Arthur Hayes: "Bitcoin, now is not the time to trade"...Why?

▲ Bitcoin (BTC), Gold/AI generated image

As the Bitcoin (Bitcoin, BTC) market lost its direction, the current market has entered a sideways, no-trade zone. This is a critical time for strategic asset allocation in preparation for macroeconomic uncertainties.

On April 16 (local time), cryptocurrency analyst Arthur Hayes assessed the current market through the crypto media outlet CoinGeape. Hayes mentioned the slowdown in Bitcoin spot ETF inflows and the pre-pricing of the halving event's positive impact. He advised, "For the time being, a wait-and-see approach is more advantageous than aggressive trading." He particularly emphasized refraining from hasty entry given the geopolitical risks in the Middle East.

Hayes focused on the correlation between Bitcoin and gold. He maintained a long-term bullish perspective. Amid the decline in fiat currency value, Bitcoin is expected to solidify its position as digital gold. Currently, trading volume has decreased. However, his analysis suggests that as uncertainty grows, the inflow of smart money is inevitable.

The outlook for the decentralized derivatives exchange, Hyperliquid, is bright. Hayes predicted that the regulatory risks of centralized exchanges would increase the platform's value. Innovative protocols like Hyperliquid are expected to drive ecosystem liquidity, which could become a new growth engine for the cryptocurrency market.

The macroeconomic environment remains shrouded in fog. Federal Reserve (Fed) Chairman Jerome Powell's hawkish remarks dampened investor sentiment. Hayes predicted, "Liquidity provision will resume before the U.S. presidential election." It is observed that volatility will expand again by the end of the year. Investors should focus on increasing the resilience of their portfolios.

Ultimately, the cryptocurrency market is in a breather phase for an upward rally. Bitcoin is consolidating its strength by confirming support levels. The Altcoin (Altcoin) market is also seeing intense competition to find the next leading assets. Investors are patiently observing the market's energy inflection point, enduring the no-trade zone suggested by Hayes.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*