TL;DR
- Arthur Hayes, former CEO of BitMEX, suggests that Bitcoin could be poised for a gradual recovery.
- He attributes the recent market downturn to various factors, including the tax season in the United States and uncertainty about Federal Reserve policies.
- BTC’s potential recovery could be driven by an increase in dollar liquidity, creating upward pressure on its price.
Arthur Hayes, ex CEO of BitMEX, has shared his insights on the crypto market and discussed Bitcoin’s price. According to Hayes, the market has undergone a significant correction, but he suggests that the bottom may have been reached and BTC could be poised for a gradual recovery in the coming days.
For Hayes, the market downturn was not surprising, as several factors contributed to it. These include the tax season in the United States, uncertainty about Federal Reserve policies, and the impact of Bitcoin’s halving, among others. However, he believes that this correction was necessary to cleanse the market and prepare it for a new bullish cycle.
Regarding a potential Bitcoin recovery, Hayes argues that it could be driven by an increase in dollar liquidity, resulting from the gradual reduction of the Federal Reserve’s quantitative easing program and the US Treasury’s debt issuance plans. This increased liquidity could flow into riskier assets, such as cryptocurrencies, creating upward pressure on their prices.
Experts Agree with Hayes: Bitcoin Prepares to Take Off
Arthur suggests that, while Bitcoin’s recovery will take time, the additional liquidity injected into the market should offset negative price movements. This could result in price stabilization followed by a gradual increase in the value of BTC in the coming months.
Other market analysts share similar forecasts, such as Dr. Jeff Ross, founder and CEO of Vailshire Capital Management, who suggests that Bitcoin’s bull market has yet to truly begin, reinforcing the idea of a gradual and sustained recovery in the price of the leading cryptocurrency.
According to Coinmarketcap data, Bitcoin has shown a slight recovery in the last few hours, trading at $59,130 at the time of writing. However, it is still below its level from a month ago, far from its ATH of $73,750 reached in March. Nevertheless, analysts are optimistic about its future, confident that a combination of fundamental and technical factors will eventually lead to an increase in its price and a new growth phase in the market.
