The worst-case scenario. As the world eagerly awaits interest rate decisions from the US Federal Reserve (Fed), BitMEX co-founder Arthur Hayes is warning of a looming financial crisis. According to him, the price of Bitcoin could even fall between 70,000 and 75,000 dollars! But paradoxically, he sees in this crisis an opportunity for Bitcoin to then reach new heights. Explanations.
The key points of this article: Arthur Hayes predicted a looming financial crisis that could send Bitcoin to an all-time low between $70,000 and $75,000.
The US Federal Reserve's decision on interest rates could be a catalyst, with political pressure for a cut, which could then propel Bitcoin to $250,000.
Bitcoin: a coming “mini-financial crisis”?
In a recent post on X, Arthur Hayes predicted a “mini-financial crisis” which could lead to a correction in the price of Bitcoin between $70,000 and $75,000. This prediction comes as the market is already in “risk-off” mode, a reaction to the rise of Chinese AI DeepSeekwhich scared investors:
“I foresee a correction in Bitcoin between $70,000 and $75,000 and a mini-financial crisis. »
Arthur Hayes, co-founder of BitMEX – Source: Account
Et Arthur Hayes is not the only one to be pessimistic since other analysts, like Adam Kobeissi, also noted a significant decline in Nasdaq 100 futures, pointing out that DeepSeek – a Chinese competitor to ChatGPT – has become a major threat to major US tech companies.
What if a mini-financial crisis took place this week?
The Fed under pressure from rates and Donald Trump
In addition, this week, the Fed must decide whether it maintains or reduces its interest rate. Although the market expects a status quo, President Donald Trump has put pressure on the Fed to cut rates, citing falling oil prices as the main reason:
“With oil prices falling, I will demand that interest rates be lowered immediately. »
Donald Trump in Davos – Source: Les Echos
Pour Arthur Hayesthis potential “resumption of money printing” by the Fed wanted by the executive, could be the catalyst which would subsequently propel “Bitcoin at $250,000 by the end of the year”. He sees this crisis as a repeat of the 2020 scenario, where the Fed's stimulus measures fueled Bitcoin's bull run. While the crypto market is already under pressure, many uncertainties loom over the financial markets at the start of the week. However, for optimistic investors, this crisis could also be an opportunity to buy Bitcoin at a discounted price. It remains to be seen how the Fed will react and whether Arthur Hayes' scenario will come true. It should be noted, however, that the gentleman is accustomed to making sensational announcements, on the riseas downward.