Bitcoin’s been on a wild ride lately, and some experts think the worst might not be over. We could be heading into a serious bear market.
A $70,000 Crash? One Analyst Thinks So
Arthur Hayes, a well-known crypto analyst and co-founder of BitMEX, is predicting a Bitcoin price drop to between $70,000 and $75,000. That would wipe out a lot of the gains seen after the last US election.
Hayes points to a chart showing a potential support level between $65,000 and $76,000. If Bitcoin breaks through that, a significant drop could follow.
Trump’s Influence: The Key Factor?
Hayes links this potential crash directly to President Trump’s actions (or inaction). He believes that if Trump fails to pass a budget that increases spending and raises the debt ceiling, it could trigger a massive sell-off in the market. A weakened Trump’s influence within the Republican party could also fuel uncertainty and further price drops. Basically, Trump’s fiscal decisions are a major wildcard.
A Steep Drop: Worse Than FTX?
The recent three-day drop in Bitcoin’s price – a 12.6% fall – is the biggest since the FTX collapse in 2022. Many believe this sell-off is fueled by disappointment over Trump’s lack of progress on his earlier promises to the crypto community, such as creating a national Bitcoin reserve. The uncertainty is causing a lot of selling pressure.
What’s Next?
Hayes’s advice? Chill out, wait for the market to stabilize, and see what happens. The coming weeks will be crucial for Bitcoin’s price, and Trump’s actions will likely play a major role.
