One ardent critic of Donald Trump critic believes the so-called Trump rally will soon hit a wall.

"I think they're realizing that the euphoria has passed, [so] although the markets are up today, I think that's [why stocks fell this week]," former presidential hopeful Ron Paul said Tuesday on CNBC's "Futures Now."

The former Texas Republican congressman said markets will head lower this year. According to Paul, Trump has taken a "risky position" in claiming credit for the postelection market rally because Washington is largely unchanged, especially in light of Trump's failure to pass his health-care bill.

While stocks didn't immediately sell off after the bill was pulled, all three major indexes dropped on Monday before recovering much of the losses prior to the close. Still, the Dow did extend its eight-day losing streak, its longest since 2011, and investors were left wondering if Trump's other key agenda items, namely tax reform, will succeed.

Paul believes tax reform won't go through because of excessive government spending.

"We live way beyond our means, debt is out of control and I don't believe we really recovered from the last recession," said Paul. "So they don't have much loot to divvy up, and not that many benefits in the tax cuts."

Stocks were largely flat on Wednesday morning.