Bitwise CIO: The crypto winter may be coming to an end, as institutional funds flow in to mask the true market conditions

According to The Block, Bitwise CIO Matt Hougan stated in the latest client memo that the crypto market has been in a "full-blown crypto winter" since January 2025, with Bitcoin down about 39% and Ethereum down about 53%. He noted that ETFs and digital asset trusts have purchased over 744,000 Bitcoins (approximately $7.5 billion), which has masked the true weakness of the market. Nevertheless, Hougan believes that the market is currently closer to recovery rather than further decline, and pointed out that structural progress in areas such as regulatory advancements, institutional adoption, and tokenization is still ongoing. He stated that crypto winters typically end with market exhaustion rather than excitement, and the current sense of despair and fatigue is similar to conditions seen at previous market bottoms.