Since the great fall of Bitcoin’s price from almost $20,000 to just $9,000, a lot of buzz has been going around in the crypto world about the future price of Bitcoin. We know that we can’t talk everyone’s prediction seriously but how can you ignore the prediction of the chief of a major bitcoin derivatives exchange?
Co-founder and CEO of BitMEX – the mercantile exchange of Bitcoin – Arthur Hayes bullishly predicted that the bitcoin in 2018 will reach an unbelievable price of $50,000. The chief of Seychelles-based bitcoin mercantile exchange made the prediction in an interview with CNBC.
This may be quite hard to take in, especially when the current trend of Bitcoin’s value is actually in the negative. As of 17th of May, 2018, the price of bitcoin is standing at about $8,310 after breaking the dreaded $8,800 level on 15th of May, 2018. Although, there is evidence that proves that almost no prediction can be wrong when it comes to bitcoin. As explained by Fundstrat market strategists, the major proportion of gains in the price of bitcoin usually unfold over just a few key days of a whole year.
The Citigroup alum explained his prediction by saying that it is his job to make a prediction, whether they turn out to be true or not is a different matter entirely. The Citigroup alum also explained that he is a volatility trader and makes his money on the volatility in the price of bitcoin. Hayes also said the price of bitcoin is never short on volatility, it has never been.
Hayes bullishly commented that it doesn’t matter to him what the world thinks of bitcoin. If anyone calls it a fraud or anyone predicts that bitcoin will reach a million dollars in the future, it doesn’t matter to him because his job is to match trades.
And when you thoroughly consider BitMEX’s business model, you can see some sense in Hayes’ words. BitMEX, even though focuses more towards retail investors, has quite a few advanced trading features that only the serious cryptocurrency traders would consider exploiting. These features include up to 100x leveraging, derivatives, and margin trading, the features you would only see in an institutional trading platform.
Hayes also told about the cultural differences that have an impact on the market dynamics in Asia mainly because it is believed that Asia is a major origin of the cryptocurrency market. Hayes reflected on this fact by saying that South Korea dominates this market as the people here are no strangers to trading digital assets. And It is true, the current generation of South Korea are very used to of online video games where buying and trading digital assets is a very common thing. Hayes believes that this environment of buying and trading digital assets in video games is very similar to cryptocurrency trading.