Why experts anticipate a genuine rebound in Bitcoin despite the fall
Bitwise and Hayes expect Bitcoin to bounce back soon. The recent drop below $100,000 caused high market stress. This price level matters greatly to investors. Some fear a long decline is starting. Other major voices say this dip is just temporary. This market adjustment is deeper than a simple price change.
Bitcoin dipped under the $100,000 mark. People worried about the health of the market. Matt Hougan from Bitwise sees this differently. He thinks small investors are giving up now. This is not a total market failure. The weakness of retail sellers clears the way. This allows big funds to return to buying. Arthur Hayes uses a money-based approach. He thinks the next bull run will come from quiet Fed actions.
Matt Hougan is the chief investment officer at Bitwise. He talked openly on CNBC about Bitcoin's crash. He does not see a long collapse coming. He calls this a moment of surrender for average buyers. Hougan says the crypto market feels hopeless right now. Retail investors show extreme worry.
Hougan calls this a retail flush-out. Everyday traders are selling everything they own. They are tired of losing money after losses. This market clearing often comes before a price recovery. He feels strongly that the long-term fundamentals remain good. Major institutions still want to buy in.
When he talks to financial advisors, they stay positive. They like putting capital into assets that pay off well. Once retail selling stops, institutional money will take over. Big players will drive the recovery. He points to several signs supporting his view. Small investors use less debt now. Everyday buyers feel very gloomy. This often signals a price bottom. Institutions still want more exposure. They will buy at these attractive prices. Hougan predicts a jump to $125,000 or $130,000 this year. This happens if market conditions improve. Current volatility hides a true opportunity. Institutional buying must start once the small sellers stop.
Arthur Hayes offers a different view on the recent crash. He co-founded BitMEX. Hayes focuses on larger money trends. He says US national debt keeps climbing quickly. This will force the Federal Reserve to ease up on money policy. This must happen soon.
He calls this process stealth QE. This means the Fed quietly pumps in cash. They use the Standing Repo Facility to do this. This money indirectly helps finance Treasury bonds. Hayes argues this process matters greatly. More money on the Fed’s books means dollar liquidity grows. This extra cash ultimately raises the price of Bitcoin. Other risky assets also benefit greatly.
Hayes’ idea is structural. Injecting liquidity helps risky assets thrive. Bitcoin benefits most from this setup. This price growth is indirect. It comes from US monetary policy, not just new buyers. Hayes sees a mechanical effect coming. Hougan focuses on market feelings. Both experts reach the same goal. They predict Bitcoin will surprise everyone soon. The rebound comes from either a retail crash or quiet money printing.