BitMEX co-founder Arthur Hayes says the United States is unlikely to add more Bitcoin to its reserves beyond what it has already seized due to the country\u2019s high debt levels and the stereotype behind \u201cBitcoin bros.\u201d<\/p>\n
\u201cI\u2019m not really into the whole Strategic Reserve situation,\u201d Hayes said<\/a> in a May 1 interview.<\/p>\n \u201cThe United States is a deficit country; the only way they can do a Strategic Reserve is not sell the Bitcoin they took from people, fine, that\u2019s 200,000 Bitcoin,\u201d he said.<\/p>\n Arthur Hayes spoke to Kyle Chasse on his crypto interview series. Source: <\/em>Kyle Chasse<\/em><\/a><\/p>\n However, Hayes said it\u2019s hard to imagine any \u201cproperly elected\u201d politician openly announcing that the government plans to print money to buy Bitcoin (BTC<\/a>).<\/p>\n \u201cEspecially when the popular narrative is a bunch of Bitcoin bros going to the club.\u201d<\/p>\n \u201cIs that really what you want people to think about your policy?\u201d he asked.<\/p>\n On March 6, US President Donald Trump signed an executive order<\/a> to create a Bitcoin strategic reserve and digital asset stockpile in the US. The US holds 198,012 Bitcoin worth over $18 billion, as per recent<\/a> data. The reserve is primarily formed of Bitcoin seized in criminal and civil cases<\/a>, including significant amounts from the Silk Road and Bitfinex hack cases.<\/p>\n However, many crypto industry leaders believe that if the US government starts buying Bitcoin, it could set off an aggressive domino effect.<\/p>\n Sergej Kunz, co-founder of exchange aggregator 1inch, said during Cointelegraph\u2019s LONGITUDE event in Dubai<\/a> that if the US were to start buying Bitcoin for a strategic reserve, even smaller countries may soon struggle to acquire the cryptocurrency.<\/p>\n He added. \u201cI\u2019m pretty sure we\u2019ll soon see countries battling over who owns more Bitcoin. The US will start.\u201d<\/p>\n Hayes remains confident that the Bitcoin cycle leading into altcoin season will follow the same pattern as it did in 2021, despite differing views from other analysts.<\/p>\n \u201cI personally think Bitcoin dominance is going back to where it was before the 2021 altcoin season, which is about 70%,\u201d Hayes said.<\/p>\n Hayes isn\u2019t convinced the pattern will change. \u201cThen people just start rotating,\u201d he said. \u201cIt\u2019s back at all-time highs; bull markets are back, and altcoins should outperform. Should is a keyword there,\u201d Hayes said. \u201cDepends on what you buy,\u201d he added.<\/p>\n Related: <\/strong><\/em>Bitcoin price about to \u2018blast\u2019 higher as Fed rate cut odds jump to 60%<\/strong><\/em><\/a><\/p>\n Bitcoin dominance \u2014 the ratio of Bitcoin\u2019s market capitalization to the entire crypto market \u2014 is 64.78% at the time of publication, according<\/a> to TradingView data.\u00a0<\/p>\n Bitcoin dominance was 57.59% on Jan. 1. Source: <\/em>TradingView<\/em><\/a><\/p>\n This represents an 11.68% increase since Jan. 1, when Bitcoin dominance was hovering just below 60%, a level where some analysts said would be its peak before altcoin season began. <\/p>\n Several analysts doubted that Bitcoin dominance would ever return to 70%.<\/p>\n One of those skeptics was Into The Cryptoverse founder Benjamin Cowen, who explained in August that he doesn\u2019t<\/a> \u201cthink it is going back up to 70%,\u201d and his target for Bitcoin dominance is 60%.<\/p>\n Meanwhile, in December CryptoQuant CEO Ki Young Ju said \u201caltseason is no longer defined by asset rotation from Bitcoin.\u201d <\/p>\nHayes doubts print money plans for Bitcoin<\/h2>\n
Hayes sees Bitcoin to altcoin rotation playbook staying the same<\/h2>\n