Bitcoin not out of the woods yet?
The CEO of cryptocurrency exchange Bitmex, Arthur Hayes doesn't see any improvement in the price of bitcoin any time soon.
Arthur Hayes had some pretty bearish comments regarding bitcoin yesterday, and today he doubled down on them
Yesterday Hayes said that he could see the current bear market lasting another 12-18 months from here.
More about that can be seen here:
Today, he doubled down...
After his remarks yesterday, Hayes felt the need to add a little fuel to his bearish fire.
Today, Hayes says that he thinks that bitcoin could fall all the way down to the $2,000 - $3,000 area.
Yikes!
His reasoning has to do with how similar this bear market has been to what happened from 2014-2015.
Back then, after bitcoin broke its 200 day moving average, it fell another 74%.
Currently, bitcoin is ONLY 37% below its 200 day moving average:
(Source: https://www.ccn.com/bitcoin-price-bitmex-ceo-doubles-down-on-bear-call-says-btc-could-fall-to-2000/)
Which means, if bitcoin really is to mirror what happened in 2014, things could have a lot further to fall.
Using those same numbers from 2014, Hayes comes up with $2k-$3k as his price targets for bitcoin.
Personally, I think he is just hoping for those numbers...
He tends to think the lack of volatility is a problem for bitcoin and without it, prices will continue to slide.
It remains to be seen whether that is true or not, but I do know that in other asset classes when things start to slow way down like they have after pulling back some 70% from the highs, that tends to mark a bottom more often than a continuation.
Fundstrat Global Advisors tends to see it that way as well as they think the lack of volatility likely means bitcoin is putting in a bottom as opposed to something else.
We will know more shortly as the bitcoin trading range is getting ever tighter.
Stay informed my friends.
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