Matt Hogan, chief investment official in Bitwise, said that President Donald Trump’s executive will have a significant impact on the Bitcoin (BTC) for a period of four years.
While Hogan acknowledged that the market did not completely overcome the tournament, it is expected that any decline is shorter and less intense compared to previous years.
Trump’s executive effect on Bitcoin cycle
In his latest weekly memoirs, Hogan highlighted the president’s executive and pro -concluding transformations in the Securities and Stock Exchange Committee (SEC) supporting bacteria as major stimuli to adopt the prevailing Bitcoin currency.
On January 23, President Trump signed an official order to create a “national digital asset stock”. As a result, encryption flows rose to $ 1.9 billion.
“I created a way for the largest Wall Street banks and investors to move strongly to space.” books.
According to Hojan, the current encryption cycle started in March 2023. This was when Grayscale won a great early victory in its legal battle with SEC on ETF Bitcoin.
ETFS was launched in January 2024, as hundreds of billions of dollars entered the market from new investors. However, Hougan believes that the executive is a catalyst for a more important transformation.
“But the full generalization of encryption – which gives up Trump’s executive order, embraces banks along with other assets, Stablecoins is widely integrated into the ecosystems of global payments, and the largest institutions to establish encryption jobs -,” Reading note.
It is worth noting that the four -year Bitcoin cycle is a pattern led by half. The price usually tests the stage of accumulation of landing. This is followed by an emerging market due to the decrease in supply and then the bear market after the peak. This course is repeated almost every four years, as the mass bonus of mines has decreased by half.
BTC suffered from contraction in 2014, 2018 and 2022. If this pattern continues, the following withdrawal may occur in 2026. Nevertheless, Hugan remained optimistic about the long -term Crypto path.
“The encryption space is ripe. There is a larger variety of buyers and investors in the value more than ever. I expect volatility, but I am not sure that I will bet against Crypto in 2026,” Hougan admitted.
He also expected the year 2025 to be positive for encryption.
“We are in the registry expecting that the price of bitcoin will double this year to more than $ 200,000, driven by flows to the traded investment funds and bitcoin purchases by companies and governments,” CIO said.
However, Hogan added that expectations may be conservative. Finally, he pointed out that the effect of Trump’s executive and the broader regulatory transformations will reveal for years instead of the most famous.
According to Hojan, the creation of a new regulatory framework for encryption will take at least a year. Moreover, Wall Street companies may require more time to adapt.
Meanwhile, the information manager stated that the leverage will be built, and the abuses will appear, and bad actors will appear. This may lead to severe withdrawal.
However, Hogan believes that any correction is likely to be “shorter” and “shallow”. This is due to the entitlement of the encryption market and a more diverse and value -based investor base.
Disintegration
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