Arthur Hayes Predicts $75K Bitcoin Amid Massive Market Sell-Off

• Bitcoin fell below the $100K support level, marking its lowest level since January 2017.
• The cryptocurrency experienced a sharp 5.5% drop in a single day, sparking widespread losses across the market.
• BTC’s price decline triggered $854 million in liquidations, wiping out $794 million in leveraged long positions.

Bitcoin’s (BTC) recent slip below its critical $100K support level sent shockwaves through the cryptocurrency market, sparking widespread losses. The flagship cryptocurrency fell nearly 5.5% in a single day, marking its lowest level since January 2017. This sharp downturn triggered mass liquidations and ignited fears of a deeper correction ahead.

Market Liquidations Surge as Prices Plunge

Bitcoin’s price drop caused an $854 million liquidation event, wiping out nearly $794 million in leveraged long positions within 24 hours. This sell-off cascaded across the broader crypto market, with Ethereum, XRP, Solana, Dogecoin, and Cardano experiencing losses between 9% and 17%. The overall crypto market slid 8%, further reflecting bearish sentiment among traders.

The downturn came as markets reacted to external pressures, including the surprise launch of China’s AI app, DeepSeek. The app, which aims to compete with U.S.-based ChatGPT, sparked concerns among investors about broader tech and market instability. Analysts noted this sudden risk-off sentiment as a key factor behind the ongoing sell-off.

Arthur Hayes Warns of $75K Bitcoin Correction

Former BitMex CEO Arthur Hayes cautioned investors of a potential “mini financial crisis,” predicting Bitcoin could drop to $70K–$75K. Hayes emphasized the risk of cascading sell-offs as market sentiment sours and traders liquidate positions. His warning comes amid heightened uncertainty, with some analysts speculating that Bitcoin could remain under pressure in the short term.

Meanwhile, other experts offered more measured takes on the market’s trajectory. TYMIO founder Georgii Verbitskii dismissed Hayes’ $75K forecast, attributing the current drop to natural market cooling after months of bullish trends. He noted Bitcoin’s fundamentals remain strong, suggesting the correction may stabilize near $87K if the cryptocurrency stays under the $100K resistance level.

Profit-Taking and Long-Term Trends in Focus

Market data revealed long-term Bitcoin holders offloaded over 75,000 BTC during the past week, contributing to the sell-off. This uptick in profit-taking compounded the price pressure, amplifying the effects of broader market turbulence. Analysts suggested these sell-offs may reflect cautious optimism following Bitcoin’s rally in late 2024.

Despite the turmoil, some believe Bitcoin’s underlying fundamentals and long-term potential remain intact. Observers highlighted the cryptocurrency’s resilience during corrections, suggesting this dip could be part of a natural market cycle. However, traders will likely watch key levels closely while navigating the uncertainty.

Bitcoin’s ability to recover above $100K will likely determine the market’s short-term direction. For now, all eyes remain on whether Hayes’ dire $75K prediction will come to pass—or if the market finds its footing sooner.