Investing.com – Billionaire Bitcoiner and former BitMEX CEO Arthur Hayes has shared his latest predictions.
Hayes said in a blog post that he believes the worst is over for now.
“While we do not expect cryptocurrencies to fully realize the inflationary trend of recent US financial announcements any time soon, we do expect prices to bottom out, be devalued, and begin to rise slowly.”
Bitcoin rises above $61,000 again
Earlier this week, Bitcoin was below $57,000 ahead of the Fed meeting. However, Federal Reserve Chairman Jerome Powell announced that interest rates would remain unchanged, as many investors expected. After this decision, BTC traded sideways.
Bitcoin rose 5.6% in the past 24 hours, surpassing $61,000 for the first time since late April, according to Decrypt.
Arthur Hayes claimed that Bitcoin has hit rock bottom, but said he has no intention of buying more at this time. Instead, he mentioned purchasing dog-themed coins.
The good news, Hayes said, is that developments such as the recent rescue operations by the U.S. Treasury, Federal Reserve and First Republic Bank point to increased dollar liquidity. Just a month ago (before the latest Bitcoin halving), Hayes expressed skepticism about the dollar's illiquidity causing its price to fall.
million dollar claim
One of the key macroeconomic indicators Hayes highlighted was the Federal Reserve's announcement in January that it was preparing to borrow about $41 billion more.
“If you're a holder of U.S. Treasuries, that doesn't matter. Supply would increase even more, but despite a strong U.S. economy and market turmoil, tax revenues have been overwhelmingly low. The pace of the market crash will accelerate and long-term interest rates will rise significantly. Yellen's response will be some form of yield curve control, and that's when Bitcoin will start to rise to $1 million in real terms.
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