Charles Hoskinson, founder of Cardano and Input Output (IOHK), anticipates Bitcoin reaching $250,000 this year, driven by regulatory changes and the adoption of stablecoins by tech giants. The move came as a surprise from an industry veteran who co-founded Ethereum. He thinks new legislation along with geopolitical reasons will propel this increase. He furthermore bets on the Digital Asset Market Structure and Investor Protection Act moving through Congress.
Hoskinson pointed out some catalysts that are likely to push Bitcoin toward $250,000. The users of cryptocurrency are growing at an incredible speed. At the same time, the geopolitical landscape is changing and the “Magnificent 7”—the mega-cap tech stocks such as Apple and Microsoft—might be the first to use stablecoins.
The stablecoin bill, in particular, might have the “Magnificent 7” companies start using the assets, Hoskinson said. He suggested that these companies leverage stablecoins to compensate their employees in multiple nations. He reiterated ARB that stablecoins could be the key to making small transactions on their platforms work. Hoskinson remains optimistic that the crypto market will bounce back. He believes the promulgation of regulations and adoption of stablecoins by the Magnificent 7 will help spur this transition.
Bitcoin has been on a rollercoaster ride of late, trading below $77,000 just a week ago before surging above $82,000 on Wednesday. Hoskinson’s prediction comes at a time of rapidly increasing interest in crypto assets among both retail and institutional investors.
Hoskinson’s remarks came before last week’s suspension of full-blown reciprocal tariffs. Despite this, he is decidedly upbeat on the prospects for the global economic landscape.
"What will happen is that the tariff stuff will be a dud, and that people will realize that the world is willing to negotiate, and it's really just U.S. versus China. And a lot of people will side with us. Some people side with China," - Charles Hoskinson
Hoskinson enters the discussion by predicting a temporary crypto market stall followed by a major upswing.
"If Russia wants to invade Ukraine, it invades Ukraine. If China wants to invade Taiwan, it's going to do that. So treaties don't really work so well, and global business doesn't really work so well there. So your only option for globalization is crypto," - Charles Hoskinson
Hoskinson predicts a temporary stall in the crypto market before a significant upswing.
"[The crypto market] will stall for probably the next three to five months, and then you'll have a huge wave of speculative interest come, probably [in] August or September, into the markets, and that'll carry through probably another six to 12 month," - Charles Hoskinson
