Bitwise executive predicts $1T influx from institutions as Bitcoin rides high on a ‘raging bull market’

Institutional investors are expected to invest up to $1 trillion in Bitcoin (BTC) through exchange-traded funds (ETFs) as they gradually enter the cryptocurrency market, according to Bitwise chief investment officer Matthew Hougan. Hougan addressed concerns about Bitcoin’s price volatility and advised investors to remain calm and take a long-term view. Despite the current price fluctuations between $60,000 and $70,000, Hougan highlighted several upcoming events that will positively impact the market, including the Bitcoin halving and the potential approval of spot Bitcoin ETFs on national account platforms such as Morgan Stanley or Wells Fargo. He emphasized that investment committees and consultants are still conducting their due diligence on Bitcoin before making any investment decisions. While short-term price movements may be volatile, Hougan believes that the long-term outlook for Bitcoin is promising. He stated that the approval of spot Bitcoin ETFs in January opened the door for investment professionals to enter the cryptocurrency market on a significant scale. Hougan also noted that the current $12 billion flowing into ETFs since their launch is an exciting development and the most successful ETF launch to date. However, he predicts that once global wealth managers allocate 1% of their portfolios to Bitcoin, it will result in approximately $1 trillion flowing into the market, making the current inflows just a small fraction of the potential investments to come.