CNBC\u2019s Crypto World<\/a>, Hougan argued that institutional adoption, regulatory progress, and stablecoin growth are stronger forces than the historical halving-driven cycle.<\/p>\n\u201cI do think the four-year cycle is less important now than it was in the past,\u201d Hougan stated. \u201cI expect the market to be up next year. I think we\u2019re in a 10-year grind upward of strong returns, not spectacular returns, strong returns, lower volatility, some up and down.\u201d<\/p>\n
<\/p>\n
Institutional buying dampens Bitcoin volatility<\/h2>\n
Hougan pointed to dropping Bitcoin (BTC) volatility as evidence of structural market changes. The cryptocurrency now exhibits lower volatility than NVIDIA over the past year, he noted.<\/p>\n
Institutional investors rebalance portfolios mechanically rather than chasing momentum, creating a stabilizing force absent in retail-dominated markets.<\/p>\n
\u201cRetail investors historically are very much momentum based. If it\u2019s up, they\u2019re buying. If it\u2019s down, they\u2019re selling,\u201d Bea explained. \u201cInstitutions in their plan documents actually have the opposite built in.<\/p>\n
The distribution shift from retail to institutional ownership is ongoing. Harvard\u2019s endowment is buying while retail sells, creating what Hougan described as a \u201cstaircase up and then an elevator down\u201d pattern.<\/p>\n
The reason Bitcoin is down 30% rather than 60% from October highs is \u201cpersistent, slow-moving institutional buying that\u2019s keeping the market up,\u201d he stated.<\/p>\n
<\/p>\n
Regulatory clarity provided one-time boost<\/h2>\n
Hougan characterized the Trump administration\u2019s impact as a one-time effect that cleared regulatory concerns.<\/p>\n
\u201cIf you asked institutional investors in previous years why they weren\u2019t investing in Bitcoin, the number one reason wasn\u2019t volatility or valuation. It was actually regulatory concerns,\u201d he said.<\/p>\n
Both executives identified clarity legislation as critical for crypto rallies. \u201cIf clarity doesn\u2019t pass, it\u2019s going to be hard for crypto to rally,\u201d Hougan warned. \u201cI think if you do see it pass, that\u2019s probably something like the all-clear signal on this pullback.\u201d<\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"
Bitwise CIO Matt Hougan said the Bitcoin four-year cycle is being replaced by a \u201c10-year grind\u201d characterized by steady returns rather than spectacular gains. Speaking on CNBC\u2019s Crypto World, Hougan…<\/p>\n","protected":false},"author":1,"featured_media":15282,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-18771","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency"],"_links":{"self":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/18771","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/comments?post=18771"}],"version-history":[{"count":1,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/18771\/revisions"}],"predecessor-version":[{"id":18772,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/posts\/18771\/revisions\/18772"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media\/15282"}],"wp:attachment":[{"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/media?parent=18771"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/categories?post=18771"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitunikey.com\/news\/wp-json\/wp\/v2\/tags?post=18771"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}