Key Points
- Arthur Hayes predicts that Bitcoin (BTC) price could drop to $70,000 soon.
- Bitcoin and altcoins experience a fall in value ahead of the FOMC meeting.
Crypto market analyst Arthur Hayes has forecasted that the price of Bitcoin (BTC) could soon fall to $70,000.
This prediction comes as the BTC price has slipped below the $100,000 mark following a wider market downturn.
Cryptocurrency Decline Precedes FOMC Meeting
Bitcoin has seen a decrease of around 6% in its value, but other cryptocurrencies like Ethereum (ETH), Solana (SOL), XRP, Dogecoin (DOGE), and Cardano (ADA) have experienced even larger drops.
The value of these altcoins has corrected between 8 to 13%.
The current market situation might be influenced by the settling enthusiasm around the Trump inauguration and a sense of caution as market participants await the interest rate decision from the upcoming FOMC meeting by the US Federal Reserve.
Hayes Foresees Further BTC Price Correction
Hayes, the former BitMEX CEO, suggested that BTC could crash to $70,000 before experiencing any sustainable gains.
In a recent X post, he described this as a “mini financial crisis” that will be short-lived.
Hayes believes that once the Fed resumes money printing, BTC’s bull run to $250,000, a target potentially achievable by 2025, will recommence.
Other analysts seem to share Hayes’ views, predicting a long-term bull run for BTC.
CryptoQuant CEO Ki Young Ju maintains that the Bitcoin bull run is still ongoing, stating that there’s still room for growth.
At the time of this report, the Bitcoin price was down 5.7% in 24 hours, and trading at $99,090.
Bitcoin was expected to defend the $101,000 support to prevent further corrections.
However, the current lower price of Bitcoin and uncertainty about the upcoming FOMC meeting may lend credence to Hayes’ prediction.
For Bitcoin to get back on track and start reaching new highs, it would need to break past the resistance level of $106,000.
