Appearing today on CNBC’s Squawk Box, Bitwise CIO Matt Hougan shed some light on what he thinks about the current Bitcoin boom caused by spot BTC exchange-traded funds. Furthermore, he clarified who the main clients of these ETFs are. Bitwise Investments is a leading crypto index fund and ETF provider, one of the companies that launched Bitcoin spot ETFs in January.
Appearing today on CNBC’s Squawk Box, Bitwise CIO Matt Hougan shed some light on what he thinks about the current Bitcoin boom caused by spot BTC exchange-traded funds. Furthermore, he clarified who the main clients of these ETFs are. Bitwise Investments is a leading crypto index fund and ETF provider, one of the companies that launched Bitcoin spot ETFs in January.
Meanwhile, the world’s leading digital currency, Bitcoin, continues to trade above the $63,000 level, surpassing the April 2021 high. Since the beginning of 2024 (in just two months), BTC has already increased its price by approximately 50 % and, as many experts believe, appears to be approaching a new all-time high.
‘It’s a Bitcoin IPO moment’: Matt Hougan
Responding to a question from Squawk Box co-host Andrew Sorkin about what type of investors are buying spot Bitcoin ETFs, Hougan shared that these are all categories of investors. Therefore, these are financial institutions, retail investors and hedge funds.
Hougan believes that in a few months the market will probably see an even bigger wave of investors arrive: major investment houses are starting to turn to ETFs.
The CIO has referred to the recent massive Bitcoin price surge as a “Bitcoin IPO moment” and “a new era of Bitcoin price discovery.” An IPO (initial public offering) here most likely refers to the fact that spot Bitcoin ETFs allow investors to buy ETF shares backed by Bitcoin.
Matt Hougan expects that from the current level the price of Bitcoin can rise “substantially.”
Bitcoin ETF Demand Will Increase, Hougan Says
Regarding the question of who and in what proportion financial institutions and retail holders buy these ETF shares, Hougan stated that mainly the first group that always starts buying ETFs are retail investors and hedge funds. They will be joined later by independent financial advisors, he says.
To demonstrate that the investment flow is sure to be much larger, Hougan said that after speaking with CNBC, he will take a plane to discuss these ETFs with one of the largest institutional advisory firms in the US, without revealing the name.
