Bitwise doubles down on $200K Bitcoin price prediction amid trade tension

Institutional crypto funding agency Bitwise has doubled down on its huge Bitcoin worth prediction for this 12 months regardless of escalating world commerce tensions.

“In December, Bitwise predicted that Bitcoin would finish the 12 months at $200,000. I nonetheless suppose that’s in play,” Bitwise chief funding officer Matt Hougan stated in an April 9 weblog put up. 

He recommended that the fallout from US President Donald Trump’s world tariff push may very well be helpful for Bitcoin (BTC) and crypto as a result of his administration “desires a weaker greenback, even when it means ending its function because the world’s reserve forex.”

Hougan cited an April 7 speech by Steve Miran, chairman of the White Home Council of Financial Advisers, which criticized the greenback’s reserve standing as inflicting “persistent forex distortions” and “unsustainable commerce deficits” which have “decimated” US manufacturing.

Hougan stated a weaker buck may have each short-term and long-term implications for Bitcoin. 

Within the brief time period, greenback weak spot traditionally correlates with Bitcoin energy, he added, citing the US Greenback Index (DXY). 

“Greenback down equals Bitcoin up,” Hougan stated. “I count on this sample will proceed.”

The DXY, which compares the worth of the US greenback to a basket of six main currencies, has fallen greater than 7% because the starting of 2025, in line with TradingView. 

In the long run, Hougan stated disruption to the worldwide reserve forex system creates alternatives for different reserve belongings, together with Bitcoin and gold. 

“Governments and firms flip to the greenback for worldwide commerce exactly due to its stability. When that stability comes into query, they need to look elsewhere.”

The Bitwise government concluded that the world will transfer from a single reserve forex to a “extra fractured reserve system, with exhausting cash like Bitcoin and gold taking part in an even bigger function than it does right now.”

Earlier this week, VanEck stated that China and Russia have been reportedly settling some power trades in Bitcoin as Trump’s commerce battle ramps up.

On April 9, Trump issued a 90-day pause on almost all of his earlier introduced “reciprocal tariffs,” conserving a baseline 10% tariff on all nations in addition to China, which he lumped with a 125% tariff.

Bitcoin would be the quickest horse 

Crypto dealer and analyst Will Clemente stated on X that “Bitcoin would be the quickest horse” popping out of this drawdown. 

Associated: Most opportune time to purchase Bitcoin? Now — Bitwise CIO Matt Hougan explains why

“It’s a pure reflection of liquidity and no earnings, if something, financial uncertainty/deglobalization are constructive for Bitcoin,” he added. 

BTC is up 7.5% over the previous 24 hours to $81,700. It has seen a correction of round 32% from its Jan. 20 all-time excessive, in keeping with pullbacks in earlier bull market cycles.

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