Arthur Hayes, the co-founder of BitMEX, has predicted that the Bitcoin price will see a massive correction, declining 20% to 30% by early March.
In his latest blogpost, Hayes stated that the correction in the Bitcoin price will occur from whatever level it has attained by early March. This “healthy” correction could be even worse if much-hyped spot Bitcoin ETF approvals are priced in during the timeframe, he said.
“Imagine if the anticipation of hundreds of billions of fiat flowing into these ETFs at a future date propels Bitcoin above $60,000 and close to its 2021 all-time high of $70,000,” Hayes said. “I could easily see a 30% to 40% correction due to a dollar liquidity rug pull.”
As a prominent investor and one of the most influential people in the crypto industry, Hayes’s views are not neglected.
In his blog post, he has also highlighted major factors that could potentially impact the crypto market and lead to his prediction for March.
These include the decline in the Reserve Repo Program (RRP), the Bank Term Funding Program (BTFP) renewal where the U.S. banks may seek cash, and the rate cutting by the Federal Reserve.
Hayes said that all these factors are interdependent and will all shape market sentiment altogether. He also believes that the market will come back by late March.
Also Read: Robert Kiyosaki’s Insights on Bitcoin Halving and Market Trends
