BitMEX co-founder Arthur Hayes believes Bitcoin (BTC) will touch $50K
Arthur Hayes predicts that Bitcoin (BTC) could fall below $50K amid market turmoil. The drop in bitcoin prices resulted in outflows of $36.71M. The Crypto Fear and Greed Index shows “High Fear” reflecting growing market anxiety.
In recent days, the cryptocurrency market has been plagued by uncertainty and the price of Bitcoin has seen a sharp decline.
After slipping below $57,000 on September 5, Bitcoin fell to $55,711.26, significantly dampening market sentiment. This fall pushed the Crypto Fear and Greed Index back into the “Extreme Fear” zone, recording 22 points, significantly compared to the previous day's “Fear” of 29 points.
Arthur Hayes, co-founder of the cryptocurrency exchange BitMEX, weighed in on the current market conditions and in a post on X, predicted a further decline in the price of Bitcoin, suggesting that it could fall below $50,000 on the weekend.
$BTC is tough, I'm shooting for sub $50k this weekend. I took a cheeky short. Pray for my soul, I am despicable.
— Arthur Hayes (@CryptoHayes) September 6, 2024
Hayes' forecast comes amid broader market volatility and concerns about the U.S. economy.
More than 36 million bitcoin long positions have flown
The latest crash wipes Bitcoin of roughly $29.7 billion from its market capitalization. According to CoinGlass data, the price drop resulted in the liquidation of more than $36.71 million worth of long positions, which is about 40% of today's crypto liquidations.
The fall in the price of Bitcoin has had a huge impact on the cryptocurrency market. Other major cryptocurrencies also experienced declines, with Ethereum (ETH) down 2.23%, Solana (SOL) down 2.82% and Ripple (XRP) down 2.19%.
This broad-based decline has resulted in more than $94.26 million in outflows over the past 24 hours, with more than half of those outflows coming from long positions in Bitcoin and Ether.
The current volatility of the crypto market is due to a combination of broader macroeconomic factors. In particular, the recent U.S. employment data came in below expectations, raising fears that the Federal Reserve may cut interest rates and raising concerns about the market.
As Bitcoin navigates these tumultuous waters, all eyes will be on whether Hayes' predictions come true and how broader market sentiment will develop in response to further economic signals.
