Arthur Hayes said that market liquidity has started to improve and confirmed that the Federal Reserve’s quantitative tightening cycle will effectively end on December 1. He noted that this Wednesday could mark the final reduction in the Fed’s balance sheet before policy conditions shift.
Hayes also pointed out that U.S. banks increased lending in November, which is typically a signal of easing financial pressure in the system. In his view, Bitcoin will continue to trade below $90,000 in the short term and could retest the lower end of the $80,000 range.
However, he believes the $80,000 level will act as firm support, with liquidity conditions improving enough to prevent a deeper breakdown.
