Bitcoin

Arthur Hayes Drops A Hint That Bitcoin Will Soon Reach $1 Million

05/13/2023
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Table of contents

  1. Fed ponders urgent rescue for failing First Republic Bank – former BitMEX CEO
Despite the looming global banking crisis, Bitcoin (BTC) has been able to experience a significant increase. While a number of major banks have failed, the price of Bitcoin has increased by a staggering 26%. The co-founder of the cryptocurrency exchange BitMEX, on the other hand, continues to support his prediction that the financial crisis will cause Bitcoin to reach $1 million in value.

Fed ponders urgent rescue for failing First Republic Bank – former BitMEX CEO

According to reports, U.S. officials are discussing urgent rescue plans for the failing First Republic Bank (NYSE: FRC). Arthur Hayes, the former CEO of BitMEX, stated that the Federal Deposit Insurance Corporation (FDIC) is on the verge of a historic slump for yet another US bank.

Hayes mentioned that the issue with the First Republic Bank is the balance sheet holding few treasuries and a lot of commercial real estate loans. However, these loans are not eligible collateral for the banking funding program. He added that the banking funding program will likely allow other types of loans to be exchanged for newly printed dollars over the weekend until a bank decides to bail out the FRC. Hayes anticipates that the rising situation will push the price of Bitcoin to $1 million. As more than a few trillion new dollars are printed and put into circulation, Bitcoin will gain yet another advantage. He went on to say that by backing up a larger portion of the US bank balance sheet, the Fed will lead to a solution to the problem.

Source: https://www.cryptoknowmics.com/news/arthur-hayes-drops-a-hint-that-bitcoin-will-soon-reach-1-million