Bitcoin's Co-Founder Predicts $70K Correction, "Mini Financial Crisis"

Bitcoin, the world's largest cryptocurrency, is poised for a significant correction, according to Arthur Hayes, co-founder of BitMEX. In a recent post on X, Hayes predicted that Bitcoin could potentially pull back toward the $70,000 to $75,000 range, a level last seen in November 2020. This correction, he suggested, could trigger a "mini financial crisis" and result in a renewed wave of money printing, ultimately propelling Bitcoin's price to $250,000 by the end of 2025.

Hayes' prediction came amid a broader slump in the crypto market. Following the release of DeepSeek R1 on Jan. 20, Bitcoin price experienced a significant decline, falling below $100,000 and reaching approximately $97,800 during Asian trading hours. This has sparked a range of speculations from analysts about how much further Bitcoin price may fall.

Michael van de Poppe, founder of MN Capital, downplayed concerns over the current market volatility, describing the drop as a "short-term shock." Van de Poppe cautioned against reacting hastily to short-term market fluctuations and pointed out that Bitcoin has reached what he termed an "exciting entry zone." However, he acknowledged that if Bitcoin fails to maintain this support, a drop to the range lows is likely.

Bitcoin's last visit to the $75,000 level occurred on Nov. 8, 2020, just days after Donald Trump's U.S. presidential victory. As of the time of publication, Bitcoin is trading at $102,876.