The crypto market is feeling the fear again as Bitcoin dipped below $56,000. BitMEX co-founder Arthur Hayes thinks it could drop even more, possibly falling below $50,000 over the weekend.
The Crypto Fear & Greed Index, which shows how people are feeling about the market, scored a 22 on September 6, marking “extreme fear.” This is a drop from the day before, which was already at “fear” with a score of 29. The last time it got this low was on August 8, and it’s the first time since August 12 that it’s hit the “extreme fear” zone again.
Right now, Bitcoin is down 2.7% in the last 24 hours, reaching a low of $55,838 after falling from over $58,000, wiping out about $29.7 billion from its market cap. It has since bounced back a bit and is now trading at $56,533.
Hayes commented in a post on September 6, “Bitcoin is feeling heavy. I’m betting it goes under $50k this weekend. Took a little short position.”
Meanwhile, Bitcoin has been having a hard time gaining momentum due to worries about a slow U.S. economy. The jobs report from September 5 didn’t meet what economists were hoping for, and it’s added to the concerns about a possible Federal Reserve interest rate cut.
In my opinion, The FED won’t let the global economy stay sluggish forever. There will come a time when interest rates will be lowered. The most important thing is, are we ready for it?
Editor: Lydicius
