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Bitwise CIO Forecasts Sustained Bitcoin Growth Beyond 2025 as Four-Year Cycle Shifts

Bitwise Chief Investment Officer Matt Hougan predicts sustained growth for Bitcoin extending beyond the current year, driven by regulatory clarity, increasing institutional adoption, and a shift away from historical market cycles.

Bitcoin trades above $118,000, reflecting a surge of over 10% in the past month. Hougan asserts that the traditional four-year boom-and-bust pattern associated with Bitcoin halving events is losing relevance. He attributes this shift to the diminishing impact of halvings, a more favorable interest rate environment, and a lower perceived risk of steep market corrections.

Significant improvements in regulatory frameworks and growing participation from large institutional investors are creating a more stable and secure environment for cryptocurrency investing, laying the foundation for long-term growth, according to Hougan.

While optimistic, Hougan anticipates a period of ‘sustained steady boom’ rather than a rapid super-cycle rally. He identifies the next year as pivotal for establishing this extended uptrend in the Bitcoin market. The forecast acknowledges potential risks, particularly concerning firms that have accumulated substantial Bitcoin using debt or stock issuance, which could introduce market stress during significant price retracements.

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