Crypto veteran Arthur Hayes thinks Bitcoin\u2019s (BTC<\/a>) short-term price outlook will be decided by US politics.<\/p>\n The BitMEX founder says<\/a> on the social media platform X that it\u2019s currently time to \u201cchill out, retrace and wait.\u201d<\/p>\n \u201cIf Trump can\u2019t pass his budget which spends more and hikes debt ceiling, resume capitulation to levels pre the election day victory: $75,000 to $70,000. This is test of how strong Trump\u2019s hold is on the Republican party.\u201d<\/em><\/p>\n Hayes also suggests<\/a> that a lot of the hedge funds that bought BlackRock\u2019s iShares (IBIT) spot Bitcoin exchange-traded fund (ETF) could sell soon if BTC\u2019s price keeps dropping.<\/p>\n \u201cBitcoin goblin town incoming:<\/em> If that basis drops as BTC falls, then these funds will sell IBIT and buy back CME futures.<\/em><\/p>\n These funds are in profit, and given basis is close to UST yields they will unwind during US hours and realize their profit. $70,000 I see you mofo!\u201d<\/em><\/p>\n BTC is trading at $84,498 at time of writing. The top-ranked crypto asset by market cap is down more than 4% in the past 24 hours.<\/p>\n Don’t Miss a Beat \u2013 Subscribe<\/a> to get email alerts delivered directly to your inbox <\/span><\/em>   Generated Image: Midjourney<\/em><\/span><\/p>\n<\/p><\/div>\n
Lots of IBIT holders are hedge funds that went long ETF short CME future to earn a yield greater than where they fund, short-term US treasuries.<\/em><\/p>\n
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<\/center><\/p>\nDisclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.<\/h6>\n<\/div>\n
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