Matt Hougan, Bitwise's Investment Director, said United States President Donald Trump's pro-criminal executive order could have a significant effect on Bitcoin's four-year cycle (BTC).

Although Hougan has recognized that the market has not yet completely overcome the cycle, he expects any setbacks to be shorter and less intense compared to previous years.

Impact of Trump's executive order on the Bitcoin cycle

In his last weekly memorandum, Hougan highlighted the president's executive order and the recent pro-criminal changes of the Securities Commission (SEC) as major catalysts for Bitcoin's mainstream adoption.

On January 23, President Trump signed an official order to establish an “national digital asset stock”. As a result, crypto influences increased to $ 1.9 billion.

This created a way for the largest Wall Street banks and investors to move aggressively in space, Hougan he wrote.

According to Hougan, the current crypto cycle began in March 2023. It was when Grayscale obtained a significant victory in its legal battle with SEC over a Bitcoin ETF.

The ETFs were launched in January 2024, with hundreds of billions of dollars entering the market of new investors. However, Hougan sees the executive order as a catalyst for an even more significant transformation.

But the full integration of crypto – killed by Trump's executive order, where banks customized along with other assets, StableCoins are widely integrated into the global payments ecosystem, and the largest institutions establish positions in crypto – he was convinced that he will bring trillions, he said the note.

Hougan is optimistic and sees Bitcoin at $ 200,000

In fact, Bitcoin's four -year cycle is a pattern driven by halving events. Price usually goes through a low -accumulation phase. This is followed by a high market due to reduced supply and then a low market market. This cycle is repeated approximately every four years as the block reward for miners is halved.

The BTC tried falls in 2014, 2018 and 2022. If this standard remains, the next retreat can occur in 2026. Nevertheless, Hougan remained optimistic about the long -term trajectory of the crypto.

The Crypto Space has matured; There are a greater variety of buyers and more value -oriented investors than ever. I hope volatility, but I'm not sure I would bet on crypture in 2026, Hougan acknowledged.

He also predicted that 2025 will be a favorable year for crypto.

We are predicting that the price of Bitcoin will double this year to over $ 200,000, driven by ETFs and Bitcoin shopping by corporations and government, said Cio.

Regulatory change in the US may take months

However, Hougan added that the forecast may be conservative. Finally, he pointed out that the impact of Trump's executive order and the broader regulatory changes will unfold over the years instead of months. According to the Bitwise executive, establishing a new regulatory framework for crypto will take at least one year. In addition, Wall Street companies may need even more time to adapt.

Meanwhile, Cio said the leverage will increase, excesses will emerge and bad actors will appear. This can potentially lead to a sharp retreat.

However, Hougan believes any correction will probably be “shorter” and “less deep.” This is due to the maturity of the crypto market and a more diverse investor base.