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Bitcoin Set for April Price Surge as Fed Signals Monetary Easing

BY Benzinga | ECONOMIC | 03/30/25 01:00 PM EDT

In the wake of hints from the Federal Reserve about possible monetary easing, Bitcoin (CRYPTO: BTC) and other cryptocurrencies are projected to experience a price surge in April. This comes despite recent drops in cryptocurrency prices, spurred by inflation concerns and tariff threats from President Donald Trump.

What Happened: Recent report revealed a drop in Bitcoin’s price to approximately $80,000 per Bitcoin, after nearly reaching $90,000 earlier in the week. This decrease is linked to inflation worries, President Trump’s tariff threats, and fears surrounding a new, unidentified hack.

Despite these challenges, Arthur Hayes, a prominent crypto trader and BitMex co-founder, anticipates a Bitcoin price boom in April.

"There was a seminal change in the Federal Reserve Chair Jerome Powell's tone at the last Fed board meeting," Hayes said on a podcast.

Hayes, who recently founded the Maelstrom investment firm, suggests that the Federal Reserve's potential return to "stealth" money printing, or quantitative easing, could fuel this surge, even as it struggles with the $36 trillion U.S. debt that has spiraled out of control since 2020.

Also Read: Bitcoin Whale Takes $332 Million Short Position, Here’s Where It Gets Liquidated

Hayes’ forecast follows the Federal Open Market Committee (FOMC) maintaining interest rates and revising its economic growth outlook. The FOMC also hinted at reducing its “quantitative tightening” program, which diminishes the bonds it retains on its balance sheet.

"Tariffs don't matter anymore to Powell, and they shouldn't matter as crypto investors. If Trump does 50% or he does 2%, it doesn't matter, because we know that Powell is going to continue to provide the easy monetary conditions that we need to have our portfolios go up in fiat dollars," Hayes added.

Why It Matters: The potential for a Bitcoin price surge is significant, given the recent volatility in the cryptocurrency market.

The Federal Reserve’s hinted monetary easing could provide a much-needed boost to Bitcoin and other cryptocurrencies, which have been impacted by inflation fears and tariff threats.

The predictions of industry experts like Arthur Hayes lend further credibility to this potential surge. However, the impact of these factors will only be confirmed in the coming weeks.

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Image: Shutterstock

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