Bitcoin is back hitting $40k, its important level after the GBTC ETF sell-off. And the big question now is will there be a bull market before the halving? Arthur Hayes and Chris Burniske think otherwise.

Chris Burniske, a partner at Placeholder and former crypto lead at ARK Invest predicts that Bitcoin (BTC) could drop to at least $30,000 – $36,000 before reaching a local bottom and showed the possibility of testing the mid-to-high $20,000 range. Which could be very bad for the BTC investors. Burniske highlighted in his Tweets the potential factors related to “micro adoption” and “new product development”.

Arthur Hayes, co-founder and former CEO of BitMEX, thinks that the falling price of BTC after the launch of the BTC ETF is a “cautionary sign” for the cryptocurrency. He stated that the correlation between Bitcoin reaching its current level and the 2-year US treasury hitting a dip of 4.14% this month. Hayes blamed Bitcoin’s dipping level and thought that it was due to the “TradFi mini-financial crisis.” He argued that the Fed would let its Bank Term Funding Program expire in March instead of renewing it forcing it to resume money printing to bail out struggling regional banks. 

Bitcoin often rallies on expectations of Fed policy. But Hayes insisted that bitcoin is flashing warning signs that the Fed won’t be at rescue this time. He added that once Bitcoin hits below $35,000 he’ll scoop up discounted coins ahead of an eventual Fed policy reversal.

Despite Hayes and Burniske’s sentiments, the crypto community, analysts, and crypto investors are still looking forward to Bitcoin’s long-term value and think that greater upside gains usually follow these price changes.

Bitcoin’s (BTC) price is down by 0.67% today priced at $42,318 with a 24-hour trading volume of $14.92 billion still ranking at #1.