Hayes Sees Ethereum Reaching $5,000 Amid Underexposure and Liquidity
Arthur Hayes, Chief Investment Officer of Maelstrom, has reiterated his bullish stance on Ethereum (CRYPTO: ETH). He told Laura Shin on the Unchained podcast that he expects the altcoin to hit $5,000 by year-end, with a risk-reward ratio better than for Bitcoin (BTC).
In an interview published on August 20th, Hayes emphasized that his investment thesis does not hinge on Ethereum's Layer-2 roadmap, Ethereum Foundation decisions, technology or tokenomics. Instead, he sees the altcoin as the 'most hated' large-cap cryptocurrency with a significant opportunity for growth due to underexposure and liquidity.
Hayes believes that U.S. Treasury actions and the expansion of the Federal Reserve's balance sheet will inject additional liquidity into financial markets, benefiting cryptocurrencies like ETH and BTC. He noted that Ethereum remains liquid enough for institutional investors and large funds to establish significant positions, making it an attractive investment opportunity.