BitMEX CEO: Bitcoin's Price Will Reach $10,000 Before End of 2019

Omar Faridi
  • Arthur Hayes, the CEO of BitMEX, the world's largest crypto derivatives exchange, has predicted Bitcoin price will surge (again) to $10,000 by end of this year.
  • Hayes had previously (incorrectly) forecasted a $50,000 BTC price by end of year 2018. 

Arthur Hayes, the co-founder and CEO of the Bitcoin Mercantile Exchange (BitMEX), a Seychelles-registered and Hong Kong-operated crypto derivatives trading platform, has predicted that bitcoin's (BTC) price will surge to $10,000 this year.

Hayes, a Wharton School of Business graduate, had previously forecasted that Bitcoin’s price would hit $50,000 by the end of 2018. However, the value of the world’s most dominant cryptocurrency dropped below the $4,000 mark towards the end of last year.

Hayes’ most recent BTC price prediction was revealed in a newsletter, in which he noted the crypto market will begin to recover during early Q4 2019. Hayes wrote: 

The 2019 chop will be intense, but the markets will claw back to $10,000. That is a very significant psychological barrier. [...] $20,000 is the ultimate recovery. However, it took 11 months from $1,000 to $10,000, but less than one month from $10,000 to $20,000 back to $10,000.

"Bears Gain Strength" To Push BTC's Price Below $4,000

On March 19, 2019, Naeem Aslam, the chief market analyst at ThinkMarkets, a financial services company that specializes in traditional equities, forex, and cryptocurrency trading, had noted that “questions are being asked constantly when it comes to bitcoin’s battle with the $4,000 mark.”

Aslam, a business and financial economics graduate from the University of Leeds, pointed out that since December 14, 2018, there had been several “battles” between the bulls and the bears at the $4,000 price level. According to Aslam’s assessment: 

In [the] battles, [the] bulls have (so far) lost the war because after the first attack at the $4,000 level, the bears have been able to gain enough strength to push the price back below this critical mark. It is in this essence, that this level has become a matter of “life or death” for crypto traders.

Bitcoin Could Hit $400,000

Aslam, who’s a qualified financial advisor (from the University College Dublin), also argued that “if you are a long-term investor, you will not really worry about these short-term levels.” He added that based on current crypto market activity, there’s a “high chance,” or probability, that the next digital asset bull market will push bitcoin past the $100,000 mark. Notably, Aslam also believes that bitcoin’s value could potentially reach $400,000 in the long-term.

Murad Mahmudov, a prominent crypto analyst, has observed that bitcoin’s upwards and downwards price movements occur in cycles and that during each cycle, the digital asset’s price has dipped into even lower weekly moving averages. In early February 2019, Mahmudov had stated that it was mainly “speculation” and “greed” which had (previously) been driving the price of bitcoin and other cryptocurrencies to higher levels. He also noted last month that Bitcoin-related tweets were at their lowest since 2014, which according to him “screams bearish.”

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Tim Draper Calls Indian Government “Pathetic and Corrupt” Over Bitcoin Ban

  • Tim Draper calls the Indian government "pathetic and corrupt" over a proposed ban on cryptocurrency.
  • Unofficial drafted bill has emerged online making the use of cryptocurrency punishable with 10 years in prison.

American billionaire investor Tim Draper has called out the Indian government over its purported plan to ban bitcoin and all forms of cryptocurrency. 

Proposed Bitcoin Ban

On July 14, blockchain lawyer Varun Sethi published to Twitter an unofficial draft of a bill circulating the Indian government that would ban the use of cryptocurrency. 

In addition to prohibiting the use of bitcoin, the bill seeks to impose a 10-year prison sentence on Indian citizens who “mine, generate, hold, sell, transfer, dispose, issue or deal in cryptocurrencies.” The bill does allow one caveat for the digital rupee, which is a token issued and backed by the Reserve Bank of India (RBI). 

Pathetic and Corrupt

In response to the proposed ban, Tim Draper took to Twitter to vent his feelings against the Modi government. 

Draper, who is known for his massive investments in Baidu, Skype, and Tesla, has become a bitcoin bull over the years, in addition to issuing some of the more far-fetched price predictions.

The American investor has also been an active presence encouraging developing countries to consider the benefits of bitcoin and digital currencies. More recently, he advocated the utility of bitcoin to the Argentine government, a country that has been combating fiat hyperinflation for years. 

Others Weigh In

Other high profile individuals have voiced their disapproval over the Indian government considering a bitcoin ban, including Barry Silbert who predicted the decision having the opposite effect on bitcoin adoption. 

John McAfee also chimed in with his belief that governments have little control over the use of bitcoin. 

Supporters of the Ban

However, not everyone took kindly to Draper’s harsh criticism of the Modi government. Given the rise in cryptocurrency-related scams over the past two years, some Indian citizens believe banning bitcoin will be a net positive for the country. 

While Draper may be stirring national sentiment related to cryptocurrency, it’s worth noting that the Indian government has yet to impose a ban of any sort. However, given the amount of rhetoric over the last several months and the more recent emergence of the drafted bill, it appears the Modi government is indeed contemplating decisive action against bitcoin and digital currencies.