Bitwise predicts a surge in Bitcoin ETFs in the coming months, expecting an even more significant wave.

Spot Bitcoin exchange-traded funds (ETFs) may experience a surge in institutional capital once major wirehouses start offering Bitcoin ETF trades, according to Bitwise. In an interview with CNBC, Bitwise’s CIO Matt Hougan stated that while the first wave of Bitcoin ETF interest came from retail investors, hedge funds, and independent financial advisors, the next wave will see institutional investors entering the market. Bank of America’s Merrill Lynch and Wells Fargo have reportedly begun offering spot Bitcoin ETFs to their wealth clients, although it is currently only available upon request. Additionally, Morgan Stanley is said to be considering offering spot Bitcoin ETFs on its brokerage platform. Hougan believes that Bitcoin ETFs have triggered a “new era of price discovery” and expects the next wave of institutional interest to push Bitcoin’s price substantially higher. He suggests that Bitcoin could exceed Bitwise’s initial 2024 prediction of $80,000 and potentially reach anywhere between $100,000 to $200,000 or even higher. Since the launch of spot Bitcoin ETFs, the Bitwise Bitcoin ETF (BITB) has recorded the fourth-largest inflows of $1.11 billion, according to BitMEX Research. Inflows reached $676.8 million on Feb. 28, setting a new all-time high for the ecosystem. The leading ETFs in terms of inflows are BlackRock’s IBIT with $7.1 billion and Fidelity’s FBTC with $4.7 billion.