Bitcoin
Arthur Hayes predicts Bitcoin is poised for a steady rise in value
Former CEO of BitMEX Arthur Hayes expressed optimism regarding Bitcoins future trajectory, suggesting that the recent recession marks a local bottom, with the flagship crypto poised for a gradual rise in the coming months.
Hayes shared his insights in a blog post on May 3, attributing the recent market decline to a variety of factors, including the U.S. fiscal season, concerns about Federal Reserve policies, the “sell the news” effect following the Bitcoin halving, and a slowdown in inflows. Spot Bitcoin ETF.
Despite these challenges, Hayes remains confident in Bitcoin’s resilience, characterizing this week’s 12% pullback as a “well-needed market clean-up.”
BTC range
According to Hayes, Bitcoin has experienced a local low from approximately $58,600 earlier this week before recovering to surpass the $60,000 mark. He predicts that BTC will maintain a range between $60,000 and $70,000 until August.
Hayes predicts a gradual uptrend in crypto markets, driven by increased dollar liquidity resulting from the Federal Reserve’s quantitative easing (QT) and US Treasury debt issuance plans.
This “stealth money printing,” as Hayes described it, is expected to inject more liquidity into markets, potentially benefiting riskier assets like cryptocurrencies.
“The slow addition of billions of dollars in liquidity each month will dampen negative price movement going forward.”
Hayes added that he believes Bitcoin prices will stabilize before embarking on a gradual rise.
At the time of reporting, Bitcoin prices had recovered 4.2% to trade at $59,804. However, the crypto remained 19% below its all-time high in mid-March, based on data from CryptoSlate.
While uncertainty persists in the crypto market, Hayes’ outlook suggests cautious optimism, with Bitcoin poised for a gradual recovery in the coming months.
Treasury policy
Hayes also recently predicted that upcoming policy decisions by the US Treasury, led by Secretary Janet Yellen, could have a negative impact. deep Impact in market liquidity, potentially triggering rallies in crypto and stock markets.
He suggested that the Treasury has three potential options, each capable of injecting significant liquidity, ranging from $400 billion to $1.4 trillion, into the financial system. These scenarios involve strategies such as zeroing out the Treasury General Account balance, switching to short-term borrowing through Treasury bonds, or a combination of both.
Hayes emphasized Yellen’s key role in these potential developments and predicted positive market reactions, although analysts remain divided on the feasibility and consequences of such actions. As the Treasury’s next policy announcement approaches, expectations are rising within the financial community regarding the potential influence of these decisions on global markets.
Bitcoin Market Data
At the time of publication, 20:05 UTC in May. 3, 2024, Bitcoin is ranked first by market value and the price is up to 4.13% in the last 24 hours. Bitcoin has a market capitalization of US$1.22 trillion with a 24-hour trading volume of US$31.42 billion. Learn more about Bitcoin ›
Crypto Market Summary
At the time of publication, 20:05 UTC in May. As of January 3, 2024, the total cryptocurrency market is valued at US$2.29 trillion with a 24-hour volume of US$72.18 billion. Bitcoin dominance is currently in 53.07%. Learn more about the crypto market ›