According to BitMEX co-founder Arthur Hayes, the upcoming Bitcoin halving, along with measures from the Federal Reserve and Treasury, will worsen the current firesale of crypto assets and lead to a downward trend in the market for several weeks.
In his blog post on April 8, Hayes expressed his belief that the halving will eventually boost prices, but cautioned that prices may drop before and after the event.
Despite the widely held belief that the halving will have a positive impact on crypto prices, Hayes argued that the opposite tends to occur when market participants share the same sentiment.
He also noted the timing of the halving, coinciding with a period of tight dollar liquidity and discussed how policies from the Federal Reserve and Treasury can influence market trends.
In conclusion, he predicted a slump in crypto prices around the halving due to the current market conditions and the effects of these policies.
