Arthur Hayes Says Macro Conditions Matter More Than Technical Indicators for Bitcoin
Summary
- BitMEX co-founder Arthur Hayes said he rarely uses technical indicators when investing in Bitcoin.
- Hayes said he mainly relies on macro indicators such as moves in the U.S. stock market and broader market sentiment when making Bitcoin investment decisions.
- He said that if U.S. stocks swing sharply, Bitcoin could be among the first assets to face selling pressure as leveraged investors are hit with margin calls.
Forecast Trend Report by Period
BitMEX co-founder Arthur Hayes said he makes little use of technical indicators when investing in Bitcoin, relying instead on macro signals such as moves in U.S. stocks and broader market sentiment.
Wu Blockchain reported on Sept. 12 that Hayes said in an interview last month he "rarely" conducts technical analysis on Bitcoin. He added that he mainly looks at broader market trends because Bitcoin is currently tracking U.S. equities to a significant degree.
Hayes also said Bitcoin would be hard-pressed to escape selling pressure if U.S. stocks were to tumble sharply.
"If the stock market breaks down, margin calls hit investors holding similar assets with leverage," he said. "In that case, investors sell the assets that are easiest to liquidate first, and Bitcoin could be among the first to be sold."
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