Arthur Hayes, co-founder and former CEO of cryptocurrency exchange BitMEX, has made a significant move by selling his Solana (SOL) holdings and purchasing more Ethereum (ETH), with a bold prediction that ETH will rise to $5,000. Known for his timely market calls, Hayes shared his actions and expectations on his personal X (formerly Twitter) account, expressing a meditative revelation that prompted him to switch from SOL to ETH.
At the time of writing, Ethereum is trading at $2,260, meaning Hayes anticipates more than a 120% increase in its value. His forecast for the leading altcoin to hit $5,000 represents a substantial gain and reflects his confidence in Ethereum’s potential growth.
Meanwhile, Solana’s SOL, which Hayes has divested from, recently hit the $100 mark. Despite a slight pullback, SOL is trading at $98.72, marking a 17.60% increase over the last 24 hours. After taking a severe hit following the collapse of the FTX exchange in November 2022, which saw its price plummet to $8, SOL has now rebounded to levels seen in April 2022.
This remarkable recovery has propelled SOL to a market capitalization of $42 billion, making it the fourth-largest cryptocurrency. Market observers and analysts consider the $100 level a significant threshold for SOL, suggesting that surpassing this mark could lead to a stronger upward momentum.
However, experts caution that the current rally might have reached a point of exuberance, advising investors to remain vigilant. The crypto market is known for its volatility, and while bullish trends can lead to substantial profits, they also pose risks of sharp corrections.
Hayes’ decision to increase his ETH holdings and his optimistic price target have caught the attention of the crypto community, as investors and enthusiasts watch closely to see if Ethereum will indeed reach the heights he predicts.