Arthur Hayes, the previous CEO of BitMEX, has issued a warning of a possible market downturn for Bitcoin following disappointing U.S. Non-Farm Payrolls (NFP) knowledge, at the same time as he maintains a bullish stance on the asset’s long-term prospects.
Market response to NFP report
The current NFP report triggered a pointy sell-off in each conventional and bitcoin markets.
Hayes highlighted that threat belongings, together with Bitcoin, confronted vital volatility as merchants adjusted their expectations for Federal Reserve coverage.
Over $1.1 trillion was wiped from the U.S. inventory market, and bitcoin lengthy positions value $172 million have been liquidated throughout exchanges in simply 24 hours, as the value slipped under $114,000 in early August after peaking above $120,000 in July.
Bitcoin’s efficiency versus different belongings
Regardless of main the downturn, Bitcoin confirmed relative power in comparison with altcoins.
Famous critic Peter Schiff took the chance to critique bitcoin’s protected haven standing, stating:
“Days like immediately make it clear that Bitcoin just isn’t digital gold. We acquired dangerous financial information that despatched gold and the Japanese yen up 2.2% and the euro up 1.5%. The NASDAQ went the opposite approach, falling 2.2%. Bitcoin tanked 3%, monitoring high-risk belongings decrease, not protected havens greater.”