The post Arthur Hayes Warns of Second Wave Crypto Crash appeared on BitcoinEthereumNews.com.

Coinspeaker Arthur Hayes Warns of Second Wave Crypto Crash The cryptocurrency community is still reeling from a recent market crash that wiped out over 17% of its value. Despite signs of a crypto market rebound, BitMEX co-founder Arthur Hayes has cautioned his 500K X followers about an impending second wave of the crash amid geopolitical tensions in the Middle East. The global crypto market and stock market, including the S&P 500 and NASDAQ, are on an upward trajectory today. Bitcoin, currently trading around $55,000, has increased by over 4% in the past 24 hours. Ethereum (ETH) has similarly shown signs of recovery, rising by over 6.5% during the same period. In addition, Japan’s Nikkei index has also rebounded 10% after a 12% loss in previous sessions. Temporary Respite? Despite these encouraging signs, Hayes remains cautious. He stated that the initial wave of market impact has passed, but warned that this relief might be temporary. He anticipates continued market volatility, affecting both stocks and crypto markets. Hayes stated that the issue of over-leveraged investors in traditional finance (TradFi) will soon become apparent. He believes that this will trigger a second wave of market turmoil. If the US Federal Reserve opts for the bailout, the market might need to endure additional pain by Friday. Investor Sentiment The crypto fear and greed index currently sits at 34, indicating fear among investors. Earlier today, renowned crypto analyst Jason Pizzino remarked on the community’s growing concern about a potential recession. Pizzino pointed out that Bitcoin has faced the largest correction in this bull market, with a $21,000 drop in just seven days. He noted that extreme fear has spread across the markets, and fears of a recession are resurfacing. Despite the bearish outlook, the analyst remains optimistic about the market’s potential for recovery. He acknowledged…

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Filed under: News - @ August 6, 2024 2:14 pm