With Donald Trump's victory, analysts predict a rise in the price of Bitcoin (BTC) for the coming months. This is also the case for Arthur Hayes, the founder of BitMEX, who believes that the cryptocurrency could well cross the million dollar mark in the medium term.
Bitcoin (BTC) at $1 million in the coming years according to Arthur Hayes
In recent days, the price of Bitcoin (BTC) is in full swing. Cryptocurrency saw its price jump by almost 35% since the beginning of November, reaching even its ATH at $93,477.11. However, for Arthur Hayes, the founder of BitMEX, BTC has not yet reached its full potential.
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While many analysts and members of the crypto community believe that Bitcoin can cross the milestone of 100,000 dollars by the end of the yearArthur Hayes thinks bigger. For him, BTC will reach 1 million dollars in the coming years thanks to Donald Trump's policy which will make it ” the most important currency in history “.
Arthur Hayes indicated that he based his analysis on the fact that the possibilities of bank credits would increase during the mandate of Donald Trump, the latter seeking to reorganize American industry.
For him, this expansion of the supply of bank credits will take place when industry players seek to obtain subsidies to carry out their projects. “ However, these loans will erode the equity reserves of American lenders, which will likely prompt the Federal Reserve to intervenewhich, one thing leading to another, could weaken the dollar » he explains.
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The crypto market could benefit from an economic situation similar to that of the Covid-19 pandemic
Therefore, the cryptocurrency market will inevitably benefit from this situation, » predicts the founder of BitMEX. To support his remarks, Arthur Hayes referred to American economic policy implemented during the Covid-19 pandemic which led to the establishment of a recovery plan of 4,000 billion dollars.
“ During this period, Bitcoin price surpassed $60,000while it was worth less than $3,800 at the beginning of 2019, before the pandemic, i.e. almost 18 times more, » he insists.
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So, Arthur Hayes thinks a similar rise could happen for Bitcoin if Donald Trump were to introduce a similar recovery plan of several trillion dollars in order to reduce the country's debt to 2008 levels. “ This is how Bitcoin will exceed the million dollar mark, » concludes Arthur Hayes.
In addition to this hypothesis, other arguments support the fact that the price of BTC can continue to rise : the next creation a strategic reserve in Bitcoin and a clear legislative framework in the United States, the use of cryptocurrency as a reserve asset in the private sector, or the dedollarization movement coupled with ever-present inflation.
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Source: Arthur Hayes Blog
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Surprised by the rise of crypto-assets at the end of the 2010s, I began to closely follow this sector which fascinates me to the greatest extent. When I'm not in football stadiums, rugby stadiums or handball halls, I work on writing relevant articles around cryptocurrencies and more broadly, Web3.
Zacharie Tazrout
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