Ethereum News Today: Hayes Bets Big on Ethereum—Could $20K Be Inevitable?

BitMEX co-founder Arthur Hayes has made a bold prediction for Ethereum (ETH), forecasting that the token could reach a price range of $10,000 to $20,000 before the end of the current market cycle. This forecast, while ambitious, aligns with recent market movements and broader macroeconomic shifts that have been reshaping the crypto landscape. Hayes has been actively accumulating Ethereum, having purchased 1,500 ETH worth $8.4 million in the past week alone, reinforcing his bullish stance on the digital asset. His decision to buy back ETH reflects a recognition of strong market signals, as he stated, “The chart says it’s going higher, so you can’t fight the market.” [1]

Hayes’ optimism for Ethereum is underscored by the increasing institutional interest and demand for a spot ETH exchange-traded fund (ETF). This demand has been fueled by significant capital inflows, with firms like Bitmine and Sharplink Gaming acquiring over 2 million ETH since June. These developments have pushed Ethereum’s price to a recent local high of $4,700, despite a 0.64% dip in the last 24 hours to $4,289. Over the past 30 days, Ethereum has gained over 15%, inching closer to an all-time high. Hayes also emphasized the potential for further institutional support if Ethereum breaks through its previous price ceiling, noting that this could lead to even greater capital inflows from crypto-native firms looking to raise money backed by a rising asset. [2]

The investor’s preference for Ethereum over Solana (SOL) further highlights his strategic positioning in the current crypto cycle. While both assets are expected to see bullish trajectories, Hayes has indicated a stronger overweight on Ethereum, citing its potential to outperform. He acknowledged that Solana may experience a significant price increase, but he remains more confident in Ethereum’s long-term fundamentals and ecosystem strength. This view is consistent with his earlier decision to sell over $8 million in ETH and other tokens like PEPE and ENA in early August, anticipating a market correction due to U.S. President Donald Trump’s tariffs and geopolitical tensions. However, as Ethereum surged past $4,000, he was compelled to repurchase the asset, now holding over 1,700 ETH and additional positions in altcoins like HYPE and LDO. [1]

Hayes also linked his bullish outlook for Ethereum to broader economic and political developments in the U.S., particularly the influence of President Trump on financial markets. He argued that any asset Trump deems important could experience a substantial bull run before his term ends. This macroeconomic perspective reinforces the idea that Ethereum’s future is not only tied to its own technological developments but also to the broader financial ecosystem and regulatory environment. The investor’s confidence is further bolstered by Ethereum’s growing adoption in decentralized finance (DeFi) and its potential to benefit from a digital euro that may be built on public blockchains, as the European Union is reportedly exploring options like Ethereum and Solana for its CBDC initiative. [2]

The broader implications of the EU’s exploration of public blockchains for its digital euro could have a profound impact on the crypto market, particularly for Ethereum and Solana. This shift away from private, controlled systems could lead to greater interoperability between the digital euro and existing crypto infrastructure, potentially increasing demand for both Ethereum and Solana. However, such a move also raises concerns about increased government influence in blockchain governance. While the European Central Bank (ECB) has yet to finalize its decision, the evolving discourse around public versus private blockchains highlights the growing recognition of Ethereum’s role in the global financial system. If Ethereum continues its upward trajectory, as Hayes predicts, it may emerge not only as a dominant crypto asset but also as a foundational element of the next generation of digital finance. [3]

Source:

[1] Arthur Hayes Buys Back ETH, Predicts Token Could Hit $20K (https://cryptonews.com/news/bitmexs-arthur-hayes-buys-back-eth-predicts-token-could-hit-20k/)

[2] Arthur Hayes Sees $20K ETH Ahead, Why He's Backing Ethereum Over Solana (https://cryptopotato.com/arthur-hayes-sees-20k-eth-ahead-why-hes-backing-ethereum-over-solana/)

[3] EU exploring Ethereum, Solana for digital euro launch: FT (https://cointelegraph.com/news/europe-mulls-ethereum-solana-digital-euro-launch)