The price of bitcoin just fell below $56,000, sending market sentiment into the realm of "extreme fear." Arthur Hayes, co-founder of BitMEX, also projects that Bitcoin may fall below $50,000 in value by another 12%. Even said, there are still traders who remain bullish about Bitcoin's future performance, and Bitcoin ETFs continue to see steady withdrawals. However, Bitcoin DeFi is starting to acquire some traction, and within the next two years, some developers believe it may even overtake Ethereum as the dominant platform in DeFi.
Arthur Hayes Warns of Further BTC Declines
The crypto market sentiment has slipped back into âextreme fearâ territory after Bitcoin (BTC) briefly dropped below $56,000. BitMEX co-founder Arthur Hayes also predicted a further 12% decline that could see Bitcoin fall below $50,000 over the weekend.
which measures market sentiment and trends on a scale of 100, fell to a score of 22 on Sept. 6, indicating âextreme fear.â This is a seven-point drop from the previous day's âfearâ rating and is the lowest score since Aug. 8, when the index hit 20.
Bitcoin's price touched a low of $55,838 after a sharp decline from over $58,000. This erased $29.7 billion from its market capitalization. According to data from CoinMarketCap, BTC is trading hands at $55,767.64 at press time after its price dipped by over 2% throughout the past 24 hours of trading. Arthur Hayes believes that Bitcoin is under pressure and expects the price to drop even more over the weekend.
This drop in Bitcoin's price comes amid broader concerns about the United States economy, particularly with regards to a potential Federal Reserve interest rate cut later this month.
The decline in Bitcoin's value has also impacted some other major cryptos. Ethereumâs (ETH) price also fell by more than 2% since yesterday. As a result, the altcoin is worth close to $2,346.67 at press time. Both Solana (SOL) and XRP also saw their prices decline by over 2% during the same time period.
#Bitcoinâ #BinanceBlockchainWeek #DOGSONBINANCE #updatewidrizz #BinanceSquareFamily