#TradingAnalysis101 Co-founder BitMEX Arthur Hayes expressed the opinion on social media X that the price of bitcoin could drop to $70,000
According to his estimates, such a decline would amount to 36% from the record high of $110,000, which corresponds to a standard correction in a bull market.
Hayes also noted that further developments could be related to the decline of American stock indices (S&P 500, Nasdaq) and the bankruptcy of traditional financial organizations. In response, the Federal Reserve System of the USA, the People's Bank of China, the European Central Bank, and the Bank of Japan may move to a more accommodative monetary policy to support the economy.
He advises traders to be patient: risk lovers may try to buy the asset at its low, while more cautious investors are better off waiting for changes in the policies of global regulators to avoid stresses related to long-term consolidation or potential losses.
Earlier on Tuesday, bitcoin updated its lows from November 2024, dropping to $77,000, after which it corrected to $80,000. Sales in the crypto market were triggered by falling quotes on Wall Street: the Nasdaq Composite fell by 4%, the S&P 500 - by 2.7%, and the Dow Jones lost 2.08%. These events occurred against the backdrop of growing recession fears following statements by Donald Trump, who suggested a possible deterioration in the economic situation.$BTC
