Arthur Hayes Predicts China’s Economic Moves Will Trigger Bitcoin Surge
Arthur Hayes, a prominent figure in the crypto world, anticipates that China’s forthcoming economic policies will serve as a catalyst for Bitcoin's rise.
He suggests that as long as fiat currency continues to be issued, Bitcoin’s value will respond positively. Hayes believes China’s response to its economic challenges, particularly in the property sector, signals a major injection of credit into the system—a move he compares to the massive dollar issuance in the U.S. during the 2020-2021 COVID period.
In his latest insights, Hayes points to analysts’ opinions that China’s announced stimulus measures are still insufficient to correct its economic course.
However, he argues that these measures are just the beginning, with indications that President Xi Jinping is prepared to go further to counter deflation. He suggests this expansive credit will have a sustained impact on Bitcoin’s price.
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Hayes also cautions that these effects won’t manifest immediately; the full implications will unfold over time as China’s economy adjusts. Initially, Chinese investors are more likely to focus on domestic assets like undervalued equities and real estate.
However, he foresees a scenario where, once the impact becomes clear, there will be a surge in demand for Bitcoin from Chinese investors. Hayes likens this anticipated demand to the events of August 2015, when Bitcoin’s price surged nearly fivefold after a sudden yuan devaluation.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
