When the Fed prints: The renowned analyst predicts triple Bitcoin thanks to the "gradual expansion"

The Federal Reserve faces a delicate necessity: maintaining financial system stability through calibrated liquidity injections rather than massive and obvious interventions. This scenario could become an extraordinary catalyst for Bitcoin, according to the reputable fund manager Larry Lepard, who has identified the current context as setting the stage for a significant appreciation of the most important digital asset.

The Fed’s Strategy: From Theory to Practice

In the last months of 2025, the Federal Reserve adopted what is formally called “Reserve Management,” but which actually represents the implementation of Quantitative Easing (QE) through less conventional channels. Rather than openly announcing a large-scale asset purchase program, the central bank operates through gradual additions of liquidity into the system.

Prominent economist Lyn Alden coined an eloquent term to describe this dynamic: the “Gradual Print” phase. Unlike past fiscal stimulus cycles, characterized by loud announcements and concentrated interventions over time, this strategy involves continuous and subtle increases in circulating money. The difference is not merely semantic: it represents a paradigmatic shift in how monetary authorities seek to prevent liquidity crises in bond markets, the US Treasury, and repo segments.

The Economic Engine Behind the “Gradual Expansion”

According to Alden’s analysis, the Fed has no choice. Both the federal government and financial markets require a continuous influx of new liquidity to function properly. The expansion of the central bank’s balance sheet has become a structural necessity rather than a discretionary choice. This dynamic marks a significant departure from the restrictive monetary policies of the past two years.

Historically, whenever central banks have implemented monetary expansion programs—whether through explicit QE or subtle liquidity injections—the cryptocurrency market has benefited from pronounced bullish impulses. The phenomenon reflects the nature of digital assets as safe havens and diversification tools during periods of monetary expansion.

Lepard’s Forecast and Expected Price Levels

Based on this macroeconomic outlook, Larry Lepard has made a bold projection: Bitcoin’s price will double or even triple in the upcoming market cycles. With Bitcoin currently trading at around $96.20K (data updated as of January 15, 2026), this projection opens interesting scenarios.

If a tripling scenario materializes from current levels, Bitcoin could reach between $192,400 and $288,600. Even considering a conservative doubling scenario, a move toward $192,400 would occur. These projections are not unfounded: they reflect historical patterns observed during previous monetary expansion cycles, when alternative assets recorded exponential performance.

Historical Context and Past Cycles

The renowned manager Lepard is not proposing a hypothesis disconnected from history. Past Quantitative Easing cycles—2008-2014, 2020-2021—have invariably generated significant rallies in high-risk asset markets. Bitcoin, although born during the 2008 financial crisis, experienced exponential growth precisely during periods of maximum monetary expansion. The correlation between the Fed’s balance sheet and Bitcoin’s performance is not casual but reflects a fundamental economic relationship: greater liquidity in circulation equates to lower yields on “safe” securities, pushing investors toward alternative and risky assets like cryptocurrencies.

Implications for Markets

The scenario described represents a context where the Federal Reserve’s formal prudence in official statements conceals substantial expansion activity. This “soft” policy could prove even more effective than traditional QE in generating bullish dynamics in risk markets, as it maintains low perceived volatility while silently fueling available liquidity.

For investors in Bitcoin and related digital assets, the implicit message is that macroeconomic conditions are aligning toward a scenario of monetary abundance, traditionally favorable to alternative and deflationary assets like Bitcoin.