Arthur Hayes: Bitcoin’s Plunge Linked to Dollar Liquidity Shock

Bitcoin has experienced a dramatic 25% drop in price since early October, according to Arthur Hayes, co-founder of BitMEX. He attributes this volatility to sudden contraction in U.S. dollar liquidity. Hayes emphasizes that Bitcoin prices are directly influenced by shifts in market liquidity, not political rhetoric or news cycles. This shift has caused a sharp decline in the cryptocurrency’s value, which he believes reflects tighter global monetary conditions.