Arthur Hayes Predicts Cryptocurrency Crash Due to US Rate Hike
CryptoNewsTerminal Staff18 Sep, 2024
Arthur Hayes Predicts Cryptocurrency Crash Due to US Rate Hike
As per the recent statement given by BitMEX co-founder Arthur Hayes at Token2049 conference in Singapore, cryptocurrencies and other risky assets are likely to witness a sharp decline in the near future. This prediction is based on the anticipation of a rate hike by the US Federal Reserve. Hayes believes that inflation remains a persistent issue in the US and lowering interest rates would exacerbate the problem by making it cheaper to borrow money. He also highlighted that the narrowing of the US-Japan spread could strengthen the yen, potentially leading to the unwinding of the yen carry trade. It is important to note that this is just one expert's opinion, and the cryptocurrency market is highly volatile and unpredictable. However, Hayes's comments serve as a reminder that investors should be aware of the potential risks involved in investing in cryptocurrencies and other risky assets.
