Former BitMEX CEO Arthur Hayes Predicts Bitcoin Growth After March
Date: 2024-01-06 Author: Dima Zakharov Categories: BUSINESS
Arthur Hayes, the former CEO of the cryptocurrency exchange BitMEX, has made a bold prediction about the future of Bitcoin's price. According to Hayes, Bitcoin's price is expected to decrease by at least 20-30% in March 2024, regardless of its current level, due to the monetary policy of the United States. However, Hayes believes that Bitcoin will rebound immediately after March 20th.
The reason for this anticipated drop in Bitcoin's price is attributed to the U.S. Federal Reserve's monetary policy. On March 20th, the Federal Reserve will provide a forecast for changes in its key interest rate, as prepared by the Open Market Committee. Hayes believes that Bitcoin will initially experience a sharp decline but will subsequently recover before the Federal Reserve's meeting. He argues that Bitcoin's unique position as a neutral global reserve currency will play a crucial role in its resilience, as the Federal Reserve tends to inject liquidity into the market during challenging economic times.
As a result of this prediction, Hayes has stated that he will refrain from buying Bitcoin until March arrives. He further speculates that if the U.S. Securities and Exchange Commission (SEC) approves a Bitcoin ETF, it could inject several hundred billion dollars into the cryptocurrency market, potentially driving Bitcoin's price up to $70,000.
Recent reports indicate that SEC lawyers met with representatives from major exchanges, including the New York Stock Exchange (NYSE), Nasdaq, and the Chicago Board Options Exchange (CBOE), signaling their readiness to trade Bitcoin ETF shares. These meetings involve discussions about documents submitted by the exchanges on behalf of the issuers awaiting SEC approval.
Additionally, the founder of MicroStrategy has put up $216 million worth of the company's shares for sale, with the intention of using the proceeds to purchase Bitcoin. Hayes' prediction, along with these developments, has garnered significant attention in the cryptocurrency community.
