Renowned investor Arthur Hayes recently shared his insights, analyzing the intrinsic logic behind U.S. geopolitical policies and the rise of Bitcoin. He believes that behind the relevant political initiatives in the U.S., there are implicit intentions to reduce energy costs and control inflation, which provide the government with room to implement loose monetary and fiscal policies. The result? Continuous capital release combined with price controls will drive nominal GDP higher. In such an environment, inflation-hedging assets like Bitcoin and other high-risk assets are more likely to be favored by capital.

Hayes's advice is straightforward: at this stage, hold onto Bitcoin and quality crypto assets. He mentioned that his fund Maelstrom is almost fully invested and he expects to maintain this stance until 2026. Interestingly, he also highlighted the privacy coin sector, suggesting that privacy coins like ZEC could become the main theme of the next market cycle. This analysis links geopolitical situation, inflation expectations, and asset allocation, providing valuable insights for traders with ideas.