Michaël van de Poppe, a trader and investor, highlights a crucial point: many in the crypto community might not fully grasp the impact of America's growing debt.
According to van de Poppe, Bitcoin is back in a bull market. He believes it could reach $1 million per coin in the next few years. However, he warns that this milestone might come with a significant debt crisis that could hurt asset prices in the short term.
In an interview with Jonathan DeYoung on Decentralize with Cointelegraph at DKGcon 2024 in Amsterdam, van de Poppe discussed the current state of the Bitcoin market. He also touched on the potential for an altseason and the implications of a Donald Trump presidency.
Speaking on October 24, just before Bitcoin surged to new all-time highs, he noted that while Bitcoin is in a bull market, it has been stuck in what he calls the “boring zone.” He’s waiting for a shift to the “banana zone.” He said, “I believe we are on the verge of a perfect storm. Next year is going to be big.” He also mentioned that this cycle might last longer than the previous one, predicting significant developments around 2026.
When it comes to Bitcoin hitting that $1 million mark, van de Poppe thinks it’s possible if central banks keep printing money. But here’s the catch: he cautions that many investors overlook the rising debt levels. He believes this could lead to a crisis similar to what we saw in 2008. He explained, “If that happens, the amount of dollars in circulation will drop. And if that happens, purchasing power will fall too, affecting Bitcoin’s price.” He expects Bitcoin could reach $1 million eventually, but a crisis in the meantime could severely impact the value of all dollar-denominated assets.
Van de Poppe also shared his thoughts on how President-elect Trump might influence Bitcoin. He stated, “I think people overrate the current elections. In the long term, it doesn’t matter.” He believes Bitcoin operates independently of government actions and policies. He noted that if Trump follows through on his regulatory promises, it could be beneficial for Bitcoin in the short term. However, he warned that the mid-term impacts could be negative if Trump aggressively tackles inflation. Regardless of who is in charge, van de Poppe asserts that Bitcoin will continue to deliver its core value propositions.
For more insights from van de Poppe, including thoughts on an upcoming altseason and advice for traders, check out the full episode of Decentralize with Cointelegraph. You can find it on Cointelegraph’s podcast page, Spotify, Apple Podcasts, or your favorite podcast platform.
This article is for informational purposes only and should not be seen as legal or investment advice. The views expressed are solely those of the author and do not necessarily reflect the views of Cointelegraph.