Arthur Hayes said he is prepared for “insane drawdowns” on his positions
Arthur Hayes said he is prepared for “insane drawdowns” on his positions
Arthur Hayes, co-founder and former CEO of cryptocurrency exchange BitMEX, has signaled his readiness to weather severe market fluctuations, expressing confidence in his investment positions despite potential heavy losses.
Writing in his latest blog post, Hayes acknowledged the possibility of "insane drawdowns" as part of his strategy, indicating that he is prepared to endure significant short-term volatility to maintain his long-term outlook on the markets.
Hayes discussed the fragility of current economic and market conditions, warning of potential risks that could shake both traditional and cryptocurrency markets. The former BitMEX chief emphasized that in times of persistent volatility, patience is essential, especially when pursuing investments driven by strong conviction. His message highlights the mental resilience required to handle market downturns, which he suggests are inevitable in the pursuit of long-term returns.
Hays has published his thoughts and recommendations on investing in the current market conditions. In “Persistent Weak Layer,” he described how he is building his crypto portfolio with the risk of an escalating war between Israel and Iran in mind.
Loading...
For example, he raised the question of whether to keep selling fiat to buy cryptocurrency or to reduce his cryptocurrency exposure and focus on cash or U.S. Treasuries.
Hayes' willingness to endure deep corrections reflects a broader trend among crypto market veterans who remain bullish on the long-term prospects of digital assets, despite frequent and sometimes drastic fluctuations. Investors and analysts will be closely monitoring how Hayes navigates this uncertain environment, as his decisions often serve as a barometer for broader sentiment within the cryptocurrency space.
With markets facing mounting pressure from macroeconomic factors and regulatory uncertainties, Hayes' approach suggests that strategic perseverance may be key to riding out the turbulence ahead.
Read also: Italy to raise taxes on cryptocurrency in a record-breaking move
