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- BitMEX former CEO Arthur Hayes believes the US election in November is good for Bitcoin.
- He projected softer economic policies irrespective of who wins.
BitMEX co-founder Arthur Hayes thinks that more money would be printed and released into the economy in anticipation of the forthcoming US Presidential election. He also talked about what this scenario would hold for the price of Bitcoin (BTC).
Monetary Policy Might Shift
In a recent YouTube interview, Hayes stated that the election would lead to looser monetary policies. According to the co-founder, in his bid for re-election, President Biden will likely adopt measures to stimulate the economy.
He noted, “You can look at the previous halvings and anywhere between 4 to 18 months later you get a new all-time high. The more important thing is that the major economies around the world are going to print even more money between now and, say, the next 18 to 24 months.”
He elaborated that current U.S. leaders are likely to implement strategies to reduce government borrowing costs, thereby enabling the distribution of financial incentives to voters. He says, this move historically aligns with economic stimulation and potentially drives the price of Bitcoin upward.
Hayes speculated on the monetary tactics that could be employed by key figures. These include U.S. Treasury Secretary Janet Yellen and Federal Reserve Chair Jerome Powell. He opined that these leaders would prioritize fiscal policies to support President Joe Biden’s re-election campaign.
“Janet Yellen and Jerome Powell are doing everything they can to make sure that Joe Biden gets reelected. And that basically means how do I reduce the cost of government borrowing so that he and his Democratic Party can hand out more goodies to the electorate and get reelected?” Hayes stated.
Arthur Hayes Bullish on Bitcoin
Hayes claims the election will be a net positive for Bitcoin and the broader crypto market, regardless of who wins. He believes the bull market will continue, therefore, he advised people with fiat currencies to dive into the market.
The co-founder also delved into the impact of M2, a macro indicator on the price of Bitcoin. When asked if M2 needs to go up for Bitcoin to continue its bullish movement, Hayes says M2 has a problem of not capturing everything used as credit money in the economy.
According to him, M2 has been flat for a while, however, gold and crypto have been doing well.
While he believes M2 is a good indicator, he explained that it cannot be used as a guaranteed measure for Bitcoin’s potential bullish movement.
Per Crypto News Flash’s earlier announcement, Hayes says Bitcoin’s price would not stop at $100,000, following the recent halving event. Meanwhile, Bitcoin is currently trading at $61,824, demonstrating a 1.5% decrease in the past 24 hours. The premier coin boasts of a trading volume pegged at $26 billion.
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Influence of ETF Issuers on Bitcoin’s Price
Hayes believes institutional investors would have an impact on Bitcoin’s bullish future price movement. According to him, issuers of spot Bitcoin Exchange-Traded Funds (ETF) will continue to advertise their products to continue to stay in the game.
As formerly reported by Crypto News Flash, Susquehanna International Group accumulated over $1 billion worth of Bitcoin ETF shares during the first quarter of 2024. This highlights the increasing adoption of crypto by institutional players.
