On July 25, 2025, Bitwise's CIO Matt Hougan declared the conclusion of the traditional four-year crypto cycle. He attributed this shift to the increasing influence of ETFs and growing institutional involvement.
Institutional Adoption and ETFs
Matt Hougan, a recognized thought leader in crypto, emphasized that ETF-driven institutional adoption marks the future of the crypto market. "The forces that have created the prior four-year cycles are weaker," he noted, projecting a multi-year growth pattern as these dynamics reshape traditional cycles.
Market Implications
The announcement has significant implications for market participants. Wall Street firms are poised to inject billions into the market, driven by regulatory changes such as the "Genius Act." This development signals heightened interest in Bitcoin and Ethereum. Traditional cycles, primarily influenced by Bitcoin's halving events, are losing their impact.
Evolving Crypto Landscape
According to Hougan's analysis, the evolving crypto landscape may lead to tighter integration with mainstream finance, driven by ongoing regulatory clarity and institutional capital inflows. Future scenarios anticipate long-term stability in the crypto market, which might encourage broader adoption alongside balanced regulatory oversight.
Thus, Matt Hougan’s announcement signifies a shift in market sentiment towards cryptocurrencies, moving towards new growth models and potential integration with traditional financial systems.
