CZ Predicts 2026 ‘Supercycle’ as US Strategic Reserve Breaks 4-Year Trend

Changpeng ‘CZ’ Zhao told CNBC at Davos that Bitcoin’s four-year boom-and-bust rhythm is dead. The cause? The United States government is now a holder.

Speaking from the World Economic Forum on Monday, the Binance founder told CNBC that Bitcoin is entering a "supercycle" in 2026, defying the asset’s historical tendency to correct sharply after post-halving peaks. Zhao pointed to a fundamental shift in market structure: the entry of the U.S. sovereign balance sheet.

Bitcoin, currently trading near $89,500 (-29% from its October 2025 high of $126,080), has struggled to find direction in Q1. Typically, this period marks the onset of a ‘crypto winter.’ CZ argues this cycle is different.

"Historically, Bitcoin has followed a four-year cycle… But this year, given the U.S. being so pro-crypto and every other country following, we will probably break that traditional four-year cycle."

The Institutional Floor
The prediction hinges on the executive order signed by President Trump in March 2025, which established the U.S. Strategic Bitcoin Reserve. The policy, coupled with the formation of the White House Digital Asset Working Group, has effectively removed the ‘regulatory risk’ discount that plagued previous cycles.

For market makers, the implication is severe: betting on a cyclical 80% drawdown is now a bet against the U.S. Treasury. Liquidity that usually exits the ecosystem post-ATH is remaining sticky, buoyed by sovereign accumulation strategies.

Zero Contact with Trump
Zhao also addressed rumors regarding his relationship with the administration. Despite the timing of his release and the subsequent policy shifts, CZ categorically denied backchanneling with the President. "I have no personal relationship with President Trump at all," Zhao noted, clarifying that their only alignment is a shared "pro-digital-asset orientation."

The market reaction was muted but firm, with BTC defending the $88,000 support level as volumes normalized.