- In a newsletter to Bitmex’s customers, CEO Arthur Hayes said that 2019 “will be boring” for the most part but will pick up towards the end.
- He stated that as the central bankers keep mismanaging their money, Bitcoin’s price will chart $10,000.
Arthur Hayes, Bitmex CEO, predicted that Bitcoin’s price will reach $10,000 by year end in a newsletter to the company’s customers. He started off by stating that 2019 will pick up towards the end:
“2019 will be boring, but green shoots will appear towards year end. The mighty central bank printing presses paused for a while, but economic sophists could not resist the siren call of free money.
They are busy inventing the academic crutches (here’s looking at your MMT), to justify the next global money printing orgy.”
He then said that Bitcoin’s price is tied to the action of the Fed and PBoC:
“The Fed couldn’t stomach a 20% correction in the SPX. In the recent Fed minutes, the dot plot now shows now [sic]rate increases for the rest of 2019. The Fed will start reinvesting its runoff in the third quarter. We are only a hop, skip, and a jump away from an expanding Fed balance sheet.
Beijing knows China must rebalance its economy away from credit-fueled fixed asset investment. However, Xi must not have the political cojones to push this sort of painful change through. Therefore, the PBOC said ‘f**k it’ to any attempt to reign in credit growth. The two most important central banks are creepin’ back into a super easy credit regime.”
He concluded that Bitcoin will go up to $10,000 as the central bankers will keep mismanaging their money:
“Green shoots will begin to appear in early Q4. Free money and collective amnesia are powerful drugs. Also after two years of wage cucking, punters should have a few sheckles to rub together.
The 2019 chop will be intense, but the markets will claw back to $10,000. That is a very significant psychological barrier. It’s a nice round sexy number. $20,000 is the ultimate recovery. However, it took 11 months from $1,000 to $10,000, but less than one month from $10,000 to $20,000 back to $10,000.”