Traders and investors were kept on edge as the price of Berachain plummeted by 14% in a single day, Arthur Hayes analyzes the crash.
Against broader market volatility, Berachain’s price is experiencing significant pressure, with a 14% decline in a single day. After reaching a peak of $15, the market has recently experienced a decrease in popularity, with prices currently trading at $5. In response, traders and investors doubt the asset’s ability to generate future gains. At the same time, Arthur Hayes, the co-founder of BitMEX, has offered additional insights into the price decline.
Arthur Hayes Comments on Berachain Price Slump
The price of Berachain experienced a significant intraday decline of 14% and was trading at $5.02 at the time of publication. The 24-hour low and peak of the coin were $4.76 and $5.93, respectively. It is important to note that the token experienced a decline in the context of a broader crypto market downturn, following a 400% increase in a week.
A renowned market expert, Arthur Hayes, has been compelled to address the matter due to the alarming price decline. Hayes declared, “All of you shitcoin founders are on the brink of TGE.” Collaborate with your exchange counterparties and makers to establish the market at reduced prices.
It is important to note that the BitMEX co-founder believes that the collapse is a consequence of the asset’s exorbitant price rather than the project’s lack of utility. These statements echoed the ambiguity surrounding the prospects of BERA price.
A prominent market expert has entered the fray.
Concurrently, the statements of Hayes regarding X were further bolstered by the renowned market expert Michaël van de Poppe. Michaël believes listing at reduced valuations is key to establishing an organic chart.
Subsequently, market analysts continue to raise concerns regarding the long-term sustainability of Berachain as a cryptocurrency initiative. Michaël concluded, “Ultimately, this results in VC rounds at significantly lower valuations in the coming years.”
Supply Unlock Increases Pressure on Berachain’s Price
In the interim, the coin’s price is under pressure due to an additional adverse market factor. Today, 2.6% of the total BERA supply is unlocked, as indicated by the ‘Orderly Network’ DEX on X. Even future movements are at risk due to the token’s current price collapse, further aligned with the increased supply pressure.
Simon, the CEO of Moonrock Capital, a blockchain advisory and investment firm, also commented on X, emphasizing that the coin has declined by nearly 70% from its apogee. The CEO stated, “Another prime example of why airdrops are nothing but bullshit.” This statement has prompted bearish concerns regarding the asset’s price despite the BERA listings and TGE gaining significant traction in the market.
