Bitcoin price continued its decline this week, dipping under $104,000 and igniting fresh panic across the crypto market. The world’s largest cryptocurrency has now fallen 17% from its record high of $126,198 earlier this month. This sharp pullback has divided the community, with Arthur Hayes urging investors to buy the dip while Andrew Tate warns of an even deeper collapse.
Arthur Hayes Urges Calm and Buying the Dip
BitMEX co-founder Arthur Hayes remains confident that the current sell-off is temporary. Sharing his views on X, he described Bitcoin as “on sale” and encouraged investors to take advantage of the panic. Hayes believes the drop is fueled by short-term fear linked to U.S. regional banking troubles, particularly at Zions Bank and Western Alliance Bank.
According to him, if banking stress worsens, governments may be forced into another round of bailouts, similar to 2023, a move he says could push investors back toward digital assets. “If bailouts happen again, the rebound will be stronger than 2023,” Hayes said, expressing confidence that the bull market remains intact despite the pullback.
Institutional Caution and Ongoing Selling
However, on-chain data paints a less optimistic picture. Over 51,000 BTC were moved from miners to exchanges last week, hinting at heavy selling. At the same time, Bitcoin ETFs recorded nearly $536 million in daily outflows, their fourth red day in five. This shows that institutional investors are turning cautious.
Meanwhile, gold advocate Peter Schiff pointed out that Bitcoin has lost 34% of its value against gold since its peak, claiming the idea of Bitcoin as “digital gold” has failed. He warned that this may just be the start of a “brutal decline.”
Andrew Tate Predicts Pain Before the Rebound
Taking the opposite stance, influencer Andrew Tate predicted that Bitcoin could fall back to around $26,000, the level last seen in September 2023. He said traders’ “blind optimism” is preventing the market from reaching a true bottom. Tate’s message was harsh, “the market will only recover once everybody has lost all their money.”
Is the Worst Already Over?
Not everyone agrees with Tate’s grim outlook. Titan of Crypto countered that similar fear followed every local top this cycle, yet Bitcoin never dropped to $26,000. He reminded followers that 1.6 million traders were wiped out in the recent crash, arguing it makes little sense to expect another massive drop now.
With opinions sharply divided, the market sits on edge, torn between fear and opportunity, as Bitcoin struggles to find its footing below $104K.
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FAQs
The market is divided. Some experts see a temporary dip driven by panic, while others warn of a potential deeper decline, making it crucial to assess your own risk tolerance.
Some analysts urge buying, viewing the drop as a sale. However, with institutional selling continuing, it’s a high-risk decision that depends entirely on your investment strategy and risk appetite.
Predictions vary wildly. Some fear a fall to $26,000, while other analysts believe the worst may already be over, noting that such severe fear has followed previous peaks without a crash that deep.
Opinions are split. Proponents believe the long-term bull market is intact, while critics point to its recent underperformance against gold, highlighting its extreme volatility and high-risk nature.
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