Donald Trump, the real danger for cryptos?

Arthur Hayes, the man who dropped Bitcoin for Solana, is not one to go with the flow, and his latest warning is not an insignificant detail.

BitMEX co-founder Arthur Hayes is known for making bold predictions about the crypto market. This time, he’s warning that Donald Trump’s inauguration could spark a crypto market crash.

While many are expecting favorable political developments for crypto assets, Hayes seems to be swimming against the tide. His strategy? Reduce his short-term positions to return to lower prices in 2025.

Donald Trump, the real threat to cryptos?

Arthur Hayes, the man who dropped Bitcoin for Solana, is not one to follow the crowd, and his latest warning is not to be overlooked. Donald Trump’s inauguration could shake the crypto market much more violently than expected. As everyone sees Trump as a potential champion of crypto, Hayes warns against setting expectations too high.

In a post titled “Trump Truth”, he predicts an immediate crash around January 20, 2025. The idea behind this brutal drop? A collective disappointment at the lack of concrete and rapid reforms in the crypto field.

« The market thinks that Trump and his allies will perform economic miracles overnight », says Hayes, but we must not forget that policies take time to implement.

The president will have at best one year to fulfill his promises. This could provoke a violent reaction in the markets, pushing many investors to sell in panic.

Until then, Hayes and his Maelstrom fund intend to lighten their positions to prepare for a strategic low-cost purchase, a strategy that reflects his short-term pessimism.

Hayes’ predictions for 2025

Arthur Hayes, with his sharp market analysis, believes that the year 2025 will be the year of the great reversal for crypto, but not necessarily in the way enthusiastic investors expect. After a likely plunge at the beginning of the year, the expert predicts a “crack-up-boom” in the second half of 2025.

This is where the real question arises: how will the adoption of bitcoin and other cryptos evolve in such an uncertain political context?

The key to the reversal, according to Hayes, lies in investor psychology. Those who bought crypto during the euphoria of the 2023-2024 bull run may find themselves trapped in a selling spiral, while those who stayed out risk seeing the recovery slip through their fingers. Hayes makes no secret of his strategy:

« If the market plunges after Trump’s inauguration, I will be there to buy at low prices, because there will definitely be a rebound at some point. »

But beware, this is not a forecast of immediate gains. « There is a timing to respect », he warns, mentioning a slow re-evaluation of the crypto market in 2025.

Let’s not forget that last November, Hayes already predicted that Donald Trump would not be the trigger for the next bitcoin bull run. According to him, it is China that will play a decisive role in the relaunch of crypto, while the Trump effect will only be a mirage.

Maximize your Cointribune experience with our "Read to Earn" program! For every article you read, earn points and access exclusive rewards. Sign up now and start earning benefits.

The blockchain and crypto revolution is on the move! And the day its impacts will be felt on the most vulnerable economy in this World, against all odds, I will say that I had something to do with it