- Arthur Hayes predicts Bitcoin will drop to $70K before reaching $250K by the end of the year.
- Bitcoin price fell below $101K as long-term holders take profits and market sentiment weakens.
- Global economic factors and tech stock declines are adding pressure to the cryptocurrency market.
Arthur Hayes, former CEO of BitMEX, predicts a Bitcoin price correction before a major rally. He expects Bitcoin to drop between $70,000 and $75,000 due to financial instability.
Hayes believes a financial crisis could lead to policy changes by the Federal Reserve. These changes, including increased money printing, could push Bitcoin to $250,000 by year-end.
Bitcoin Drops Below $100,000
Bitcoin is struggling to maintain its recent momentum. The price has dropped below $100,000, a 5.59% decline in the last 24 hours. Other cryptocurrencies like Ethereum, Solana, and XRP have also seen losses of 5% to 10%. Over $548 million in crypto liquidations occurred, with Bitcoin accounting for $190 million.
Long-term Bitcoin holders have sold over 75,000 BTC in the past week. On-chain data shows profit-taking as Bitcoin struggles to maintain prices above $106,000. This activity is seen as part of the market’s natural cycle during periods of volatility.
Economic Data Creates Market Uncertainty
The Federal Reserve is set to announce its decision on interest rates during its next meeting. Market participants expect no changes to rates but are closely watching for future guidance. U.S. GDP and inflation data will also be released soon, adding to market uncertainty.
The European Central Bank is preparing its next interest rate decision. Global economic pressures, combined with central bank actions, are weighing on investor sentiment.
Tech Stock Decline Affects Crypto Markets
A selloff in technology stocks has added to market volatility. Stocks like Nvidia and Qualcomm have dropped between 2% and 6%. This decline has affected broader market confidence, including cryptocurrency markets.
Bitcoin is under pressure as it struggles to hold key levels. The cryptocurrency market remains volatile due to economic uncertainty and increased selling activity. Short-term challenges remain significant as global events and market trends unfold.
