Don’t Buy Now, BitMEX Founder Arthur Hayes Predicts Crypto Carnage by June 2022
The crypto market has been volatile this year and after the March rally, it seems to be under pressure once again. The broader crypto market cap has slipped under $2 trillion and BitMEX CEO Arthur Hayes believes that the worst is yet to come.
In his latest opinion piece, ‘The Q-Trap’ Hayes speaks in detail about the changing global macro-economic trends. He further explains the weakness in the Nasdaq 100 (NDX) index and how Bitcoin and the crypto market have been closely related to it. Sharing the technical chart for Nasdaq 100, Hayes writes:
On 27 December 2021, the Nasdaq 100 closed at a high of 16567.50 and then subsequently hit a local low of 13046.64. Using the tried and tested Fibonacci Retracement, NDX failed to break through the 61.8% retracement on the bounce. A few days later it attempted to break that resistance level again, failed, and has continued lower ever since.
He further expects Nasdaq to break below its local low and slip to 10,000 and below it. On the other hand, he notes that as the Fed and other central banks have to deal with the inflation monster, they won’t be moving back from quantitative tightening anytime soon.
Crypto Crash 2022 Coming
Hayes predicts that there will be a strong ripple effect of the Nasdaq 100 correction over to the crypto market. “Bitcoin and Ether are highly correlated to the Nasdaq 100. If the NDX tanks, it will take crypto down with it. I am buying crash June 2022 puts on both Bitcoin and Ether,” he said.
Hayes also believes that Bitcoin and Ether will bottom before the Fed acts and reverses its policy from tight to loose. He adds that by the end of the second quarter this June 2022, Bitcoin (BTC) will hit $30,000 and Ether (ETH) can touch a bottom of $2,500.
However, Hayes adds that there are a number of altcoins he has started accumulating wherein he finds the valuations attractive.
Hayes adds that this is just his “prognosis” and he reserves the right to be wrong. In a concluding note, Hayes adds:
“This analysis is purely an attempt to trade a short-term situation that I believe will transpire in risk markets and hedge purchases of attractively priced altcoins”
- ‘Great Progress’: Cardano Founder Shares Update After CLARITY Act Roundtable
- Jerome Powell Signals No Rush to Cut Rates, Bitcoin Falls
- FOMC Meeting: Fed Makes First Rate Cut of the Year, Lowers Rates by 25 Bps
- “Beyond a Centralized Exchange” Bitget CEO Unpacks Universal Exchange Vision on 7-Year Anniversary
- Breaking: CME Group to Launch Solana and XRP Futures Options as Institutional Demand Grows
- Toshi Coin Gains 57% in One Day: What’s Driving the Sudden Upside?
- Shiba Inu Price Set to Soar as Exchange Reserves Dive Amid SHIB ETF Chatter
- Pepe Coin Price Prediction as Whale Moves $25M From Robinhood- Is a Breakout to $0.00002 Next?
- XRP Price Prediction as Market Longs Hit 78% amid VivoPower Treasury Expansion Launch — Is $4 Next?
- SHIB Price Forecast: Taker Buys Lead as Developers Counter Shibarium Exploit
- Solana Price Set for a 25% Jump as Open Interest Nears a $20 Billion Milestone
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
