Bitcoin Could Surge 90% as Fed Rate Cuts Loom

Macro investor and fund manager Dan Tapiero has shared his optimistic outlook on Bitcoin (BTC), forecasting substantial gains as macroeconomic conditions worsen. Tapiero, with a significant following on the social media platform X, anticipates that Bitcoin could rise by over 90% from its current value. This projection is grounded in the expected Federal Reserve rate cuts designed to boost the economy.

Tapiero's perspective is bolstered by several economic indicators, notably the Federal Reserve Bank of Richmond’s Expected Manufacturing Employment index. This index has plummeted to levels observed only during economic crises, indicating a rapid economic slowdown. Tapiero views this data as a sign that the Federal Reserve will likely increase liquidity, which he believes will propel Bitcoin to a new all-time high of $180,000 before the summer of 2026.

Tapiero also notes that deteriorating economic conditions are likely to result in more money printing, which will weaken the US dollar. He argues that this currency debasement will drive investors to Bitcoin as a hedge against inflation. He points to the sharp decline in consumer expectations for the economy over the next six months, describing this data as extreme and suggesting the need for lower interest rates and a weaker US dollar to counteract fiscal austerity.

Tapiero's analysis is based on his interpretation of economic data and his belief in the potential for increased liquidity to enhance Bitcoin's value. He stresses that current economic indicators point to a more severe slowdown than is currently anticipated, which could push investors towards Bitcoin as a safe haven asset.