Despite ongoing challenges on the cryptocurrency market, including a recent SEC crackdown on two major exchanges, former BitMEX CEO and renowned cryptocurrency enthusiast Arthur Hayes has made a bullish prediction for Bitcoin.
In a tweet on Monday, Hayes stated that the "wall of worry is being climbed," encouraging his followers to join him on the "bull market bus" for Bitcoin.
This came amid a marketwide decline that saw Bitcoin plunge 5.9% in 24 hours, dropping to nearly $25,600 from its Sunday evening peak of $27,455.
The tweet from Hayes, a notable figure in the cryptocurrency industry, signals defiant optimism in a market that has been hit hard recently.
Cryptocurrency prices have been volatile this week following news of SEC lawsuits against two leading exchanges, Binance and Coinbase, causing significant concern among investors. Yet, in spite of these market tremors, Bitcoin experienced a slight recovery by Wednesday, pushing its value up to $26,791.
These lawsuits are particularly concerning for the future of the industry. The SEC accused Binance of improperly handling customers' funds and enticing U.S. customers who are not permitted to trade on the platform. As for Coinbase, which boasts a significant U.S. customer base, the SEC alleged the exchange has been trading cryptocurrencies that should be registered as securities.
The outcome of these lawsuits could set a significant precedent for the future of cryptocurrencies. If the courts rule in favor of the SEC, indicating that many digital assets should indeed be considered securities, this could fundamentally alter how cryptocurrencies are regulated, potentially giving the SEC jurisdiction over them.