Arthur Hayes, former CEO of BitMEX, has raised concerns about Bitcoin's future, suggesting that Donald Trump's administration might induce significant fluctuations in the cryptocurrency's value.
Hayes Doubtful Over Trump's Policy Implementation
Arthur Hayes expressed doubts about Donald Trump's ability to fulfill his ambitious cryptocurrency-related promises. He stated that the administration would have only 12 months to achieve these objectives amid significant political challenges, notably the upcoming 2026 elections, which Hayes predicts could hinder meaningful changes.
Bitcoin Reserve Unlikely?
Hayes dismissed the possibility of a U.S. Bitcoin reserve, stating it is unlikely to materialize. He emphasized that the threat of such a reserve could trigger buying pressure. While long-term Bitcoin holders might sell at high prices, Hayes argues that funds are more likely to be used for populist measures ahead of elections.
Rapid Devaluation Of USD
Hayes forecasts that Trump's administration might launch a rapid devaluation of the U.S. dollar, potentially through a dollar-to-gold devaluation in the first half of 2025. This move aims to bolster U.S. economic competitiveness and support the Republican agenda. Hayes also predicts that Chinese investors might gain access to Bitcoin ETFs in Hong Kong and that EU leaders could secretly acquire cryptocurrencies amid inflation.
Despite Hayes' long-term optimism for Bitcoin, he cautions that its path to peaks will be marked by significant volatility.
