Emre Yumlu 
Bitcoin’s recent slip below the $100,000 mark has triggered concern among investors, but two major figures in the crypto world former BitMEX CEO Arthur Hayes and Bitwise CIO Matt Hougan continue to project optimism for the market’s long-term trajectory.
Bitcoin Falls Below $100,000
The world’s leading cryptocurrency has dipped to its lowest level since June, breaking below the $100,000 threshold. The move has raised fears of a deeper market correction among retail investors. However, Matt Hougan of Bitwise sees the downturn differently. He describes it as “the peak of retail capitulation,” suggesting that panic selling among individual traders is nearing exhaustion.
Speaking to CNBC’s Crypto World, Hougan noted, “Crypto retail sentiment is more depressed than I’ve ever seen. We’ve witnessed leverage washouts, and the market feels completely drained of optimism.”
Despite this, Hougan believes the broader market remains fundamentally strong. “When I talk to institutions and financial advisers, the enthusiasm is still there. Looking at a one-year chart, Bitcoin continues to deliver robust returns,” he said. Hougan also suggested that institutional demand could soon drive prices higher, projecting that Bitcoin could end the year in the $125,000–$130,000 range.
Arthur Hayes Predicts “Stealth QE” From the Fed
While Hougan focuses on investor sentiment, Arthur Hayes emphasizes liquidity as the primary force behind Bitcoin’s next rally. In his November 4 essay, Hayes argued that the United States’ rising debt levels will ultimately compel the Federal Reserve to expand its balance sheet — a process he refers to as “stealth quantitative easing” (stealth QE).
According to Hayes, the Fed will use its Standing Repo Facility to inject liquidity into the financial system and indirectly support Treasury financing. Although not an official QE program, he believes this mechanism will have a similar impact by increasing the money supply.
“As the Fed’s balance sheet grows, it creates dollar liquidity, which inevitably pushes Bitcoin and other crypto assets higher,” Hayes wrote, predicting that this “quiet liquidity creation” could reignite the next major bull run.
Has Bitcoin Entered a Bear Market?
According to Mosaic Asset and The Kobeissi Letter, Bitcoin has officially entered bear market territory after declining more than 20% from its all-time high on October 6. Some traders, including investor Ted Pillows, have warned that prices could fall further, possibly testing the $92,000 CME gap if the $100,000 support fails to hold.
Despite short-term volatility, both Hayes and Hougan believe the long-term setup for Bitcoin remains favorable. They argue that once panic selling subsides and liquidity conditions improve, Bitcoin could regain momentum — setting the stage for its next upward cycle.
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