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The Chief Investment Officer of Bitwise, Matt Hougan, stated that large investors have proven to be more resilient holders of Bitcoin than anticipated, even with the market experiencing a decline of approximately 50%.
He indicated that spot exchange-traded funds (ETFs) for Bitcoin provide a clear illustration of the behavior of professional market participants. From their inception in January 2024 until October 2025, the total net inflow into these instruments reached around $60 billion.
Following October 2025, the price of Bitcoin fell by about 50%, yet the outflow from the exchange-traded funds was significantly lower—less than $10 billion.
“The strongest evidence can be observed in the ETF market. This data indicates that institutional investors are not only remaining in the market but are also largely maintaining their positions amid volatility,” Hougan remarked.
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He believes this behavior contradicts the common perception that institutional investors are more reactive to economic shocks and tend to quickly divest from risky assets during periods of instability.
Hougan explained that Bitcoin continues to be an asset without widespread consensus among institutional players. In such circumstances, investment decisions are primarily made by investors with a high degree of confidence, willing to accept associated risks.
“Institutional investors who are purchasing Bitcoin today still stand out among their peers and are taking risks. Therefore, they are generally much more convinced of their positions,” he stated.
According to Hougan, this confidence accounts for the relative stability of institutional capital and may help sustain the market during times of increased volatility.
He also reaffirmed his long-term forecast that the price of Bitcoin could reach $1 million. He noted that maintaining the current growth rate of the global savings market and gradually increasing the share of cryptocurrency within it would be sufficient for this to occur.
Previously, Hougan mentioned that the “anchoring effect” hinders many investors from objectively assessing the potential of the cryptocurrency market.
