MEX founder Arthur Hayes wrote an article on X platform today (27th) predicting the trend of coin. As coin fell below $101,000 on Monday morning, he warned that coin could plummet to the $70,000-$75,000 range in the short term, which could trigger a mini financial crisis.
Hayes hinted in his tweet that the price of coin could see a major correction in the short term, but he still insists on his prediction that coin will reach $250,000 by the end of the year.
The article "The Ugly" (market crash in the first season of 2025) will be published tomorrow morning. I expect $BTC to correct to $70,000-$75,000, triggering a mini financial crisis.
The (US) will resume printing money, which will cause coin to soar to $250,000 by the end of the year.
coin may peak in March
It is worth noting that earlier this month, Arthur Hayes wrote an article analyzing the impact of US dollar liquidity on the price of coin. He said that although Trump's policies may disappoint the market, the Federal Reserve (Fed) and the Treasury Department will inject $612 billion in liquidity into the US dollar in the first quarter, and liquidity will remain quite active, which will bring positive momentum to the crypto market.
However, Arthur Hayes also said that the prosperity of the crypto market may peak at the end of March, as this is the final stage of liquidity injection, and then as the debt ceiling negotiations and the tax season approach, market liquidity will further tighten, similar to the trend in March and April 2024.
Therefore, he suggests starting to gradually sell assets and take a break before the end of March, and wait for liquidity conditions to improve again in the third quarter.
Extended reading: Arthur Hayes: Bitcoin may "peak in March", recommends selling and waiting until Q3, has deployed 7 tokens in the DeSci field
Bitcoin could reach $1 million during Trump's term
In addition, Arthur Hayes has reiterated multiple times since Trump's election that he believes bitcoin will rise to $250,000 by the end of 2025 and reach $1 million during Trump's term.
Although he is not optimistic that Trump will actually fulfill his promise to establish a bitcoin strategic reserve, he expects the Trump administration to strengthen fiscal intervention, pursue a "dollar-weakening" policy, promote the return of US manufacturing and economic growth, and the Republican Party will also subsidize companies through legislation similar to the Chip Act of the Biden government, and allow bank credit growth to surge.
In Arthur Hayes' view, when credit growth reaches a certain level, the Federal Reserve may relax the Supplementary Leverage Ratio (SLR) regulations and launch unlimited quantitative easing, which will provide strong support for hedge assets including bitcoin.
Furthermore, the US needs to invest huge sums of money to narrow the wealth gap, increase defense and medical spending, and provide financing for the return of manufacturing, with an estimated cost of trillions of dollars. In this context, credit expansion and inflationary pressures will increase the demand for fixed-supply assets like bitcoin, which could lead to a bull market similar to 2020-2021, or even stronger, ultimately pushing bitcoin to a historic high of $1 million.
