- 1 Arthur Hayes, the co-founder and former CEO of BitMEX, is bullish on Bitcoin and shitcoins.
- 2 The BOC and ECB rate cuts strengthen Hayes’s bullishness on Bitcoin and other cryptocurrencies.
- 3 BitMEX co-founder unstaked 1.55 Million PENDLE tokens worth $9.41 Million.
On June 6, Arthur Hayes commented on Bitcoin (BTC) and shitcoins amid the Bank of Canada (BOC) and European Central Bank (ECB) rate cuts. According to Hayes, the rate cuts will boost the crypto and require a change in strategy.
What’s Going on in Arthur Hayes’s Mind?
Arthur Hayes shared a blog post named “Group of Fools,” which showcases the reasons behind Hayes returning to the crypto market. He proposed some solutions to strengthen the Yen as well as cryptocurrencies like BTC.
"Group of Fools" is an essay on why I'm back in the #crypto markets buying bags. As always it's all about how to strengthen $JPY and avoid the wrath of #China.https://t.co/K1c4B9PZSR pic.twitter.com/ECY4y9qf0w
— Arthur Hayes (@CryptoHayes) June 6, 2024
“The US Federal Reserve (Fed) could swap unlimited amounts of freshly printed dollars with the Bank of Japan (BOJ) for Yen.”, added Hayes.
The action will offer BOJ unlimited dollars, which could be used to purchase the Yen in the global forex markets. To do so, the G7 central banks, including the Fed, BOC, ECB, and Bank of England (BOE), must cut interest rates.
Interestingly, BOJ’s policy rate is 0.1%, whereas others rely on between 4-5%. Between March 2020 and 2022, everyone was on the same page and raised rates aggressively.
If the Fed cut its rates in the upcoming June meeting, it would fill the Dollar-Yen gap. The change will also influence BTC and, subsequently, shitcoins positively. Moreover, the release of a coordinated currency would also strengthen Yen’s status in the market.
Bitcoin’s Standing in the Crypto Market
Hayes expressed confidence in crypto assets, especially BTC, and considers digital assets as a major contributor to defeating inflation. He also considers digital assets a weapon for defeating TradFi-related issues.
At press time, BTC was hovering at $71,080.55 after a 0.20% intraday surge with a market cap of $1,400,864,412,884 and $26,443,507,539 in 24-hour volume.
The BitMEX co-founder also advised the crypto community to go long on BTC and shitcoins. Furthermore, Hayes was also active in other activities and recently unstaked 1.55 Million Pendle Finance (PENDLE) tokens.
Unstaking Impact on PENDLE Price
On June 6, Hayes unstaked over 1.55 Million PENDLE tokens worth $9.41 Million. The significant price change in PENDLE could possibly be one of the reasons behind the choice.
Unstaking is related to releasing or withdrawing the staked tokens from the pool. Staking, conversely, is a way to earn profits and rewards by holding certain cryptocurrencies and strengthening blockchain network security.
Lookonchain shared Hayes’s transaction activities over X, highlighting his currency holds of 1.69 Million PENDLE tokens and unrealized profits of $6.46 Million. The price chart attached to the tweet showcases the coincidence of Hayes’s transactions and PENDLE’s price change.
Arthur Hayes(@CryptoHayes) unstaked 1.55M $PENDLE($9.41M) 40 minutes ago and currently holds 1.69M $PENDLE($10.26M), with an average buying price of $2.24.
— Lookonchain (@lookonchain) June 6, 2024
His unrealized profit on $PENDLE is $6.46M.https://t.co/wmOyMVRRlDhttps://t.co/YKyINyarvS pic.twitter.com/wbON3mzlQC
Pendle Finance is an Ethereum-based yield trading protocol and is currently trading at $5.91, after a drop of 2.52% in a day, with a market cap of $921,114,557. In the past 7 days, the token dropped from $6.1892 on May 31 to $$5.91 at press time, showcasing a decline of 3.63%.
Disclaimer
The analysis given above is for informational and educational purposes only. You should not take it as financial, investment, or other advice. Investing in or trading crypto assets is risky. Please consider your circumstances and risk profile before making any investment decisions.
