Arthur Hayes, who predicted April halving dip, believes crypto correction is over
Last Updated on 5 May 2024 by CryptoTips.eu
Arthur Hayes, one of the original ‘crypto billionaires’ and the notorious founder of the BitMEX platform, said in early April that he expected a ‘halving dip’ to take place. We published his prediction on April 10th, just 10 days before the Bitcoin halving.
That ‘dip’ did indeed occur and lasted until approximately May 2. Now that Bitcoin and other cryptocurrencies have been looking upwards again since this week (because the latest jobs report from the United States was less good than expected and investors are hoping for a cut in interest rates by the Fed), Hayes thinks that the correction is over.
Heatwave
Hayes was quite specific last time. On his popular blog he warned (in a text called Heatwave) about a possible crypto crash in the period between April 15th and May 1st. That indeed happened, and the ‘bottom’ of this ‘crash’ (which was actually more of a short-lived dip) was indeed reached on May 1.
"Mayday" is a brief discussion on the recent Fed, US Treasury, the bank bailout policies. It's money printing disguised. As such, I'm re-entering the market with super shitty shitcoins.
— Arthur Hayes (@CryptoHayes) May 2, 2024
The Hat Stays On!https://t.co/XmBpQqzBx9 pic.twitter.com/1SkIqZm5xk
The piece that Arthur published this time (on Thursday May 2) is called Mayday (I think Arthur is too young to be a fan of the original ‘members of mayday’ techno song so it probably just has to do with the beginning of the new month) is much more positive. For the next few months, Arthur predicts another climb for crypto, although he thinks it will take a while before Bitcoin hits a new record.
As a reason for his renewed positivism, he points to different factors, but this time the most important is the rescue of Republic First bank, a small American bank from Philadelphia. It was officially saved from bankruptcy by the US government on Friday, according to Hayes only because a bankrupt bank is not worth causing panic in an election year.
Because President Biden has enough concerns (with the university protests against the war between Israel and Gaza, his voters seem more divided than ever), the Democrats cannot allow bad economic news. Any bank that could fail until November this year will be rescued, Hayes believes. This means that risky investments are allowed again (the government is ready to intervene) and therefore crypto will be allowed to rise again.
Another interesting short-term theory. Hayes thinks Bitcoin, Ether and his favorite memecoins Dogwifhat and Dogecoin will benefit in the coming weeks. He also expects an increase for the price of Solana.
