Key Notes
- Arthur Hayes hinted that the Federal Reserve may soon resume quantitative easing as financial markets come under pressure.
- Hayes pointed to rising US bond market volatility, measured by the MOVE Index, as a signal that the Fed may step in to stabilize Treasury and corporate bond markets.
- Analyst Ali Martinez noted a “death cross” in Bitcoinโs price chart, signaling potential for extended downside.
Crypto market liquidations have soared to $1.4 billion in the last 24 hours as Bitcoin
BTC
$75 844
24h volatility:
8.7%
Market cap:
$1.51 T
Vol. 24h:
$63.19 B
price collapsed 8%, slipping to $76,100 levels as of press time. Former BitMEX CEO Arthur Hayes believes that this is an opportune time for investors to buy the BTC dips while expecting that the Fedโs quantitative easing program could begin soon.
Buy the Bitcoin Price Dips, Says Arthur Hayes
In his recent message on the X platform, Arthur Hayes wrote about the current market volatility while acknowledging his previous call of BTC taking support at $76,500. However, BTC has already dropped under this support amid massive selling pressure.
In a humorous tone, Hayes wrote:
โSo close fam. Oh what shall I do, if $BTC breaks below $76,500 my credibility will be in tatters.โ
However, looking beyond the current volatility, Hayes stated that itโs the right time to buy the Bitcoin price dips while showing confidence in BTCโs potential for long-term upside.
In a more technical note, Hayes also pointed to the importance of the MOVE Index โ a measure of US bond market volatility โ as a key signal for when the Federal Reserve may intervene.
If ur trying to predict when the Fed caves and goes Brrr, watch the bond vol MOVE Index. As it goes higher anyone doing financed treasury or corp bond trades will be forced to sell by higher margin reqs. These are the two mrkts the Fed will defend to death. >140 yachtzee time! pic.twitter.com/YrtVSMNdl3
โ Arthur Hayes (@CryptoHayes) April 7, 2025
Hayes further warned that the rising MOVE levels could trigger forced selling in Treasury and corporate bond markets due to higher margin requirements. โThese are the two markets the Fed will defend to death,โ he added, highlighting that the period of quantitative easing (QE) could be nearing.
BTC Technical Indicators, More Pain Left Ahead?
Although Arthur Hayes predicts a QE and liquidity flow very soon, BTC has been moving opposite to his recent predictions. Furthermore, technical indicators warrant caution at this stage.
Crypto analyst Ali Martinez has flagged a key bearish indicator for Bitcoin price, which has a โdeath crossโ formation, wherein the 50-day simple moving average (SMA) has just crossed below the 200-day SMA. โThis technical signal often precedes extended downtrends, noted the analyst.
#Bitcoin $BTC has just flashed a death cross as the 50-day SMA dipped below the 200-day SMA. This technical signal often precedes extended downtrends. pic.twitter.com/6EaX2fAnKK
โ Ali (@ali_charts) April 7, 2025
Bloombergโs Senior Commodity Strategist Mike McGlone has cast doubt on Bitcoinโs long-term bullish momentum, questioning the conviction behind the โHODLโ mindset. โEveryoneโs in for the long-term โ as long as itโs going up,โ McGlone remarked, noting that while Bitcoinโs surge from $10,000 to $100,000 once seemed inevitable due to strong trends.
What does HODL stand for? Everyoneโs in for the long-term, as long as itโs going up. Did not know how #Bitcoin was going to get to $100,000 from $10,000 in 2020, but the trends showed up. Now, I see the reversion path back toward $10,000. The technology is awesome as evidenced byโฆ
โ Mike McGlone (@mikemcglone11) April 6, 2025
However, he added that the current market dynamics suggest a potential reversion path back toward the $10,000 level.
Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
