Former Bitmex CEO Arthur Hayes expects wild volatility for bitcoin/">bitcoin in the second half of the year as the "powder keg" of the US banking crisis explodes and the national debt soars.
Hayes, who currently runs a cryptocurrency-focused investment fund called Maelstrom, spoke on May 26 on the What Bitcoin Did podcast, where he made his case for the current economic outlook and the price of bitcoin. some predictions, Notably, Hayes said he doesn't 't expect the original cryptocurrency to hit the $70,000 mark until 2024. "I don't think we'll get to $70,000 this year, I think next year is when we get over that hurdle, and then we hit [2025], [ 2026], and then it's the end of the world."
He pointed to the practice of quantitative easing increasing the money supply and broader social unrest as two major drivers of such events, which could lead to sharp falls in stock and cryptocurrency prices. ing trillions of dollars of debt because they need to fund themselves, you basically put this powder keg together of what's going to blow up in the third or fourth quarter of this year , ” he said, adding that he doesn't think bitcoin will hit new all-time highs anytime this year. “While I think ultimately this is good for bitcoin, it can be very volatile both up and down.”
Other analysts have also spoken positively about the Bitcoin price in the short-term. Tommy Honan, head of market analysis at cryptocurrency exchange Swyftx, told Bloomberg that the unwinding of the debt deal could "bring traders back to the negotiating table and spark the next big rise in bitcoin prices." JPMorgan strategists reportedly said last week that current gold prices could imply a bitcoin price of $45,000, according to a May 24 Barron's report. Analysts see Bitcoin's halving event next year supporting this underlying price prediction. However, they also see the US regulator's crackdown on cryptocurrencies and the fallout from the FTX debacle “limiting any potential upside.” Interestingly, Hayes also mentioned some of his own personal investment strategies,noting that he is considering staking Ether And keep a close eye on Bitcoin serial number developments. He also mentioned his investment in Pepe (PEPE), a frog-themed memecoin that launched on April 14 and has since gained more than 5,000%.
Hayes is known for making exaggerated price predictions. In April 2020, he warned that bitcoin prices could plummet 57%, from $7,000 to $3,000. However, Bitcoin held steady and rose 28% to $9,000 over the next three months. ly, Hayes predicted that the price of ETH would hit $5,000 after ethereum/">Ethereum's Merge upgrade. Immediately after the successful implementation of the Merge, the price of ether fell for several months before recovering alongside the rest of the cryptocurrency market at the beginning of the year.
