Arthur Hayes Says Bitcoin to Crash to $70k Before Massive Pump

Arthur Hayes, the former CEO of BitMEX, has predicted a substantial BTC correction to the $70,000 – $75,000 range, accompanied by a “mini financial crisis” and a subsequent resumption of money printing by central banks.

However, Hayes anticipates this scenario will ultimately propel Bitcoin to $250,000 by the year’s end. The prediction hinges on the belief that the Federal Reserve will eventually pivot towards monetary easing, thereby reigniting the cryptocurrency’s rally.

Bitcoin Dip Fuels Prediction Possibility

Bitcoin (BTC), currently trading at $99,201.89, experienced a 5.20% decline in the last 24 hours and a 7.51% drop over the past week. This downturn, coupled with significant on-chain data suggesting profit-taking by long-term holders, has fueled speculation regarding Bitcoin’s future price trajectory.

The current market capitalization stands at $1.96 trillion, with a 24-hour trading volume of $44.8 billion. These figures paint a complex picture of a market grappling with both internal and external pressures.

Adding complexity to the situation is the recent surge in activity concerning Chinese AI development. The emergence of Deepseek, a Chinese AI company reportedly producing competitive AI products at a significantly lower cost than OpenAI, has triggered a wave of bearish sentiment.

Furthermore, this development has fueled concerns about the future performance of tech giants like Nvidia, creating a ripple effect that has negatively impacted the broader market, including Bitcoin.

Crypto Experts’ Bitcoin Opinion Contrast

Despite these bearish signals, some analysts remain optimistic about Bitcoin’s long-term prospects. Ki Young Ju, CEO of CryptoQuant, suggests that the market is in a late-stage bull run, but still possesses considerable growth potential.

Moreover, he characterizes the current phase as an “early distribution phase,” marked by the entry of new retail investors. Supporting this view is the fact that 86% of BTC holders remain profitable, and accumulation rates continue to increase.

CryptoQuant’s data indicates a surge in Bitcoin accumulation by accumulator addresses, exceeding previous records with a monthly acquisition volume of 495,000 BTC.

Interestingly, while large investors have increased their holdings (from 16.2 million BTC to 16.4 million BTC), smaller investors have reduced theirs (from 1.75 million BTC to 1.69 million BTC), reflecting a complex dynamic within the investor landscape.

The near-term trajectory of Bitcoin’s price will undoubtedly depend on how these conflicting forces interact, making this a critical period of observation for market participants.