Reversal of Short-Term Bearish Stance
Arthur Hayes, founder of BitMEX, has changed his short-term bearish stance on Bitcoin (BTC) after the cryptocurrency’s recent surge. Earlier this year, Hayes had purchased put options for Bitcoin with a strike price of $35,000, anticipating a short-term price correction.
New All-Time Highs Expected
In a recent interview, Hayes expressed his belief that BTC will reach new all-time highs by the end of 2023. He no longer expects any significant correction in the near future. Hayes believes Bitcoin will surpass its previous all-time high of $70,000 by the end of the year.
Reasons for Optimism
Hayes’ bullish outlook is based on several factors. He believes the Federal Reserve’s bank term funding program renewal and potential banking stress could lead to a market downturn, similar to what occurred in March 2023. However, he acknowledges that Bitcoin’s resilience and recovery indicate a stronger market than anticipated.
Potential Banking Crisis and Central Bank Response
Hayes also highlights the possibility of another banking crisis triggered by the commercial real estate sector. He believes central banks will resort to quantitative easing to create liquidity and save the economy in such a scenario. This would likely benefit Bitcoin and other cryptocurrencies.
Current Bitcoin Price
At the time of writing, Bitcoin is valued at $48,212, experiencing a slight decrease in the last 24 hours.
Opinions expressed in this article are not investment advice. Investors should conduct thorough research before making high-risk investments in Bitcoin, cryptocurrencies, or digital assets.