- Arthur Hayes sees Bitcoin falling to $70,000–$75,000 before it rises to $250,000 by yearend, laying much of the blame on macroeconomic forces and market phenomenon.
- Maelstrom, Hayes’ firm, builds stablecoin balances and takes altcoins profit, ready to buy Bitcoin and quality cryptos when markets drop as predicted.
Former BitMEX CEO Arthur Hayes thinks the Bitcoin bull cycle is still in effect. For this reason, he has been projecting Bitcoin to reach $250,000 at the end of this cycle. In the first of a 3 part series, Hayes shared his insights in an essay titled ‘The Ugly.’ Currently, he is considering essays on political meme coins and legal changes.
Recently, he has changed his outlook on the market. Back then, he was quite hopeful that Q1 2025 would be great. However, his mind changed due to concerns over macrobanking trends and the TRUMP meme coin. He pointed out similarities to the year 2021 crypto crash.
Bitcoin Price Projections and Market Fluctuations
According to Hayes, this would be a short-term correction for Bitcoin. He says the price could fall to between $70,000 and $75,000. This means that the current value of $105,000 declines by 28.57% to 33.33%. Despite this, he is still confident that Bitcoin will spike to $250,000 by the year-end, up more than 138%.
Key macroeconomic factors are accounted for in his analysis. He mentions banking credit expansion and central bank balance sheet adjustments, as well as Bitcoin, stocks, and U.S. Treasury yield returns. According to him, these indicators are important for the market movements.
Bitcoin price has already rebounded from the correction on January 27th. It briefly fell under $100,000 to a low of $97,600 before coming back up. According to the current values, Bitcoin is changing hands at an intraday increase of 2.88% to $105,000.
Investment Strategies and Market Influence
It was also when Hayes shared insights into Maelstrom, his family office-managed firm. The firm is also taking profits on some altcoins while boosting Ethena USDe’s stablecoin holdings. The idea behind this strategy is to create liquidity when you want to buy Bitcoin during the expected dips.
Other industry experts agree with his forecasts. The target also has been set at $250,000 by Real Vision founder Raoul Pal and analyst Jason Williams. However, from their standpoint, they reckon that Bitcoin is still on the way to great heights even after potential short-term corrections.
According to Hayes, after a short-term correction, Bitcoin and other cryptocurrencies will go up greatly. The firm aim is to profit from market dips by investing in Bitcoin and high-quality altcoins. They are still watching for economic trends and regulatory developments that might affect the market.
As of now, Bitcoin is trading at $104,938.39, up by 3.14% in the past 24 hours. Its market cap and trading volume are $2.07 trillion and $0.91 billion, respectively.
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