BitMEX founder Arthur Hayes analyzed which altcoin project will explode the most in the next crypto cycle. Hayes also explained the methodology he used when selecting projects. Here are the details…
This is how Arthur Hayes chooses altcoin projects to invest in
In a new interview with Real Vision, Hayes shared his strategy for choosing altcoins. He states that he is looking for projects that are acceptable and credible enough to survive in the long run. He says he’s scanning the market for these. When he looks at the top 20 by market cap, he says he asks specific questions about bearish coins. “If it has dropped 95 percent, will it survive until the next cycle? Will it survive the next two years? How much money did they raise? If your answer is yes, buy it.
He states that the coins will go down to zero at worst, and increase between 10 and 20 times in the best case. So Hayes states that when the next cycle begins, the projects that fall the most will rise the most. In general, he states that most of the projects will fail. Therefore, “you don’t really care, it’s really just a numbers game.” says.
Have we seen the bottom level in the market?
As for the current market bottom, Hayes says it’s impossible to know for sure. However, he believes that the market is near the bottom. He states that the real question right now is how long prices will stay low. The expert says:
I think we’re around the bottom. Will Bitcoin bottom out at $17,000 or $18,000? It’s not certain. Do we think it will go much lower than that? It probably won’t fall.
Hayes touches on the possibilities of selling in BTC, saying that the largest respected hedge funds and entrepreneurs are experiencing financial difficulties. It also suggests that miners made a hefty sale. “So my view is there is a society that didn’t have to sell a month and a half ago, two months ago, now that we’re back on the same level, it has to sell today,” he says. He states that he believes we have hit rock bottom since he did not see the intensity of trade. “We may not be here for a while, we may be here for a while. That doesn’t mean we’re going up any time soon,” he concludes the interview.
What is the latest situation in the market?
Meanwhile, Bitcoin and other cryptocurrencies entered the weekend with a slight decline, as we reported on Cryptokoin.com. The primary cryptocurrency has been pretty quiet lately. But everything changed when the US released its latest CPI figures. BTC stayed at $19,000 before falling violently to a multi-week low of $18,200. But that was only the beginning of the rollercoaster. The asset skyrocketed by almost $2,000 to reach $20,000. This became the highest price tag in about a week but did not last long. Rather than retrace this level, bears emerged and forced BTC downward. Because of this, the cryptocurrency found itself falling back to $19,000.
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