Arthur Hayes, the co-founder of cryptocurrency exchange BitMEX, has said that he expects Bitcoin’s bull market to begin around October or September.
In a Thursday blog, Hayes discussed the current state of the financial markets and the factors that he believes will contribute to the rise of Bitcoin.
Fiat Holders, Expect More Trouble
Delving into the situation in the United States, Hayes predicted the country’s financial sector would continue experiencing problems, leading to a mass exodus from the fiat monetary financial system. In terms of the US Federal Government, the pundit projected that politicians would continue to prioritize spending. At the same time, the government’s borrowing would persist, resulting in trillions of dollars of debt being accumulated every year.
He also highlighted the public awareness of the Federal Reserve’s endless money printing, which he noted would contribute to Bitcoin’s bullish momentum as people seek to protect against potential inflation.
“As more and more pundits start talking about what is happening to the billions of dollars printed by the Fed and US Treasury and handed out as interest, it will become common knowledge once more that the money printer is going brrr. And when the printer goes brrr, Bitcoin goes boom!” he wrote.
Additionally, he touched on the US banking system, noting that banks were likely to keep struggling due to inflation and rising short-term policy rates.
Brace For The Bull Run
That said, he predicted a flow of liquidity into Bitcoin and assets such as gold, noting that the real Bitcoin bull market will begin in the late third and early fourth quarter of this year. He also emphasized the importance of patience in the markets, noting that nothing goes up or down in a straight line.
“I believe the fireworks and the real Bitcoin bull market will begin in the late third and early fourth quarter of this year. Between now and then, chill…Take a vacation, and enjoy nature and the company of your friends and family. Because come this fall, you better be strapped into your trading spaceship, ready for liftoff,” wrote Hayes.
Furthermore, Hayes shared his analysis of Bitcoin, stating, “I expect that Bitcoin will remain resilient at this level. I do not anticipate a retest of $20,000 or anything close to it.”
He emphasised that the market’s typical lacklustre performance during summer was primarily due to waning interest and boredom among traders. He noted that the gradual influx of funds into global risk asset markets is crucial to Bitcoin’s resilience and strength.
Utilizing this period of relative tranquillity, the pundit concluded by disclosing that he intends to gradually increase his allocation to Bitcoin after replenishing his general trading account.
