Bitcoin (BTC) to $100K, Ether (ETH) to New All-Time Highs: Bitwise CIO Matt Hougan

Despite current headwinds, key tailwinds from spot bitcoin exchange-traded fund inflows, the Bitcoin halving, spot Ethereum ETFs, changing political attitudes, and the prospect of Fed charge cuts create a better long-term setup for crypto, Hougan said.

Matt Hougan, chief funding officer at crypto asset supervisor Bitwise, outlined 5 key tailwinds for the crypto {industry} that, regardless of present headwinds, may see bitcoin’s worth attain $100,000 by the top of the 12 months.

Bitcoin is at present down 21% from its newest all-time excessive of $73,836 set on March 14, partly amid issues surrounding Mt. Gox distributions and the German government’s sales of seized bitcoin.

However these are one-off gross sales, Hougan mentioned, inflicting short-term liquidity shocks amplified by a usually low-liquidity seasonal interval for crypto that may come to an finish.

Then again, key tailwinds from spot bitcoin exchange-traded fund inflows, the Bitcoin halving, spot Ethereum ETFs, altering political attitudes, and the prospect of Fed charge cuts create a greater long-term setup for crypto, Hougan mentioned.

The U.S. spot bitcoin ETFs have attracted greater than $15 billion in internet inflows since launching in January — essentially the most profitable ETF launch of all time, Hougan famous. He expects to see billions of {dollars} extra stream this 12 months because the merchandise get permitted for mainstream use by the most important wealth administration platforms, together with Morgan Stanley and Wells Fargo.

ETFs monitoring Ethereum’s native token, ETH, are additionally anticipated to launch shortly, with Hougan predicting they’ll appeal to $15 billion of net inflows within the first 18 months. Bitwise manages one of many U.S. spot bitcoin ETFs and plans to launch a spot Ethereum product.

Hougan additionally expects the discount in new each day provide of mined bitcoins from a median of 900 to 450 following April’s halving occasion will contribute to constructive worth motion for bitcoin over the 12 months, as in prior cycles.

Moreover, the Bitwise CIO argues that there was a “sea change” within the political perspective to crypto in latest months because of one of many strongest networks of pro-industry tremendous PACs in Washington D.C. and the GOP making crypto a part of its official 2024 platform.

Lastly, Hougan famous that the Fed funds futures market was pricing in two charge cuts by the top of the 12 months, with falling charges “usually good for crypto.”

Throw in sturdy progress within the stablecoin market, layer 2 improvement and establishments like BlackRock getting more and more concerned within the house, and “the right combination of developments within the second half of the 12 months may simply drive bitcoin to $100,000 and push ether to new all-time highs,” Hougan mentioned.

The above is the detailed content of Bitcoin (BTC) to $100K, Ether (ETH) to New All-Time Highs: Bitwise CIO Matt Hougan. For more information, please follow other related articles on the PHP Chinese website!