BitMex co-founder Arthur Hayes said that a further dip in Bitcoin (BTC) and Ethereum (ETH) prices below their current threshold could be disastrous for the market.
Hayes tweeted that if Bitcoin’s price should fall below the $20k mark, there would be a surge in the spot selling of the digital asset. He added that the same situation would happen if Ethereum fell below $1000. “We can expect massive sell pressure in the spot markets as dealers hedge themselves,” Hayes said.
Here we go …
1/
Looking at onchain data for $wBTC and $ETH, the liquidations have mostly happened. Data visualization from @parsec_finance
— Arthur Hayes (@CryptoHayes) June 14, 2022
Hayes noted that aside from the listed entries, there is a massive volume of the OTC market, which is not being tracked by on-chain metrics and indicators.
Arthur Hayes had previously predicted that Bitcoin’s price could be as high as $1 million someday.
As of press time, Bitcoin is trading for $22,578, while Ethereum is changing hands for $1229. The industry’s market cap is also less than $1 trillion.
The current crash began after the U.S. Labor Department released its CPI inflation data last Friday, saying that consumer inflation had hit a 40-year high of 8.6% in May.
There are also speculations that the Federal Reserve would announce another interest rate hike in its bid to rein in the raging inflation.
Crypto carnage continues
The current market sell-off has caused the crypto industry huge losses as holders and companies have suffered massive losses on their investments.
Celsius, a crypto lending platform, was forced to suspend withdrawals because of “extreme market conditions.” However, analysts question if the company is financially solvent.
El Salvador, Microstrategy, Tesla and Block holdings pic.twitter.com/SAAGZqxR3C
— db (@tier10k) June 13, 2022
Meanwhile, big bag holders like MicroStrategy, El Salvador, and Tesla are currently…
Click Here to Read the Full Original Article at Ethereum – CryptoSlate…
