The Bitwise CIO is currently fueling hope among many investors. In a message to Bitwise customers on April 8, 2025, Matt Hougan expressed optimism. Trump’s “tariff tantrum” could send Bitcoin into a bullish phase as a safety anchor.
Bitwise CIO undeterred by current market situation
US President Donald Trump‘s announced import tariffs caused noticeable panic in the stock and crypto markets in recent days. The result: a crash that Bitcoin (BTC) felt particularly hard.
The crypto veteran is trading at around $76,800 at the time of writing, corresponding to a 3.89 percent decline in 24 hours. The cryptocurrency has also fallen over the past seven days – by 9.33 percent – ​​and in the monthly review, BTC also recorded a loss of 6.98 percent. It reached its lowest point to date on April 7, 2025, at a price of approximately $74,000.
The crash, however, doesn’t seem to have deterred Bitwise’s CIO (= Chief Investment Officer). In a recent message to Bitwise customers, Matt Hougan expressed optimism. Despite escalating tensions, he maintains his year-end Bitcoin price forecast of $200,000.
Why? He believes the current crisis is weakening the U.S. dollar. This will automatically increase demand for “hard money” like Bitcoin. Specifically, Hougan writes: “Regarding tariff escalation, I’m certain of one thing: The Trump administration wants a significantly weaker dollar—even if that means jeopardizing the dollar’s role as the world’s sole reserve currency.”
After Trump’s tariffs: Can Bitcoin become a safety anchor?
If the Bitwise CIO is right, Bitcoin is likely to gain in the short term as soon as the U.S. dollar depreciates. This was already evident in 2020: Whenever the US Dollar Index (DXY) – which tracks the dollar against six leading global currencies – declined, the Bitcoin price rose. “A weaker dollar leads to a stronger Bitcoin. I expect this pattern to continue,” says Hougan.
He also expects growth in the popular digital currency in the long term. The global changes triggered by new tariffs and a gradual retreat from the dollar as the reserve currency could lead to the establishment of alternative reserve currencies.
“In a phase of international tensions and shaky fiat currencies, the question arises: Where should investors turn when they are looking for a scarce, globally accepted, digital store of value that is not controlled by governments or institutions?” Hougan asks in conclusion. It goes without saying that he means Bitcoin. Whether his Bitcoin prediction is correct, however, only time will tell.
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