BitMEX co-founder Arthur Hayes believes Bitcoin (BTC) may remain in an uptrend if it can hold one key level amid the massive selloff roiling the markets.
Hayes tells his 662,400 followers on the social media platform X that if Bitcoin holds $76,500 as support over the next two weeks, the flagship crypto asset may start rallying again.
“Market no likey ‘Liberation Day,’ if BTC can hold $76,500 between now and US tax day April 15th, then we are out of the woods. Don’t get chopped up!”
Hayes believes that US President Donald Trump’s announced tariffs on Wednesday, which Trump dubbed ‘Liberation Day,’ will prompt the Fed to shift to quantitative easing (QE), which has historically been bullish for crypto as an asset class.
“Trump’s tariff formula is further evidence he is laser-focused on reversing these [global trade] imbalances. The problem for treasuries is that without [money] foreigners can’t buy bonds. The Fed and banking system must step up to ensure a well-functioning treasury market, which means [an increase in money supply].”
He also says that the weakening US dollar may help pump Bitcoin and gold as investors look for a hedge against inflationary pressures.
“The [US dollar] is weakening alongside foreigners selling US tech stocks and bringing money home. This is good for BTC and gold over medium term.”
Bitcoin is trading for $82,836 at time of writing, flat on the day.
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