Trump's "Big Beautiful Bill" passes: Bitcoin could drop to $90,000, according to Arthur Hayes
In a blog post titled "Quid Pro Stablecoin" on Wednesday, #Hayes argued that President Trump's bill – aimed at cutting taxes and raising the debt ceiling – could require the U.S. Treasury to borrow more. This would lead to the Treasury replenishing the General Account, creating the potential to withdraw liquidity from the market and affecting the prices of assets like Bitcoin.
The bill was passed by the House of Representatives shortly after being approved by the Senate, and President Trump is expected to sign it into law on Friday, Independence Day. Hayes advised to "exercise caution" as "the bull market may be disrupted for a short time." Although Bitcoin recently surpassed $110,000, he still believes the currency could test the $90,000 level before continuing to rise.
Hayes also suggested that the monetary policy of the U.S. Central Bank, particularly the printing of money, will ultimately benefit Bitcoin. He once predicted that Bitcoin could reach $1 million by 2028 as investors pull money from U.S. Treasury bonds and move to other assets.
Regarding stablecoins, Hayes noted that the U.S. government's interest is not to address payment issues, but to reduce the budget deficit. He argued that the GENIUS Act, recently passed by the Senate (creating a legal framework for stablecoins), could hinder private companies from issuing stablecoins. Instead, large banks may use these digital tokens to purchase U.S. Treasury bonds as a way to reduce debt. #anhbacong
