Arthur Hayesthe co-founder and former CEO of BitMEX, recently shared his thoughts on the current Bitcoin price action. He stated that the flagship crypto has hit a local low and predicted what its future trajectory will look like.
Hayes says Bitcoin has bottomed out
In a recent blog post, Hayes says named that Bitcoin hit a local low when it fell approximately $58,600 earlier this week. As such, he doesn’t expect the flagship crypto to fall below that price range again anytime soon.
Instead, he predicts Bitcoin will rise above $60,000 (which it already did) and “then see price action between $60,000 and $70,000 through August.”
Hayes also suggested that Bitcoin’s recent decline was due to several factors, including the Fed’s interest rate decision Bitcoin halving sell-the-news event and the slowdown in demand for US Spot Bitcoin ETFs.
He also took the opportunity to address the recent policy announcements from the Fed and the Treasury Department, which he believes will have a significant impact on cryptocurrencies.
Hayes claimed that these announcements meant the government was likely to resort print money soon enough. He believes that the potential injection of liquidity into the US economy will “dampen” the negative price movement in the crypto market. As such, he expects prices to “go down, down, and slowly up.”
Hayes’ projections are similar to those of crypto experts Michael van de PoppeWHO recently predicted that Bitcoin will likely consolidate for a few months. Interestingly, Van de Poppe also alluded to the Fed’s recent policy, noting that quantitative easing is near, which would be bullish for Bitcoin.
However, Hayes sounded concerned about the long-term effects of the recent monetary announcements, noting that they were inflationary in nature.
Although the Fed’s decision is expected to cause more money to flow into the crypto market, it could lead to a crisis inflation skyrocket. This would ultimately lead to higher interest rates, which would negatively impact risky assets like Bitcoin.
Bitcoin is now trading at $63.160. Chart: TradingView
Arthur Hayes’ trading strategy for the future
The co-founder of MEXC said he would buy Solana and “doggie coins for momentum trading positions.” For long-term “shitcoin positions,” he said he would increase his allocations Shuttle while identifying other tokens that he considers undervalued. In short, he plans to use this month to increase his fame.
Once he did, he noted that he would wait for the market to “realize the inflationary nature of the recent economic crisis.” US monetary policy announcements.”
As for dog coins Hayes could collect, Dogwifhat (WIF) is probably one of them, since he once named that he would load WIF if Bitcoin bottomed out.
Featured image from Pexels, chart from TradingView
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