Former BitMEX CEO Arthur Hayes warns of a potential short-term crypto market crash linked to upcoming interest rate cuts by the US Federal Reserve (Fed).
Hayes believes the Fed's decision to cut rates is a mistake given the increased money printing and spending by the US government.
He predicts that the market will collapse a few days after the Fed's rate cut, citing the potential narrowing of the interest rate differential between USD and JPY.
Hayes highlights that investors may prefer holding government-backed Treasury Bills during market turmoil rather than riskier decentralized finance (DeFi) applications.