Bitcoin Price Rally Predictions Soar Amid Liquidity Boost

The cryptocurrency market has been experiencing a downturn recently, but experts are predicting a significant rally driven by an expected increase in liquidity.

Raoul Pal, a former Goldman Sachs executive and macro investor, believes that Bitcoin is currently trading at a 'deep discount' to global liquidity conditions. He suggests that if this gap closes, Bitcoin's price could surge explosively, potentially reaching $140,000.

Pal points out that several macro forces are converging in Q1 2026, including changes to bank regulations and Treasury General Account dynamics, which will increase system-wide liquidity.

In contrast, Arthur Hayes, co-founder of BitMEX, expects a major crypto rally tied to a $572 billion liquidity wave coming from Washington. He believes that a Treasury shift involving the TGA and debt buybacks will flood markets with cash, creating a high-probability environment for a Bitcoin surge.