Bitcoin Dominance May Reach 70% as Whales Accumulate, Hayes Predicts

Arthur Hayes, the former CEO of BitMEX, has expressed his bullish outlook on Bitcoin, predicting that its dominance in the cryptocurrency market will continue to rise. Hayes has been actively adding to his Bitcoin position while avoiding investments in altcoins, despite their decreasing prices. He believes that central bank policies, particularly money printing, will continue to favor Bitcoin as a hedge against inflation and currency devaluation.

In a recent tweet, Hayes stated that he has been "nibbling on $BTC all day" and expects Bitcoin's dominance to "zoom towards 70%." This prediction suggests a significant shift in capital flows from altcoins back into Bitcoin, which currently holds a smaller market share. Hayes' stance is clear: he is not interested in investing in altcoins, referring to them as "shitcoins" and focusing solely on Bitcoin accumulation.

On-chain analytics firm Glassnode has identified a pattern of intense Bitcoin accumulation among the largest holders. According to their data, whales holding more than 10,000 BTC reached a nearly perfect accumulation score of approximately 1.0 at the turn of the month, indicating strong buying activity over a 15-day period. Although this score has since moderated to around 0.65, it still signals steady accumulation from these major market participants.

This level of whale accumulation contrasts sharply with the behavior of smaller Bitcoin holders. Glassnode noted that cohorts holding between less than 1 BTC and up to 100 BTC have intensified their distribution, trending toward 0.1–0.2. This divergence between large and small holders often precedes major market movements. Historically, periods where whales accumulate while retail sells have preceded bullish phases in the Bitcoin market cycle.

Bitcoin's price appears to have established a support level around $74,000, according to Glassnode. This price point aligns with a major supply cluster below $80K, composed of investors who were active in the market for approximately five months. The strength of this support level will be crucial for Bitcoin's short-term price action as the market navigates through its current volatility. If this support holds, it could serve as a foundation for a potential recovery toward previous highs.

Ted, a partner at OKX, highlighted a key technical level that could decide Bitcoin's next directional move. He noted that Bitcoin is trying to reclaim the weekly 50-EMA level, which has acted as a bull/bear line for the cryptocurrency. Failure to reclaim this moving average could trigger further downside, with potential correction targets at $69K-$70K and even the $67K level. Conversely, successfully reclaiming the 50-EMA could spark a relief rally.

Ted's analysis comes at a time when the crypto liquidations breached $600 million and Bitcoin fell below the important $80,000 level. The current market conditions, combined with Hayes' bullish prediction and the on-chain data from Glassnode, suggest that Bitcoin's dominance in the cryptocurrency market may indeed continue to rise, potentially reaching the 70% mark as predicted by Hayes.