Bitwise Chief Investment Officer (CIO) Matt Hougan has predicted that Bitcoin could easily reach $500,000 if the Strategic Bitcoin Reserve happens. The Bitwise CIO explained how the introduction of the Bitcoin Reserve would cause a ripple effect that would send the flagship crypto to this price target.
Bitwise CIO Predicts Bitcoin To Hit $500,000
In a recent interview, Matt Hougan predicted that Bitcoin would reach as high as $500,000 if Donald Trump’s administration created the Strategic Bitcoin Reserve. The Bitwise CIO noted that such a development is too big of a story and that governments would also have to follow suit, which could create a supply shock for the flagship crypto.
Hougan noted that the idea of a US Strategic Bitcoin Reserve has become feasible over time, as several members of the incoming administration have suggested they support this initiative. Bitwise recently predicted that Bitcoin will hit $200,000 in 2025.
However, the Bitwise CIO is confident that the BTC Reserve initiative could change everything and provide more bullish momentum for the leading crypto.
The leading voice behind this initiative, besides Donald Trump, has been Senator Cynthia Lummis, who introduced the ‘Bitcoin Act of 2024.’ This proposed bill, if passed, will mandate the US to hold 1 million BTC over the next four years.
Senator Cynthia Lummis recently reaffirmed her commitment to implementing the Strategic Bitcoin Reserve with the help of individuals like the incoming Crypto Czar, David Sacks.
Doubts Remain About A Strategic Bitcoin Reserve
Amid the Bitwise CIO’s prediction, there are doubts about whether a Strategic Bitcoin Reserve will be created. Castle Island Venture’s founding partner, Nic Carter, said he doesn’t expect the BTC reserve to happen because it wouldn’t benefit anyone if the US were to shale confidence in global markets by implying the dollar is at risk.
BitMEX co-founder Arthur Hayes also echoed a similar sentiment. In his recent blog post, Arthur Hayes stated that he still doesn’t believe the Strategic Bitcoin Reserve will happen. The crypto founder added that politicians would rather spend newly created dollars on public goods than invest in Bitcoin.
Boluwatife Adeyemi
Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across DeFi, NFTs, smart contracts, and blockchain interoperability, among others. Boluwatife has a knack for simplifying the most technical concepts and making it easy for crypto newbies to understand. Away from writing, He is an avid basketball lover and a part-time degen.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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