Arthur Hayes predicts Bitcoin will bottom out at $70,000 and will see a strong bull run in the future

Arthur Hayes predicts Bitcoin could drop to $70,000 before its next rally, stressing the need to remain patient. He warns of high volatility in the short term and highlights the role central banks play in driving future gains.

Arthur Hayes on Bitcoin's Next Move: Will BTC Drop to $70,000?

Arthur Hayes, former CEO of cryptocurrency exchange Bitmex, shared his thoughts on Bitcoin price action and trading strategies. His analysis comes as BTC has recently retreated from its highs, testing key support levels amid broader market volatility.

He predicts Bitcoin could drop to as low as $70,000 and stresses the importance of patience, saying on social media platform X on March 10: "The plan is: be patient." The former Bitmex executive added:

BTC's bottom could be around $70,000. A 36% correction from a high of $110,000 is normal for a bull run.

Hayes believes that for a big rebound to happen, traditional financial markets, especially the S&P 500 (SPX) and Nasdaq (NDX), must experience a big drop that leads to the collapse of financial institutions. He believes this will push central banks such as the Federal Reserve, the People's Bank of China (PBOC), the European Central Bank (ECB) and the Bank of Japan (BOJ) to introduce monetary easing policies.

He advises investors on how to manage market volatility, emphasizing the importance of strategic timing. He urged investors to wait for the right time before making a major investment, saying: "Then load up the truck." He believes:

Traders will try to buy on dips, and if you are more risk-averse, wait for central banks to ease monetary policy before investing more capital. You may not be able to find the bottom, but you also don't have to endure the psychological pain of long-term sideways trading and potential unrealized losses.

In addition, he also warned that there could be volatility in the short term, noting that Bitcoin could retest $78,000 and fall to $75,000 if it fails to hold this level. He noted that a large number of options contracts are concentrated between $70,000 and $75,000, which could lead to increased volatility.

After discussing price action, Hayes compared Bitcoin to traditional stocks, arguing that the two markets operate under very different conditions.

He said:

BTC is a truly free market, while stonks are not. So in a fiat liquidity crisis, BTC leads stocks up and down.

In November last year, Hayes predicted that the price of Bitcoin could reach $1 million, pointing to Trump's credit expansion policies as a driver of inflation that could push investors into hard assets such as BTC.