The most rooted cryptocurrency Arthur Hayes, the founder of BitMEX, one of the stock exchanges, shared his ideas about the current situation of Bitcoin with his followers in a post he shared on his blog page today.
crypto phenomenon, of bitcoin After gaining 30% in value from the beginning of the year, he predicted what might happen next, by constructing different scenarios.
Hayes, who created his first scenario assuming that the rise occurred due to natural causes, expects a horizontal course until macroeconomic conditions improve:
“Scenario 1: Bitcoin was very cheap at $16,000 and naturally recovered after a while with the buying response. If this rise is due to independent natural causes, I expect BTC to remain flat until the dollar liquidity in the world is restored.”
Hayes stated that he wasn’t very keen on the first script. The BitMEX founder thinks that the fate of cryptocurrencies will be shaped by the Fed’s interest rate policy.
In the second scenario, the market made purchases with some expectations regarding the FED’s interest rate policy. If this is the case, there are two possible ways out. First of all, if the FED officials make more dovish statements about the interest rate with the decrease in inflation, a new rally will start in the cryptocurrency market.
However, if the Fed firmly defends its 2% target and signals that it will remain high for an extended period of time, Bitcoin will fall back to $15,800 or below.
With this prediction shared by Hayes, crypto investors started to discuss the issue on social media.
For exclusive news, analytics and on-chain data Telegram our group, twitter our account and YouTube Follow our channel now! Moreover Android and iOS Start live price tracking right now by downloading our apps!