Bitcoin News Today: Arthur Hayes Predicts 2025 Crypto Surge as Ethereum Jumps 16.47% Weekly, Bitcoin Edges Up 0.22% on Credit Expansion and Institutional Adoption

Arthur Hayes, co-founder of BitMEX, has outlined a bullish forecast for Bitcoin and Ethereum by 2025, citing credit expansion, U.S. government policies, and institutional adoption as key drivers. According to Hayes, the Trump administration’s economic strategies could fuel a “fascist economic system” marked by aggressive credit growth, which he argues will inflate crypto prices through increased money supply and stablecoin-driven capital flows. “Bitcoin’s price history shows a direct correlation with credit expansion,” he stated, emphasizing that stablecoins like Tether are being used to purchase U.S. Treasury bills, indirectly financing government deficits and reinforcing Bitcoin’s role as a store of value during inflationary periods [1].

Hayes highlighted Ethereum’s undervaluation in the current market, predicting it could surge to $10,000 by year-end due to rising institutional investment and its foundational role in decentralized finance (DeFi). He noted that Ethereum’s utility in smart contracts and dApps positions it as a critical asset in the blockchain ecosystem, attracting both retail and institutional capital. “The market is underestimating Ethereum’s potential,” Hayes said, pointing to its growing use cases as a catalyst for long-term gains [1].

Recent market data aligns with Hayes’ optimism. Bitcoin traded at $118,333 as of the latest report, reflecting a 0.22% increase in 24 hours but a 0.29% drop over seven days. Meanwhile, Ethereum rose 1.40% in 24 hours and 16.47% weekly to $3,684.57. Hayes attributed Bitcoin’s short-term volatility to macroeconomic pressures but remains confident in its long-term trajectory, given the high percentage of Bitcoin addresses in the money—99.57%—indicating broad profitability among holders. Around 93.88% of addresses held Bitcoin at prices below the current $118,497.93, further reinforcing bullish sentiment [1].

Hayes’ analysis also underscores the cyclical nature of Bitcoin’s price movements. As governments inject liquidity into economies, he argues, capital flows into crypto markets, with stablecoins acting as intermediaries to sustain growth. This dynamic, he suggests, positions Bitcoin as a primary beneficiary of monetary policy shifts, particularly in inflationary environments where investors seek alternative stores of value.

The crypto market’s mixed performance—Bitcoin’s modest gains versus Ethereum’s robust weekly rise—reflects diverging investor strategies. Hayes sees Ethereum’s upward momentum as a precursor to its 2025 potential, driven by institutional cash inflows and DeFi adoption. While Bitcoin’s price remains tethered to macroeconomic narratives, Ethereum’s technical and functional advantages could drive it beyond current expectations.

Hayes’ predictions, however, hinge on continued U.S. credit expansion and regulatory clarity. If policies under the Trump administration align with his “fascist economic system” thesis, Bitcoin could see accelerated adoption as a hedge against fiat devaluation. For Ethereum, the interplay of institutional demand and technological innovation may unlock new price levels by 2025, though risks remain tied to market volatility and regulatory actions.

Source: [1] [How Far Ethereum, Bitcoin Will Go In 2025 According to Arthur Hayes] [https://coinmarketcap.com/community/articles/6881f15d935dcd19160c283a/]