Altcoins Will ‘Get To Fire’ Once Bitcoin Hits This Price Level, According to BitMEX Founder Arthur Hayes
Arthur Hayes, the founder of BitMEX and crypto investment firm Maelstrom, predicts that altcoins will see a surge in value once Bitcoin surpasses a certain price point. In an interview on Crypto Banter, Hayes highlighted his belief that Bitcoin will continue to dominate the market in the near future.
Hayes anticipates that once Bitcoin reaches well above the $100,000 mark again, riskier cryptocurrencies will likely experience a significant increase in value.
“We saw a boost in the market following the recent Federal Reserve press conference where Powell hinted at quantitative easing. If the market continues to decline, we will likely accelerate our capital deployment. Currently, our focus is primarily on investing in Bitcoin, as Bitcoin dominance in the overall cryptocurrency market continues to rise. However, once Bitcoin reaches around $110,000 or $120,000, we expect to see altcoins gaining momentum, prompting us to shift our focus to assets that we favor.”
When it comes to altcoins, Hayes expressed his preference for Ethereum over Solana, expecting Ethereum to outperform Solana in the upcoming period.
“I hold a significant amount of Ethereum, and I believe that the negative sentiment surrounding Ethereum will eventually change. Historically, the most disliked asset tends to perform the best in the following cycle, while the most beloved asset often underperforms. It’s a matter of mean reversion rather than one asset being inherently superior to another. If I were to invest fresh capital today, I would choose Ethereum over Solana simply because Ethereum is currently facing more criticism than Solana.
I also believe that the trend of meme coins will subside for a while. While meme coins are likely here to stay in the long term, many retail investors have suffered losses, leading to a decrease in speculative trading activities on platforms like Pump.fun, which generate transaction fees for Solana. Therefore, the perception of Solana as the meme coin of Layer 1 networks could hinder its ability to outperform other Layer 1 networks in the current market cycle.”
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Image Source: Midjourney
