- Arthur Hayes sold ETH expecting a price drop, only to buy back at a much higher price.
- His miscalculation led to a $1.7M missed profit opportunity.
- Hayes has now vowed to hold ETH long-term, avoiding short-term trades.
Arthur Hayes, co-founder of the now-defunct BitMEX exchange, recently faced a costly lesson in market timing. In late July 2025, Hayes sold 2,373 ETH at approximately $3,507 each, locking in what he believed were timely profits ahead of a potential downturn.
Determined not to miss out on further gains, Hayes moved $10.5 million USDC to repurchase ETH at around $4,225—over $700 more than his original selling price.
From Profit to Pitfall: Arthur Hayes’ Costly Ethereum Rebuy
Hayes’ trading strategy was initially based on logical caution. With the U.S. Federal Reserve holding interest rates steady and political uncertainty on the rise, he anticipated a downturn that could bring ETH closer to $3,000. This conviction prompted him to offload a significant portion of his holdings, alongside other tokens, in what he viewed as prudent risk management.
However, the crypto market’s notoriously unpredictable nature quickly undermined this plan. Ethereum’s price rallied strongly on renewed investor optimism, breaking a multi-year high and sparking fresh buying interest across the sector. Institutional activity further amplified the uptrend, pushing prices higher at a pace that caught many traders off guard.
Hayes’ re-entry into the market was as public as his exit. He posted a chart on social media and tagged prominent Ethereum supporters, asking for “forgiveness” while jokingly swearing never to take profits again. While lighthearted, the statement reflects a deeper acknowledgment of the psychological traps traders face—particularly fear of missing out (FOMO).
This episode reinforces that even seasoned market veterans are vulnerable to misjudging short-term movements. For traders and investors, Hayes’ experience is a reminder of the importance of aligning strategies with long-term conviction and resisting reactive decision-making driven by sudden market swings.
Arthur Hayes’ $1.7M Ethereum slip-up shows that timing the market remains one of the most difficult—and costly—challenges in crypto trading.
“In investing, what is comfortable is rarely profitable.” — Robert Arnott
