Bitcoin 'Ignores' Bad News as Crypto Winter Signs Point to Bottom

Bitcoin's resilience to bad news has some investors believing that the crypto winter may be coming to an end. According to Matt Hougan, Chief Investment Officer at Bitwise, Bitcoin is ignoring negative headlines and this could be a sign that the bottom of the bear market is near.

Hougan points out that over the past few months, numerous negative news stories have failed to move Bitcoin lower. He believes that this lack of reaction to bad news is a clear indication that we are at the bottom of the crypto winter.

Bitwise has processed $600 million to $700 million in in-kind transfers into its BITB ETF over the past year, where investors can move existing Bitcoin directly into the ETF on a tax-free basis. Hougan sees this trend as a sign of merit-based adoption from advisers who want long-term exposure to the asset class.

Hougan also notes that large wealth management platforms are approving crypto ETFs one by one, with advisers discussing two to four percent portfolio allocations. He expects the next bull market to be slower and less volatile than prior cycles but built on a stronger institutional foundation that carries prices higher over a longer period.