Arthur Hayes, co-founder of BitMEX, said Bitcoin halving would combine with an "incendiary sale of crypto assets" and a drop in the crypto market for several weeks.
Bitcoin Halving and "bag of tricks"
Hayes estimated that halving Bitcoin would ally to a price increase in the medium term, but warned that crypto prices may be negative just before and after halving. He also pointed out that halving comes at a time when dollar liquidity is tighter than usual, and offered his theory on U.S. Monetary Fund (Fed) and Treasury policies. In his opinion, this situation could lead to increased volatility on the financial markets.
Decline in the crypto market
Hayes predicted that Bitcoin and crypto prices in general will fall between halving and the second half of the year. He also pointed out that the second half of the year will be a valuable period for risk assets, as US tax payments will reduce liquidity, the Fed will begin to reduce the amount of cash in circulation and the Treasury will use its general account (TGA) to inject liquidity into the system.
Conclusion – Halving Bitcoin triggers asset sale
Arthur Hayes, co-founder of BitMEX, claimed that halving Bitcoin would lead to a "massive sell-off of crypto assets" and a drop in the crypto market for several weeks. He also pointed out that halving comes at a time when dollar liquidity is tighter than usual, and offered his theory on the policies of the US Monetary Fund (Fed) and the Treasury.
