Arthur Hayes reduced his crypto holdings as weak job data signals a possible Bitcoin correction to $100,000.
Bitcoin and Ethereum prices drop as low credit growth and job market strain weigh on investor confidence.
Institutional crypto inflows stay strong but the market remains focused on Bitcoin and Ethereum for now.
Arthur Hayes, BitMEX Co founder has reduced his crypto exposure. Recent on-chain data reveals Hayes sold over $13 million in digital assets. The transactions include $8.32 million in ETH, $4.62 million in Ethena (ENA), and $414,700 in meme token PEPE. His wallet now holds $28.3 million, with $22.95 million converted to USDC, according to Arkham Intelligence.
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The sell-off suggests a strategic shift ahead of what Hayes expects to be a challenging economic quarter. The broader crypto market has taken note, especially given Hayes’ influence in the space.
Job Market and Credit Data Signal Weakness
Hayes pointed to soft U.S. employment numbers as a warning sign. The Non-Farm Payrolls released in July had added 73,000 jobs below the expectation. Investors were cautious since the poor hiring indicates that there might be strain on the economy. The resulting effect of slower job growth is often a decline in consumer spending and investor confidence.
At the same time, global credit growth remains subdued. Hayes highlighted the lack of credit expansion in major economies. Sluggish credit can stall economic momentum, putting pressure on both traditional and digital assets.
Bitcoin and Ethereum Prices Show Strain
Bitcoin is currently down over 7% from its all-time high of $123,000 recorded on July 14. A drop to $100,000 would reflect an 18.7% correction. Ethereum has also suffered setbacks after dropping over 12% having reached a high of almost $3900. According to Hayes, Ether may fall back to about $3000 in the short run.
The cooling momentum contrasts with recent optimism from market analysts. According to some experts, the high volatility of Bitcoin prices is improving. However, Hayes’ actions suggest a more cautious stance on the near-term direction.
Institutional Trends Continue Despite Volatility
Despite the pullback, institutional interest in crypto remains strong. Corporate treasuries have committed over $86 billion to digital assets in 2025. Analysts estimate more than $60 billion in new institutional capital entered the market this year.
Bitcoin’s dominance still holds above 60%, showing that capital remains concentrated in top-tier assets. Meanwhile, the Altcoin Season Index stays low at 36. Broader market participation appears limited which signals hesitation outside of Bitcoin and Ethereum.
Hayes added that the tariff impact could also affect markets during Q3. The risk sentiment is negatively affected by slowing trade activity, inflationary pressure, and increased borrowing rates. Shareholders can react by decreasing investments in risky assets such as crypto.
