The Chinese calendar will change on 25th January, and the world’s most populated country will celebrate the beginning of a new year. The Chinese holiday season could have a direct impact on bitcoin’s volatility and volumes, according to BitMex’s CEO Arthur Hayes.
Bitcoin is likely to crash this weekend.
Several analysts and experts are of the opinion that the price of bitcoin will crash this weekend because of the widely celebrated Chinese new year on 25th January. So far this year, the price of bitcoin has been on a positive rally. The price of the leading cryptocurrency started the year with below $7,000 mark and went above $9,000 past week. Arthur Hayes tweeted, “the year if rat starts this weekend. Time for bitcoin volatility and volume to nose dive.”
新年快乐 The year of the rat starts this weekend. Time for #Bitcoin volatility and volumes to nose dive.
— Arthur Hayes (@CryptoHayes) January 23, 2020
Bitcoin falls below the $8,500 mark.
At the time of writing bitcoin is trading at just below $8,500. The short term prediction of bitcoin is bearish as the Chinese new year is almost here. However, a prominent analyst, Alex Kruger, made a different case, then Arthur Hayes. Alex tweeted that Some think the Chinese New Year may impact $BTC negatively, as people sell bitcoin to purchase presents. Chinese New Year starts with the 2nd new moon after the winter solstice. He added that data does not under perform preceding the Chinese NY.
Some think the Chinese New Year may impact $BTC negatively, as people sells bitcoin to purchase presents.
Chinese New Year starts with the 2nd new moon after the winter solstice. This year it falls on Jan/25.
— Alex Krüger (@krugermacro) January 17, 2020