- The BitMEX co-founder believes that Bitcoin is due for a 30% correction from its year-high of $48,000, driven by the approval of Bitcoin ETFs.
- The founder believes prices will drop to $30,000 and has revealed his altcoin picks for the coins he will load up in the bear market.
BitMEX co-founder Arthur Hayes has warned that Bitcoin (BTC) is due for a 30% correction from its year-high of $48,000. Achieved a couple of weeks ago, the rally was inspired by the approval of 11 Bitcoin spot ETFs by the U.S. SEC. The founder has been sharing his analysis and predictions for the crypto market. The latest prediction is bearish and points to BTC reaching a low of $30,000.
In the event of this eventuality, Hayes has compiled a list of altcoins he will look to hold as money seemingly flows from Bitcoin to altcoins. He notes;
A 30% correction from the ETF approval high of $48,000 is $33,600. Therefore, I believe Bitcoin forms support between $30,000 to $35,000. That is why I purchased 29 March 2024 $35,000 strike puts. I also dumped my trading positions in Solana and Bonk at a slight loss.
Bitcoin and crypto in general are the last freely traded markets globally. As such, they will anticipate changes in dollar liquidity before the manipulated TradFi (traditional finance) fiat stock and bond markets.
Despite dumping Solana (SOL), the co-founder is ready to accumulate Solana heavily. He further mentioned that he would be adding some WIF, noting, “I will load up on Solana and WIF. Bonk is the last cycle’s doggy money, and if it ain’t [WIF], it ain’t s***.”
At the time of press, WIF is trading at $0.3838 after a 5% surge in the last 24 hours. This is still a drop from its all-time high reached a couple of days ago after reaching $0.4625.
Solana, on the other hand, is up by around 4.5%, which has seen it recoup part of its losses for the week. On the weekly chart, SOL is down by around 1%. With a market cap of $39.7 billion, the altcoin has climbed to become the 5th largest cryptocurrency by market cap.
As CNF has reported, SOL is one of the most promising altcoins of 2024. One of the key indicators of a long-term bullish trend is that SOL was a favorite for institutional investors. This has led to speculation that a Solana spot ETF could be launched as financial institutions turn to altcoins after the approval of a Bitcoin spot ETF earlier this month.
The network has also celebrated a stable increase in total value locked (TVL), reaching 15.3 million SOL worth more than $1.31 billion.
These indicators indicate a bullish outlook for the Solana blockchain and SOL token. In the meantime, Solana’s short-term pattern is correlated with Bitcoin (BTC).
