosure by 11 days, allowing him to continue acquiring shares at lower prices, ultimately saving an estimated $150 million.Related: Musk says he found ‘magic money computers’ printing money ‘out of thin air’Elon Musk claps back at “broken” organizationMusk’s lawyer, Alex Spiro, previously told Cointelegraph that the SEC’s action is an “admission” that they cannot bring an actual case. Meanwhile, Musk described the SEC as a “totally broken organization” on X, saying that so many “actual crimes” go unpunished. Around a month after the lawsuit was filed, the Department of Government Efficiency (DOGE), a US government agency led by Musk, set its sights on the SEC. On Feb. 17, a page affiliated with DOGE called the public to disclose any “waste, fraud and abuse” related to the SEC. Musk also shared the post with his over 200 million followers on X. A court filing indicates Musk has until April 4 to respond to the lawsuit. Meanwhile, President Trump has issued an executive order calling for a review of politically motivated investigations at the SEC and other federal agencies under the previous administration.Magazine: Memecoins are ded — But Solana ‘100x better’ despite revenue plunge
Michael Saylor’s Strategy surpasses 500,000 Bitcoin with latest purchase
Michael Saylor, the CEO of MicroStrategy, has been making headlines in the crypto world with his company’s massive Bitcoin purchases. In fact, his strategy has now surpassed 500,000 Bitcoin with their latest acquisition of 6,911 BTC for over $584 million. This brings their total Bitcoin holdings to 506,137 BTC, acquired at an average price of $66,608 per coin.
This milestone comes just days after Saylor hinted at an impending Bitcoin investment, following the announcement of their latest tranche of preferred stock. The offering, which was sold at $85 per share and featured a 10% coupon, is expected to bring in approximately $711 million in revenue for the company.
Despite global tariff concerns and fears of a premature bear market, MicroStrategy continues to buy the dips and increase their Bitcoin holdings. This latest purchase comes at a time when many investors are worried about the impact of trade wars on traditional and digital asset markets.
According to analysts, these tariff concerns may continue to weigh on the markets until at least April 2nd, when the reciprocal tariff rates are set to take effect. However, there is hope that these concerns will be resolved between April and July, potentially presenting a positive market catalyst.
In the meantime, MicroStrategy’s bold Bitcoin purchases have caught the attention of the crypto community and beyond. With their holdings now surpassing half a million Bitcoin, Saylor’s strategy is proving to be a successful one. And with the recent news of BlackRock increasing their stake in the company to 5%, it seems that more and more institutions are following in MicroStrategy’s footsteps.
Despite the ups and downs of the market, Saylor remains confident in his strategy and the future of Bitcoin. And with their latest acquisition, MicroStrategy has solidified their position as the world’s largest corporate Bitcoin holder. It will be interesting to see how their bold moves continue to impact the crypto market in the coming months.
Bitcoin ‘more likely’ to hit $110K before $76.5K — Arthur Hayes
Bitcoin may reach a new all-time high of $110,000 before any significant retracement, according to some market analysts who cite easing inflation and increasing global liquidity as key factors supporting a price rally.Bitcoin (BTC) has been rising for two consecutive weeks, achieving a bullish weekly close just above $86,000 on March 23, TradingView data shows.Combined with fading inflation-related concerns, this may set the stage for Bitcoin’s rally to a $110,000 all-time high, according to Arthur Hayes, co-founder of BitMEX and chief investment officer of Maelstrom.BTC/USD, 1-week chart. Source: Cointelegraph/TradingViewHayes wrote in a March 24 X post:“I bet $BTC hits $110k before it retests $76.5k. Y? The Fed is going from QT to QE for treasuries. And tariffs don’t matter cause of “transitory inflation.” JAYPOW told me so.”Source: Arthur Hayes“What I mean is that the price is more likely to hit $110k than $76.5k next. If we hit $110k, then it’s yachtzee time and we ain’t looking back until $250k,” Hayes added in a follow-up X post.Quantitative tightening (QT) is when the US Federal Reserve shrinks its balance sheet by selling bonds or letting them mature without reinvesting proceeds, while quantitative easing (QE) means that the Fed is buying bonds and pumping money into the economy to lower interest rates and encourage spending during difficult financial conditions.Other analysts pointed out that while the Fed has slowed QT, it has not yet fully pivoted to easing.“QT is not ‘basically over’ on April 1st. They still have $35B/mo coming off from mortgage backed securities. They just slowed QT from $60B/mo to $40B/mo,” according to Benjamin Cowen, founder and CEO of IntoTheCryptoVerse.Related: Bitcoin may recover to $90K amid easing inflation concerns after FOMC meetingMeanwhile, market participants await the Fed’s expected pivot to quantitative easing, which has historically been positive for Bitcoin’s price.BTC/USD, 1-week chart, 2020–2021. Source: Cointelegraph/TradingViewThe last period of QE in 2020 led to a more than 1,000% surge in Bitcoin’s price, from around $6,000 in March 2020 to a then-record high of $69,000 in November 2021. Analysts say a similar setup may be forming again.Related: Bitcoin reserve backlash signals unrealistic industry expectationsMacro conditions may support Bitcoin’s rally to $110,000Bitcoin’s recovery to above $85,000 after last week’s Federal Open Market Committee (FOMC) meeting was a bullish sign for investor sentiment that may signal more upside, according to Emmanuel Cardozo, market analyst at real-world asset (RWA) tokenization platform Brikken.The macroeconomic environment also “supports” a Bitcoin rally to $110,000, the analyst told Cointelegraph.“Global liquidity has risen, discussions around a US Bitcoin strategic reserve, potentially driving Bitcoin toward that $110,000 mark as BTC liquidity available in exchanges keeps dropping, leading to a supply squeeze scenario,” he said.“However, a correction to $76,500 aligns with Bitcoin’s historical volatility, often triggered by profit-taking or unexpected market shifts,” he added.Other analysts also see a high likelihood of Hayes’ prediction playing out.“Given Bitcoin’s recent close above the 21-day and 200-day moving averages, this bullish momentum aligns with his view. However, the $88K resistance remains a key hurdle,” Ryan Lee, chief analyst at Bitget Research, told Cointelegraph.Magazine: Bitcoin’s odds of June highs, SOL’s $485M outflows, and more: Hodler’s Digest, March 2 – 8This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.