Bitcoin (BTC) Price Will Explode to Over US$1 Million by the End of 2028, Says Arthur Hayes

The price of Bitcoin is set to surge to over US$1 million (AU$1.55 million) by the end of 2028

The price of Bitcoin (BTC) is set to surge to over US$1 million (AU$1.55 million) by the end of 2028, according to Arthur Hayes, the outspoken co-founder and former CEO of crypto exchange BitMex.

In a May 15 blog post, Hayes explained his theory that global economic conditions are aligning to create a perfect storm that could see Bitcoin’s price explode. In particular, Hayes argues that “foreign capital repatriation” and the “devaluation” of US Treasuries will drive investors to Bitcoin as a safe-haven asset, as other more traditional asset classes begin to struggle.

This flight to Bitcoin will occur before the end of 2028 because that’s when the next US presidential election takes place, according to the former BitMex chief, who said now is the time for investors to take their chances on Bitcoin while the pro-crypto Trump administration remains in power.

“We know that Team Trump views Bitcoin positively due to the changes initiated at the various regulatory agencies. We also know that they are aware of the Chinese population’s participation in Bitcoin, which bodes well for the cryptocurrency in the long run because the Chinese government is an economic powerhouse and its citizens are quick to adopt new technologies and trends. Finally, we can assume that they are not blind to the growing interest in Bitcoin among younger generations in the US and around the world,” Hayes wrote.

“Therefore, I believe that the Trump administration would be supportive of anything that could benefit the American people economically, especially during a time of crisis. Allowing Americans to use the Bitcoin global capital life boat would certainly be viewed favorably by the administration, especially if it meant saving the country from a macroeconomic collapse.”

Global Economic Policies Will Push Investors Towards Bitcoin, Says Hayes

According to Hayes, macroeconomic factors such as the war in Ukraine, the US Federal Reserve's monetary policy, and the Chinese government's economic priorities are converging to create an environment where traditional financial assets, such as US treasuries, will be devalued.

This devaluation will lead to governments implementing “capital controls” to prioritize investment in their domestic industries and prop up their economies, which will also limit investors' access to foreign investments. However, Hayes said that this will not apply to Bitcoin.

“As long as there is the internet, you will be able to sell fiat for Bitcoin. Even if centralized exchanges are banned, or banks are forbidden from processing Bitcoin-related transactions, you will still be able to exchange fiat for Bitcoin. I am confident of this because of how things work in China,” he said.

China has effectively banned Bitcoin trading since 2017, but Chinese investors still trade Bitcoin peer-to-peer as the government has limited power to control this kind of trading.

“If the Trump administration wanted to prevent the American people from using the Bitcoin life boat, they would have to intervene directly and ban cryptocurrencies entirely, which seems unlikely given their previous statements and actions. After all, why would they want to stop the American people from accessing a useful asset class that could help them during a time of need?” said Hayes.

“The time is now to make hay while the sun king takes a shine to Bitcoin. We can only hope that he continues to do so, and that we, the subjects of his reign, will be able to benefit from his favor.”

Of course, there’s no shortage of high-profile crypto investors happy to tell you what they think the future holds. Last September, Michael Saylor — perhaps the world’s most bullish Bitcoin bull — predicted a Bitcoin price of US$13 million (AU$20.3 million) within 20 years. And last March, Cathie Wood, the CEO of Ark Invest, disclosed that her company now forecasts Bitcoin breaking US$1 million before 2030.