Bitmex co-founder Arthur Hayes recommends a “wait and see” approach for cryptocurrency investors – Bitcoin News
Arthur Hayes, Bitmex co-founder and cryptocurrency investor, talked about the current state of the market and the possible impact of the Fed’s upcoming reduction process. Hayes also linked this to Evergrande’s situation in China, and suggested that newcomers to cryptocurrencies stick to new signals next year.
Arthur Hayes analyzes the current market situation
Former Bitmex CEO and cryptocurrency investor Arthur Hayes release His views on what cryptocurrency investors should do in the context of the current market.In his latest summary entitled “Circo Loco” (Crazy Circus), Hayes explained that given the larger economic framework, the current market situation, the Fed’s shrinking and recent Evergrande Default events are taken into account.
For him, the situation in China, coupled with the accelerated reduction process already underway by the Federal Reserve, will have a major impact on cryptocurrency prices. Hayes said:
The Fed will continue to tighten monetary conditions until stonks fall…or some parts of the US Treasury market cease to function normally.
Hayes emphasized that the bear market in the stock market may affect the reduction process and prompt the Fed to continue its QE (quantitative easing) and printing policies.
What Hayes thinks investors should do
Based on this analysis, Hayes makes recommendations for cryptocurrency investors to make the most of their capital during these periods. In his opinion, it is difficult to see $69,000 in Bitcoin or $5,000 in Ethereum during this period, because he predicts that the market will continue to rise and fall.
This echoes the forecast of the latest Huobi report, titled “Cone landing,” This explains that market liquidity restrictions may have a negative impact on market performance. Hayes’ advice is to keep new funds on the sidelines and wait for better opportunities to enter the cryptocurrency market, which may be in 2022. It appears after the Federal Reserve raised interest rates in June or June 2022.
For those who are eager to enter-or already have a market position-the suggestion is to focus on tokens related to game earning, metaverse or NFT, because the overall performance of these tokens is not directly related to the economy, but depends on other factors , Such as introducing these technologies into new markets that can support its growth.
What do you think of Arthur Hayes’ description of the crypto market and his recommendations? Tell us in the comments section below.
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